Rize ETF has announced the closure of four of its thematic ETF portfolios, a decision made in the best interests of investors, according to the company.
Notices posted on the London Stock Exchange have confirmed the closure of the following ETFs: Rize Education Tech and Digital Learning Ucits ETF, Rize Medical Cannabis and Life Sciences Ucits ETF, Rize Pet Care Ucits ETF and Rize Emerging Market Internet and Ecommerce Ucits ETF.
Of these, the Education and Medical Cannabis portfolios were launched in 2020, while the others were introduced in March of the previous year.
The management of Rize ETF stated that after the one-year anniversary of each fund, directors have the authority to initiate redemption of all shares if a fund’s net asset value remains below $50 million for 30 consecutive days, a threshold reached in all four cases.
The Medical Cannabis portfolio, the largest among the four, holds nearly $14 million in net assets, while the Education portfolio contains approximately $7.5 million. The Pet Care and EM Internet portfolios have significantly fewer assets, at $2.5 million and $1.2 million, respectively.
The closure of all four ETFs is scheduled for the end of the year, with the final day of trading set for December 12, 2023. The final fund values will be as of December 20, 2023, and made available to clients on December 28.
Rize ETF management has assured that it will cover all costs associated with the closure of these funds. However, investors may potentially incur fees or costs from their respective brokers, investment platforms or nominees related to processing the payments.
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