First NextShares™ Fund to List and Trade on NASDAQ Stock Market LLC in February

Jan 25, 2016, 08:30 ET from Eaton Vance Corp.

BOSTON, Jan. 25, 2016 /PRNewswire/ -- Eaton Vance Corp. (Eaton Vance) and Nasdaq, Inc. (Nasdaq) today announced that the first NextShares™ exchange-traded managed fund, Eaton Vance Stock NextShares (Nasdaq: EVSTC) (the Fund), will list and begin trading on the NASDAQ Stock Market LLC on Friday, February 26, 2016.  Individual investors, financial advisors and institutions may purchase and sell shares of the Fund through Folio Investing® and Folio Institutional®, leading online broker-dealers, beginning on Monday, February 29, 2016.

The Fund will seek to achieve long-term capital appreciation by investing primarily in a diversified portfolio of common stock, following a research-driven core investment style.  The Fund will utilize a master-feeder structure, meaning that the Fund's investments will be held on an indirect basis through a separate registered investment company, Stock Portfolio (the Portfolio).  Eaton Vance Stock Fund (Class A: EAERX; Class C: ECERX; Class I: EIERX), an open-end mutual fund, also invests through the Portfolio.  The Portfolio's investment adviser is Boston Management and Research, an indirect wholly owned subsidiary of Eaton Vance, and its portfolio manager is Charles Gaffney.     

NextShares are a hybrid of actively managed mutual funds and exchange-traded funds (ETFs).  Like active mutual funds, NextShares offer the potential for benchmark-beating returns based on the manager's proprietary investment research.  Like ETFs, NextShares trade on an exchange and have built-in potential cost and tax advantages that can meaningfully enhance shareholder returns.  NextShares may invest across all fund asset classes and are expected to be offered by a range of well-known asset managers.  

Eaton Vance has registered 18 initial NextShares funds, representing a broad range of actively managed investment strategies, including equity, fixed income, floating-rate income, absolute return and multi-asset funds.  Eaton Vance plans to follow the launch of the Fund with additional NextShares fund launches, beginning later in the first quarter. 

"The Fund is the first of several NextShares funds that we expect to introduce this year," said Thomas E. Faust Jr., Chairman and Chief Executive Officer of Eaton Vance. "Our initial NextShares will offer investors access to established fund strategies in a new structure with significant potential investor benefits.  The Fund's introduction provides the first opportunity to demonstrate the performance, tax efficiency and trading characteristics of NextShares."

"We're pleased to serve as the listing and trading venue for NextShares," said Jeff McCarthy, Head of Exchange-Traded Product Listing at Nasdaq. "Extensive preparations have been made to develop technology to support NextShares trading and reporting, and the final stages of testing are currently in process."

"NextShares is an innovative offering that can provide real benefits to investors, and we are pleased to serve as the first broker offering trading," said Steve Wallman, CEO and founder of Folio Investing. 

About NextShares Solutions and Eaton Vance

NextShares Solutions LLC is a wholly owned subsidiary of Eaton Vance formed to develop and commercialize NextShares. Aspects of the operation of NextShares are protected intellectual property owned by NextShares Solutions.  For more information, visit nextshares.com.

Eaton Vance (NYSE: EV) is a leading global asset manager whose history dates to 1924. With offices in North America, Europe, Asia and Australia, Eaton Vance and its affiliates managed $308.0 billion in assets as of December 31, 2015, offering individuals and institutions a broad array of investment strategies and wealth management solutions. The Company's long record of providing exemplary service, timely innovation and attractive returns through a variety of market conditions has made Eaton Vance the investment manager of choice for many of today's most discerning investors. For more information, visit eatonvance.com. 

About Nasdaq

Nasdaq (Nasdaq: NDAQ) is a leading provider of trading, clearing, exchange technology, listing, information and public company services across six continents. Through its diverse portfolio of solutions, Nasdaq enables customers to plan, optimize and execute their business vision with confidence, using proven technologies that provide transparency and insight for navigating today's global capital markets. As the creator of the world's first electronic stock market, its technology powers more than 70 marketplaces in 50 countries, and 1 in 10 of the world's securities transactions. Nasdaq is home to more than 3,500 listed companies with a market value of approximately $9.5 trillion and more than 10,000 corporate clients. To learn more, visit nasdaq.com.

About Folio Investing and Folio Institutional

Folio Investing is the online brokerage where investors can create an unlimited number of diversified investment portfolios, called folios, to combine the benefits of direct stock ownership with the convenience of ETFs, NextShares and mutual funds. Investors can customize each folio with up to 100 stocks, ETFs, NextShares, and mutual funds or choose from over 160 free, pre-made Ready-to-Go folios.  Folio Institutional is a leading investment solutions and financial technology company that offers an integrated brokerage and custodial platform featuring state-of-the-art trading, portfolio management tools, and private placement capabilities. For more information, see folioinvesting.com and folioinstitutional.com.

The information contained herein is provided for informational purposes only, is not intended as investment or tax advice, and does not constitute a solicitation of an offer to buy or sell specific securities.

Shares of NextShares funds will trade in the secondary market and may not be individually purchased or redeemed from the fund. Investors will be able to purchase and redeem shares from a NextShares fund only in specified creation unit sizes by or through authorized participants.  Market trading prices of NextShares will be linked to the fund's next-computed net asset value (NAV) and will vary from NAV by a market-determined premium or discount, which may be zero.  Market trading prices may vary significantly from anticipated levels.  For each NextShares trade, the final transaction price is determined once NAV is computed at the end of the day.

NextShares will not offer investors the opportunity to buy and sell intraday based on current (versus end-of-day) determinations of fund value. NextShares trade execution prices will fluctuate based on changes in NAV. Although limit orders may be used to control trading costs, they cannot be used to control or limit trade execution prices.  There can be no guarantee that an active trading market for NextShares will develop or be maintained, or that their listing will continue unchanged.  Buying and selling NextShares may require payment of brokerage commissions and expose transacting shareholders to other trading costs.  Frequent trading may detract from realized investment returns.  The return on a shareholder's NextShares investment will be reduced if the shareholder sells shares at a greater discount or narrower premium to NAV than he or she acquired the shares.

NextShares, mutual funds and ETFs are purchased and sold differently and have different costs. These and other distinctions may result in significant differences in fund performance.

About Risk: Fund performance is sensitive to stock market volatility. Investments in foreign instruments or currencies can involve greater risk and volatility than U.S. investments because of adverse market, economic, political, regulatory, geopolitical or other conditions. No Fund is a complete investment program and you may lose money investing in a Fund. The Fund may engage in other investment practices that may involve additional risks and you should review the Fund prospectus for a complete description.

Before investing, investors should consider carefully the investment objectives, risks, charges and expenses of a NextShares fund or mutual fund. This and other important information will be contained in the prospectus and summary prospectus available from a financial advisor.  Prospective investors should read the prospectus carefully before investing.   

Eaton Vance Stock NextShares is distributed by Foreside Fund Services, LLC. Eaton Vance Stock Fund is distributed by Eaton Vance Distributors, Inc.  For more information call 800-836-2414.

SOURCE Eaton Vance Corp.



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