Guinness Atkinson Asset Management Proceeds to Convert Two Mutual Funds into ETFs

Shareholder-Focused Move Is Believed to Be First of its Kind in US Asset Management Industry

PASADENA, Calif.--()--Guinness Atkinson Asset Management today announced that it has finalized the date of the conversion of two of its mutual funds into Exchange Traded Funds and has begun mailing an information statement and prospectus to shareholders. The conversions are set to take place on March 26, 2021.

The mutual funds that are to be converted are Guinness Atkinson Dividend Builder Fund (GAINX) and Guinness Atkinson Asia Pacific Dividend Builder Fund (GAADX). The information statement is available at this link.

The shares of the two mutual funds are slated to become shares of the SmartETFs Dividend Builder (DIVS) and SmartETFs Asia Pacific Dividend Builder (ADIV), respectively. The notice regarding the conversion has been sent to shareholders and is available on the Guinness Atkinson Funds website. Current shareholders of the mutual funds will automatically become shareholders of the ETFs. It will be a non-taxable event for the mutual funds’ shareholders. They may also redeem their shares prior to the conversion if they wish.

“This move represents the culmination of a dialogue we’ve had with our shareholder base, who like many are increasingly attracted to the benefits of ETFs, including their lower costs and greater flexibility,” said Jim Atkinson, CEO of Guinness Atkinson Asset Management. He added, “This conversion has been possible thanks to the work with our great partners at Practus, LLP, Brown Brothers Harriman, American Stock Transfer & Trust Company, LLC, the New York Stock Exchange, Mutual Fund Administration, LLC, and Foreside. We are grateful for their expertise and effort.”

Guinness Atkinson decided to transition the current funds based on growing demand from its shareholder base for access to ETFs and its own previous success in launching three ETF products. Guinness Atkinson launched SmartETFs Smart Transportation & Technology Fund (MOTO), SmartETFs Sustainable Energy II (SULR) and SmartETFs Advertising & Marketing Technology (MRAD) as part of its SmartETFs family of funds. The newly transitioned ETFs will join the SmartETFs family of actively managed ETFs.

The particular funds were chosen for conversion from the lineup of Guinness Atkinson mutual funds based on their viability as ETF strategies, with defined, rule-based strategies that are complementary as part of a broader equity asset allocation. Each fund’s strategy, portfolio and portfolio management teams will remain constant through and after the transition.

“The fund strategies we chose for this move are attractive to many investors seeking dividends,” said Mr. Atkinson. “We know from conversations with current and prospective shareholders that there is demand for these strategies in the ETF format and are excited to make them more easily accessible.”

The Guinness Atkinson Dividend Builder Fund (GAINX) is an actively managed dividend growth strategy that seeks dividend-paying companies that have provided an inflation-adjusted cash flow return on investment of at least 10% in each of the last 10 years. The fund invests in approximately 35 different dividend paying companies globally. The strategy is managed by Dr. Ian Mortimer and Matthew Page.

The Guinness Atkinson Asia Pacific Dividend Fund (GAADX) is an actively managed dividend strategy focused on investing in dividend-producing stocks of mature companies in the Asia Pacific region. The fund is managed by Edmund Harriss.

About Guinness Atkinson Funds

Guinness Atkinson Funds are designed to help investors capitalize on the profound rate of innovation and change that characterize the 21st century, including long term global trends such as the traditional and alternative energy sources that fuel economic development, the development of emerging Asian markets, and the continually transforming corporate landscape.

About SmartETFs

SmartETFs are managed by Guinness Atkinson Asset Management. Guinness Atkinson was formed in 2002 and began managing the Guinness Atkinson Funds in 2003. The key executives of Guinness Atkinson previously worked together at predecessor companies and the oldest of our eight mutual funds was launched in 1994.

Our portfolio management team is located in London, England. Our US headquarters are in Pasadena, California.

Investors should consider the investment objectives, risks, charges and expenses carefully before investing. For a prospectus or summary prospectus, please visit for the SmartETFS or for the Guinness Atkinson mutual funds or call (866) 307-5990. Read the prospectus carefully before investing.

Shares of ETFs are bought and sold at market price (not NAV) and are not individually redeemed from the Fund. Brokerage commissions will reduce returns.

Investing involves risk including the loss of principal. The Funds invest in foreign securities and emerging markets which involve greater volatility and political, economic and currency risks and differences in accounting methods. There are no guarantees that a dividend-paying company will continue to pay or increase its dividend.

The mutual funds and ETFs are distributed by Foreside Fund Services, LLC.


Victoria Odinotska
+1 703 685 9232


Victoria Odinotska
+1 703 685 9232