NEW YORK, Nov. 20, 2017 /PRNewswire/ -- UBS Financial Services Inc. (UBS) and NextShares Solutions LLC (NextShares Solutions), a wholly owned subsidiary of Eaton Vance Corp. (Eaton Vance), announced today the availability of NextSharesTM exchange-traded managed funds (NextShares) through the UBS brokerage platforms and UBS Strategic Advisor, a non-discretionary advisory program. UBS is the first full-service wealth manager to offer NextShares through its financial advisor network.
NextShares are an innovative way to invest in actively managed strategies across fund asset classes, offering the potential for benchmark-beating returns by applying their manager's proprietary investment research. As exchange-traded products, NextShares may offer cost and tax efficiencies that can enhance shareholder returns. The first NextShares funds began trading on the Nasdaq Stock Market LLC in early 2016.
"UBS is committed to finding innovative ways to provide our clients with the advice and solutions they need to meet their investment objectives," said Sam Descovich, Head of Capital Markets Solutions, UBS Wealth Management Americas. "Leading the introduction of NextShares, will enable UBS's financial advisors to take advantage of the benefits of active management and the latest advances in fund design, with the potential for lower expenses and the tax efficiencies of exchange-trading."
"We are pleased to support UBS in its plans to launch NextShares," said Stephen W. Clarke, President of NextShares Solutions. "UBS's commitment to doing what's best for clients makes them an ideal partner for NextShares Solutions and Eaton Vance."
UBS is committed to providing private, institutional and corporate clients worldwide, as well as retail clients in Switzerland, with superior financial advice and solutions while generating attractive and sustainable returns for shareholders. Its strategy centers on its Wealth Management and Wealth Management Americas businesses and its leading universal bank in Switzerland, complemented by its UBS Asset Management business and its Investment Bank. These businesses share three key characteristics: they benefit from a strong competitive position in their targeted markets, are capital-efficient, and offer a superior structural growth and profitability outlook. UBS's strategy builds on the strengths of all of its businesses and focuses its efforts on areas in which it excels, while seeking to capitalize on the compelling growth prospects in the businesses and regions in which it operates. Capital strength is the foundation of its success.
UBS is present in all major financial centers worldwide. It has offices in more than 50 countries, with about 35% of its employees working in the Americas, 36% in Switzerland, 17% in the rest of Europe, the Middle East and Africa and 12% in Asia Pacific. UBS Group AG employs about 60,000 people around the world. Its shares are listed on the SIX Swiss Exchange and the New York Stock Exchange (NYSE).
UBS Wealth Management Americas. Wealth Management Americas is one of the leading wealth managers in the Americas in terms of financial advisor productivity and invested assets. It provides advice-based solutions and banking services through financial advisors who deliver a fully integrated set of products and services specifically designed to address the needs of ultra-high net worth and high net worth individuals and families. It includes the domestic U.S. and Canadian business as well as the international business booked in the U.S.
About NextShares Solutions and Eaton Vance
NextShares Solutions 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 $419.3 billion in assets as of September 30, 2017, offering individuals and institutions a broad array of investment strategies and wealth management solutions. For more information, visit eatonvance.com.
The information contained herein is provided for informational purposes. Nothing contained herein constitutes a recommendation or solicitation of, or an offer to buy or sell, any security, investment product or service. The information included herein is not representative of any specific fund or other investment. Individual investors or their authorized advisors are solely responsible for determining whether any investment, investment strategy, security or related transaction is appropriate for them based on their personal investment objectives, financial circumstances and risk tolerance. Information contained herein should not be used or relied upon by anyone as a substitute for independent research or professional tax, financial or legal advice.
Shares of NextShares funds are normally bought and sold in the secondary market through a broker, and may not be individually purchased or redeemed from the fund. In the secondary market, buyers and sellers transact with each other, rather than with the fund. These transactions do not affect the fund or its investments. When a NextShares fund does issue or redeem shares, the transactions are made through designated authorized participants and are normally in kind when practicable, meaning that the fund receives or delivers securities rather than cash. By transacting in kind, a NextShares fund can lower its trading costs and enhance fund tax efficiency by avoiding forced sales of securities to meet redemptions. As exchange-traded securities, NextShares can operate with low transfer agency expenses by utilizing the same highly efficient share processing system as used for exchange-listed stocks.
Market trading prices of NextShares are 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. Buyers and seller of NextShares will not know the value of their purchases and sales until after the fund's NAV is determined at the end of the trading day. Market trading prices may vary significantly from anticipated levels. NextShares do 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. As a new type of fund, NextShares have a limited operating history and may initially be available through a limited number of brokers. 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 funds issue and redeem shares only in specified creation unit quantities in transactions by or through authorized participants. In such transactions, a fund issues and redeems shares in exchange for the basket of securities, other instruments and/or cash that the fund specifies each business day. The basket is not intended to be representative of the fund's current portfolio positions and may vary significantly from current positions.
NextSharesTM is a trademark of NextShares Solutions LLC. All rights reserved.
SOURCE Eaton Vance Corp.