The MFWire
Manage Email Alerts | Sponsorships | About MFWire | Who We Are

Subscribe to MFWire.com's News Alerts [click]

Rating:Regulators Nix a Mutual-Fund-to-ETF Conversion Not Rated 0.0 Email Routing List Email & Route  Print Print
Thursday, June 21, 2012

Regulators Nix a Mutual-Fund-to-ETF Conversion

News summary by MFWire's editors

Huntington Asset Advisors' [profile] request to convert a mutual fund into an actively managed ETF has been turned down by the SEC. Reuters reports that the asset management arm of Huntington Bancshares Inc waited two years for the SEC's decision.

Randy Bateman, president and CEO of the shop, said they are disappointed with the decision. Huntington will launch the Huntington Rotating Strategy Fund -- an ETF clone of the mutual fund the firm had hoped to close -- on its own.

"We had wanted to be able to promote the track record of the fund with the new ETF and allow investors to do a tax-free exchange, but sometimes you have to just capitulate and move forward," he said.

This result has dampened the high hopes of other companies and advisers that are planning to convert mutual funds into ETFs.

"It would have been huge for ETFs," Dave Nadig, research director at IndexUniverse, told Reuters. "Can you imagine being able to take a mutual fund stalwart like the American Funds Growth Fund of America or Fidelity's Contrafund and turn it into an ETF?" 

Edited by: HFD

Stay ahead of the news ... Sign up for our email alerts now

 Do You Recommend This Story?

Return to Top
 News Archives
2024: Q2Q1
2023: Q4Q3Q2Q1
2022: Q4Q3Q2Q1
2021: Q4Q3Q2Q1
2020: Q4Q3Q2Q1
2019: Q4Q3Q2Q1
2018: Q4Q3Q2Q1
2017: Q4Q3Q2Q1
2016: Q4Q3Q2Q1
2015: Q4Q3Q2Q1
2014: Q4Q3Q2Q1
2013: Q4Q3Q2Q1
2012: Q4Q3Q2Q1
2011: Q4Q3Q2Q1
2010: Q4Q3Q2Q1
2009: Q4Q3Q2Q1
2008: Q4Q3Q2Q1
2007: Q4Q3Q2Q1
2006: Q4Q3Q2Q1
2005: Q4Q3Q2Q1
2004: Q4Q3Q2Q1
2003: Q4Q3Q2Q1
2002: Q4Q3Q2Q1
 Subscribe via RSS:
Add to My Yahoo!
follow us in feedly

©All rights reserved to InvestmentWires, Inc. 1997-2024
14 Wall Street | 20th Floor | New York, NY 10005 | P: 212-331-8968 | F: 212-331-8998
Privacy Policy :: Terms of Use