MutualFundWire.com
The insiders' edge for 40 Act industry executives!
an InvestmentWires' Publication
an InvestmentWires' Publication
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MutualFundWire.com
The insiders' edge for 40 Act industry executives!
an InvestmentWires' Publication |
|
Friday, July 13, 2007 XShares Obtains SEC Exemption from '40 Act Investment Limits XShares Advisors LLC has received an exemptive order from the SEC that allows mutual funds to go beyond the investment limits set forth in Section 12(d)1 of the Investment Company Act of 1940 when investing in shares of ETFs such as XShares' HealthShares offerings. The Healthshares family of ETFs encompasses 20 funds. NEW YORK, July 12 /PRNewswire/ -- XShares Advisors LLC announced that it had received an exemptive order from the US Securities and Exchange Commission that permits mutual funds to exceed the investment limits of section 12(d)1 of the Investment Company Act of 1940 when investing in shares of its exchange- traded Funds, such as HealthShares(TM), Inc.. In general, Section 12(d)1 prohibits an investment company , such as a mutual fund, from 1) acquiring more than 3% of the total outstanding voting securities of another investment company , such as HealthShares(TM), Inc., 2) investing more than 5% of its total assets in a single investment company, and 3) investing more than 10% of its total assets in two or more investment companies. "The HealthShares ETFs, a series of 20 Exchange Traded Funds, will be the first in XShares' families of ETFs to be exempt from the investing limit set by section 12(d)1", said Jeffrey L. Feldman, Founder & Chairman of XShares Group LLC. "The relief will allow mutual funds greater flexibility investing in HealthShares(TM) that is necessary to achieve their asset allocation and investment strategies." Mutual funds seeking to rely on the order to purchase shares of HealthShares(TM) should contact Richard Berenger or Roger Braunfeld at 800-925-2870. About XShares XShares Advisors LLC, a subsidiary of XShares Group LLC, is a registered investment advisor that provides investment advisory services to Exchange Traded Funds. XShares also partners with major institutions and index providers seeking to bring innovative Exchange Traded Funds to market using its administrative platform. In addition, XShares creates and licenses distinctive intellectual property for its ETFs, developing products that allow for innovative trading strategies and alternative investments for the financial community. For more information, visit the company's website at http://www.xsharesadvisors.com/. About HealthShares(TM) XShares Advisors LLC, a financial services company based in New York, is the creator of the HealthShares(TM) family of Exchange Traded Funds (ETFs). HealthShares(TM) ETFs are organized into therapeutic 'Verticals' and represent specific areas of the healthcare, life science and biotechnology industries. Each Vertical addresses a distinct sub-segment of healthcare, such as the diagnosis and treatment of specific therapeutic areas (e.g. cardiology, cancer, infectious disease, etc.) and the development of medical devices (e.g. orthopedic repair, cardio devices, etc.). Each ETF (with the exception of the Composite Index Fund) tracks an index of 22 stocks and offers institutional and individual investors a more precise financial instrument that leverages the potential of healthcare investing while mitigating the risks of single stock picking. For more information, visit the company's website at: http://www.healthsharesinc.com/. Printed from: MFWire.com/story.asp?s=15047 Copyright 2007, InvestmentWires, Inc. All Rights Reserved |