PHILADELPHIA, Jan. 17, 2020 /PRNewswire/ -- Aberdeen Standard Investments (ASI) plans to close and liquidate the Aberdeen Standard Bloomberg WTI Crude Oil Strategy K-1 Free ETF (Ticker: AOIL) (the "Fund") as part of an ongoing process to review the products made available to investors in order to concentrate its offering on products that experience greater investor demand.
After the close of business on February 14, 2020, Aberdeen Standard Investments ETFs will no longer accept creation requests with respect to the Fund shares (the "Shares"). Trading in the Shares on NYSE Arca will be suspended prior to the market opening on February 17, 2020. Proceeds of the Fund's liquidation will be paid to the shareholders remaining in the Fund on or about February 20, 2020.
Once the Fund commences the liquidation of its portfolio holdings, the Fund will hold cash and other highly liquid investments. During this time, the Fund will not seek to implement its investment strategy or achieve its investment objective, and is likely to incur higher tracking error than is typical for the Fund. Due to the expiration date of the commodities futures contracts held by the Fund through its subsidiary, ASI expects the Fund will be invested almost exclusively in cash and other highly liquid assets as early as February 7, 2020.
Shareholders may sell their Shares on NYSE Arca until the market close on February 14, 2020, and may incur typical transaction fees from their broker-dealer. At the time the Fund's liquidation is complete, Shares will be individually redeemed. For shareholders that still hold Shares after market close on February 14, 2020, Shares will be redeemed for cash automatically in an amount equal to the net asset value as of the close of business on February 20, 2020, which will reflect the costs of closing the Fund. Shareholders will generally recognize a capital gain or loss on the redemptions. The Fund may or may not pay one or more dividends or other distributions prior to or along with the redemption payments.
For more information about the ETFs available in the U.S., visit www.aberdeenstandard.com/en-us/us/investor/fund-centre.
Notes to editors
- Aberdeen Standard Investments is a global asset manager dedicated to creating long-term value for our clients. With over 1,000 investment professionals, we manage $669.6 billion of assets worldwide as of 30 June 2019. We have clients in 80 countries supported by 52 relationship offices. This ensures we are close to our clients and the markets in which we invest.
- We are high-conviction, long-term investors who believe teamwork and collaboration are the key to delivering investment performance.
- Standard Life Aberdeen plc is headquartered in Scotland. It has over 1 million shareholders and is listed on the London Stock Exchange.
- You can access the Aberdeen Standard Investments media centre here: https://www.aberdeenstandard.com/news-and-media
Important Information
In the United States, Aberdeen Standard Investments is the marketing name for the following affiliated, registered investment advisers: Aberdeen Standard Investments Inc., Aberdeen Asset Managers Ltd., Aberdeen Standard Investments Australia Ltd., Aberdeen Standard Investments (Asia) Ltd., Aberdeen Capital Management, LLC, Aberdeen Standard Investments ETFs Advisors LLC and Standard Life Investments (Corporate Funds) Ltd.
Risk Warnings: Exchange traded securities may or may not be suitable for a particular investor. The price of exchange traded securities may go up or down and an investor may not get back the amount invested. Exchange traded securities are priced in either US dollars or Euros and the value of the investment in other currencies will be affected by exchange rate movements. To the extent exchange traded securities are traded in other currencies, their value may also be affected by exchange rate movements. Futures trading is speculative and may result in losses. Past performance is not necessarily indicative of future results.
Restricted Investors: The distribution of the prospectus and the offering, sale and delivery of exchange traded securities in certain jurisdictions may be restricted by law. Any subscription for exchange traded securities should be made on the basis of the prospectus.
Disclaimer: Any investment in exchange traded securities carries with it certain risks, including those risks set out in the prospectus. You should obtain your own independent financial, taxation and legal advice before making any decisions about an investment in exchange traded securities. This information is not an offer for exchange traded securities and should not be used as the basis for any investment decision.
Diversification does not eliminate the risk of experiencing investment losses. Through its exposure to energy commodities, specifically crude oil, the Fund is subject to the risks of the energy sector and companies engaged in energy production and exploration. The energy sector and the price of energy commodity futures may be adversely affected by changes to or trends that affect commodity prices, the imposition of import controls, and government regulations related to environmental protection, health and safety.
An investor should consider the investment objectives, risks, charges and expenses of the ETFs carefully before investing. To obtain a prospectus containing this and other important information, visit www.aberdeenstandard.com/en-us/us/investor/fund-centre. Please read the prospectus carefully before investing.
This information does not constitute financial product advice.
There are risks associated with investing including possible loss of principal.
ALPS Distributors, Inc. is not affiliated with Aberdeen Standard Investments.
ALPS Distributors, Inc. is the distributor for the Aberdeen Standard Investments ETFs.
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SOURCE Aberdeen Standard Bloomberg WTI Crude Oil Strategy K-1 Free ETF