Welcome to the July issue of End2End, our newsletter aimed at helping you better understand the overall impact of developments and trends across the investment funds landscape.
This issue offers perspective and insight to help keep you ahead of the curve in an increasingly complex environment. Our professionals examine questions around tax equalization and ETF trends related to conversions and multi-share class ETFs.
Tax Considerations
Q&A: Is Tax Equalization Right for Your Mutual Fund or ETF?
Authors: Jay Laurila and Ravi Singh
Tax equalization is an incredibly tax-efficient strategy. It can reduce or even potentially eliminate a capital gain distribution requirement for your fund and shareholders — yet not everyone uses it. Gaining a better understanding of tax equalization can help you determine if it may be right for your fund.
This is certainly not a new concept, and equalization has been around for decades. The reason more funds are using it now is twofold: explosive growth in exchange-traded funds and volatile market conditions.
Board Governance
Oversight Considerations for Multi-Share Class ETFs
Featured Professional: Brett Eichenberger
Registered Funds Market Leader Brett Eichenberger was interviewed along with other ETF and ’40 Act specialists from Broadridge and Stradley Ronon regarding oversight considerations for boards related to fund conversions and multi-share class ETFs.
"At the Investment Company Institute’s 2024 Leadership Summit, the rise of exchange-traded funds (ETFs) was the focal point for many participants and panelists."
Tax Considerations
New Frontiers for ETFs - Converting Investment Vehicles and Impacts of Share Class Proposals
Featured Professional: Jay Laurila
Jay Laurila participated in a Nasdaq webinar that also featured ETF specialists from K&L Gates and Brown Brothers Harriman. Panelists explored the nuances of conversions to ETFs from mutual funds, SMAs and private funds, as well as the future of the ETF ecosystem — including proposals for ETF share classes.
This insightful and wide-ranging discussion explored best practices for navigating the nuances of conversions to ETFs from mutual funds, SMAs and private funds, as well as trends and the future of the ETF ecosystem.