OKLAHOMA CITY, Okla., May 1, 2013 /PRNewswire/ -- Exchange Traded Concepts, LLC (ETC), in conjunction with YieldShares LLC (YieldShares), announces that Exchange Traded Concepts Trust (Trust) has filed a registration statement, including a preliminary prospectus, with the Securities and Exchange Commission for the YieldShares High Income ETF (YYY). YYY will seek to provide investment results that, before fees and expenses, correspond generally to the price and yield performance of the ISE High IncomeTM Index (High Income Index). The High Income Index seeks to measure the performance of the top 30 U.S. exchange-listed closed-end funds (CEFs), as selected and ranked according to factors designed to result in a portfolio that produces high current income.
YieldShares is a newly created ETF Sponsor that will focus on income ETFs. The firm was founded by ETF veteran Christian Magoon, a key figure in more than 50 U.S. ETF launches to date. As CEO of Magoon Capital, Christian has provided strategic counsel to ETF related firms on product development, marketing and distribution. Magoon is also a noted ETF author, contributing insight to a variety of publications. Previously, he served as President of ETF issuer Claymore Securities, now Guggenheim Investments.
The High Income Index was developed in a partnership between YieldShares and the International Securities Exchange (ISE), the provider of the Index. The selection process assesses CEF variables including market capitalization, distribution rate and premiums and discounts to net asset value.
"YieldShares' choice to work with us reinforces the value of leveraging our counsel and operational expertise to introduce compelling solutions to the ETF marketplace," says J. Garrett Stevens, CEO of ETC. "Christian Magoon has a strong track record of designing and marketing ETFs and our platform will enable him to leverage that expertise."
"YieldShares seeks to develop and make available investment vehicles that produce attractive monthly income for shareholders," said Christian Magoon. "We expect the YieldShares High Income ETF (YYY) will set itself apart within the current income ETF space."
The High Income Index will replace the securities index currently being tracked by the Sustainable North American Oil Sands ETF (SNDS), an existing series of the Trust. This change, along with related changes to the investment objective, investment policies and name of the fund, are designed to accommodate the offering of the YieldShares High Income ETF.
About Exchange Traded Concepts
ETC has carved out a niche as a portal to launch new, custom exchange-traded funds efficiently and cost-effectively through a complete turnkey solution. ETC is a private-label ETF advisor with passive and active exemptive relief from the SEC to launch both domestic and international equity exchange traded funds under the Investment Company Act of 1940.
Investment managers, independent advisors, foreign managers and others seeking to launch an ETF for their strategy have the opportunity to build awareness and recognition for their brand as a private label ETF and, for a relatively low initial investment, launch an ETF in approximately one-third of the time it would take to launch an ETF from scratch.
ETC's ETF-in-a-Box™ Solution is a turnkey platform that provides time-sensitive and cost-effective methods to bring an exchange-traded fund to market. Seasoned ETF professionals have the operational and regulatory experience plus the industry contacts needed to navigate the complexities of launching and managing an ETF.ETC has developed strategic relationships with other ETF service providers to assist ETC's sub-advisors in navigating the exchange-traded fund launch process with the guidance necessary to maintain regulatory compliance.
ETC can assist your firm to successfully launch an ETF strategy. For more information, please go to www.ExchangeTradedConcepts.com
YieldShares is an ETF Sponsor focused on analysis and product design within the income ETF segment. Founded by investment industry veteran Christian Magoon, YieldShares' mission is to expand access to income investment strategies. For more information, please visit www.MagoonCapital.com.
The International Securities Exchange (ISE) operates a leading U.S. options exchange and offers options trading on over 2,000 underlying equity, ETF, index, and FX products. As the first all-electronic options exchange in the U.S., ISE transformed the options industry by creating efficient markets through innovative market structure and technology. Regulated by the Securities and Exchange Commission (SEC) and a member-owner of OCC, ISE provides investors with a transparent marketplace for price and liquidity discovery on centrally cleared options products. ISE continues to expand its marketplace through the ongoing development of enhanced trading functionality, new products, and market data services. As a complement to its options business, ISE has expanded its reach into multiple asset classes through strategic investments in financial marketplaces and services that foster technology innovation and market efficiency. Through minority investments, ISE participates in the securities lending and equities markets. ISE also licenses its proprietary Longitude technology for trading in event-driven markets.
As a member of Eurex Group, ISE is combined with Eurex Exchange to form one of the largest transatlantic derivatives marketplaces, with daily trading volumes exceeding 9 million contracts across a growing range of asset classes. Eurex Group is comprised of Eurex Exchange, the International Securities Exchange, the European Energy Exchange, Eurex Clearing, Eurex Bonds and Eurex Repo. Eurex Group is owned by Deutsche Börse AG (Xetra: DB1).
For more information, visit www.ise.com.
The information in the Fund's preliminary prospectus (and preliminary Statement of Additional Information) is not complete and may be changed. The Fund may not sell its securities until the registration statement filed with the Securities and Exchange Commission is effective. This notice and the Fund's preliminary prospectus (and preliminary Statement of Additional Information) are not an offer to sell the Fund's securities and are not soliciting an offer to buy the Fund's securities in any state where the offer or sale is not permitted.
SOURCE Exchange Traded Concepts