SEC Ready to Let Fund Shops Explore Their Dual Share-Class Natures

SEC Ready to Let Fund Shops Explore Their Dual Share-Class Natures

The SEC had some classy news to share yesterday. At long last, the agency is (almost certainly) approving dual share classes, which would give asset managers the ability to add ETF share classes of existing mutual funds and vice versa. Companies began seeking exemptions from the Securities and Exchange Commission two years ago, soon after Vanguard’s exclusive patent on dual share classes expired. Unless a hearing is requested, the first exemptio…

Dimensional Says SEC Intends to Allow Its Dual Share Class Funds

Dimensional Fund Advisors said the Securities and Exchange Commission intends to grant the fund manager the ability to offer ETFs as share classes of mutual funds, opening the door for widespread use of a tax-saving structure previously exclusive to Vanguard Group.

SEC set to allow Dimensional to offer dual share class funds

Regulatory approval would be a big win for asset managers seeking to shrink clients' tax bills and expand into the $12.6 trillion ETF industry.

SEC Moves Closer to Approving ETF Share Classes for Mutual Funds

SEC clears pilot for ETF share classes, starting with Dimensional Fund Advisors. Mutual funds may now trade as ETFs, adding liquidity and tax efficiency. Over 80 asset managers await approval to launch ETF share classes. A key SEC notice would soon allow asset managers to add ETF share classes to existing mutual funds, using a multi-share class structure. As a result, mutual fund managers could offer ETF versions of their funds without launching…

SEC Advances ETF Share Class - Markets Media

The U.S. Securities and Exchange Commission has allowed Dimensional Fund Advisors to launch an exchange-traded fund (ETF) share class of an existing mutual fund, and the regulator is expected to quickly allow other fund managers to do the same. The ETF share class allows a share class of an existing mutual fund to trade as an ETF. This is already authorised in Europe, but had not been approved by the SEC. Nate Geraci, president of NovaDius Wealt…

SEC Approves ETF Share Classes for Mutual Funds

SEC grants Dimensional Fund Advisors approval for ETF share classes of mutual funds. This move could reshape the $12.6 trillion ETF industry