Mutual Fund to ETF Conversion | Vigilant Insights
What steps are you taking in this vital structural decision?
According to ETF.com, there has been $900 billion in new flows for ETFs within the last 15 months while equity mutual funds have matched that same amount in outflows.
This is going to be a unique opportunity.
Have YOU ever considered converting an open-ended Mutual Fund to an ETF?
Below are 5 Key Differentiators & Advantages to making that conversion:
- ETFs are more tax efficient than Mutual Funds as typically ETFs have fewer capital gains by satisfying redemption requests under the ETF redemption basket.
- Low expense ratios (compared to Mutual Funds) are an advantage for investors as ETFs do not hold 12b-1 fees.
- Great opportunity to possibly advance the interest of fund shareholders.
- ETFs can be more affordable than Mutual Funds for those looking to make a single large investment.
- Converting to an ETF can cut the expenses associated with open end mutual funds.
Where Vigilant can help?
- You can benefit from our experience of over 17 years of providing solutions which helps you protect your clients interest and remain within regulatory compliance.
- Provide Active Distribution strategies to increase flows into the growing ETF space.
- Allowing you to provide Alpha for the investors within your investment disciplines.
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Who we are:
Vigilant is a full-service Investment Management Solutions Firm delivering clients end to end solutions while prioritizing Alignment, Affordability, Scalability, and Market Leadership.
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