Rydex Becomes the Latest ETF Shop to Relocate its Funds to the NYSE Arca
News summary by MFWire's editors
Rydex is the latest ETF shop to relocate its funds from the NYSE to the NYSE Arca. On October 30, Rydex will begin the process of transferring its eight CurrencyShares, currently NYSE-listed, to the NYSE Arca trading platform. HealthShares and WisdomTree recently announced they would be relocating their funds.
NYSE Euronext (NYSE Euronext: NYX) today announced that effective October 30, Rydex Investments will begin the process of transferring its eight CurrencyShares, currently NYSE-listed, to the NYSE Arca trading platform. The following Rydex exchange traded products are scheduled to migrate: CurrencyShares Australian Dollar Trust (FXA); CurrencyShares British Pound Trust (FXB); CurrencyShares Canadian Dollar Trust (FXC); CurrencyShares Euro Trust (FXE); CurrencyShares Japanese Yen Trust (FXY); CurrencyShares Mexican Peso Trust (FXM); CurrencyShares Swedish Krona Trust (FXS); and CurrencyShares Swiss Franc Trust (FXF).
As previously announced, this planned market consolidation, initiated by specialist firms in consultation with issuers, is expected to benefit investors in terms of savings, efficiency and overall market performance. NYSE Arca, which utilizes dedicated liquidity providers in the form of Lead Market Makers (LMMs) and Market Makers (MMs), provides one of the best platforms to efficiently list and trade the 166 ETFs listed on NYSE Group exchanges.
All four existing NYSE ETF specialist firms are able to act as LMMs in primary listings on NYSE Arca and will continue to provide value for investors and issuers while seeking to ensure liquidity and reduce volatility. By offering a single, harmonized platform for listing and trading ETFs, NYSE Arca will further improve efficiencies and market quality.
NYSE Arca’s all-electronic platform is the single largest public liquidity pool for ETFs in the U.S. In the first half of 2007, NYSE Arca handled 43% of all ETF shares traded in the U.S. , representing an Average Daily Volume of approximately 231.96 million shares per day.
With more than $2.6 billion in assets, the CurrencyShares lineup includes eight currency-based exchange traded products designed to track the price movements of their underlying currencies. Rydex introduced the first currency-based exchange traded product, CurrencyShares Euro Trust, in December 2005.
About NYSE Euronext
NYSE Euronext, a holding company created by the combination of NYSE Group, Inc. and Euronext N.V., commenced trading on April 4, 2007 . NYSE Euronext (NYSE Euronext: NYX) operates the world’s largest and most liquid exchange group and offers the most diverse array of financial products and services. NYSE Euronext, which brings together six cash equities exchanges in five countries and six derivatives exchanges in six countries, is a world leader for listings, trading in cash equities, equity and interest rate derivatives, bonds and the distribution of market data. Representing a combined $30.8 trillion/€22.8 trillion total market capitalization of listed companies and average daily trading value of approximately $127.0 billion/€94.0 billion (as of June 29, 2007 ), NYSE Euronext seeks to provide the highest standards of market quality and integrity, innovative products and services to investors, issuers, and all users of its markets.
NYSE, NYSE Arca, NYSE Group and NYSE Euronext do not sponsor, endorse or sell the Rydex CurrencyShares Trusts. NYSE, NYSE Arca, NYSE Group and NYSE Euronext are not affiliated with Rydex Investments, Rydex Distributors, Inc., or Rydex Specialized Products LLC.
Rydex Investments continues to drive change in the financial industry by introducing investment products and services that challenge conventional thinking, empower investors and provide essential new options for uncertain market conditions. Rydex manages approximately $16 billion in assets via more than 80 mutual funds and exchange traded products.
Registration statements relating to the CurrencyShares Trusts have been filed with and declared effective by the Securities and Exchange Commission. This information shall not constitute an offer to sell nor a solicitation of an offer to buy shares of the CurrencyShares Trusts, nor shall there be any offer of sale of these securities in any jurisdiction. The offering of these securities will be made only by means of a prospectus. A copy of each prospectus relating to these securities may be obtained for free by visiting EDGAR on the SEC website at www.sec.gov or at www.CurrencyShares.com or by contacting Rydex Investments at 9601 Blackwell Road, Suite 500, Rockville, MD 20850 or by calling 800.820.0888.
CurrencyShares is a service mark of Rydex Investments and is protected by copyright.
The sponsor of the CurrencyShares Trusts is Rydex Specialized Products LLC, d/b/a Rydex Investments. The distributor of these exchange traded funds is Rydex Distributors, Inc, an affiliate of Rydex Investments and Rydex Specialized Products, LLC. M7 Ventures, LLC provides consultation and support to Rydex in connection to all CurrencyShares exchange-traded products. The Bank of New York (NYSE: BK) is the trustee of the Trusts and JPMorgan Worldwide Securities Services acting through JPMorganChase Bank, N.A., London Branch is the depository for each Trust.
Cautionary Note Regarding Forward-Looking Statements
This press release may contain forward-looking statements, including forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995. Such forward-looking statements include, but are not limited to, statements concerning NYSE Euronext's plans, objectives, expectations and intentions and other statements that are not historical or current facts. Forward-looking statements are based on NYSE Euronext's current expectations and involve risks and uncertainties that could cause actual results to differ materially from those expressed or implied in such forward-looking statements. Factors that could cause NYSE Euronext's results to differ materially from current expectations include, but are not limited to: NYSE Euronext's ability to implement its strategic initiatives, economic, political and market conditions and fluctuations, government and industry regulation, interest rate risk and U.S. and global competition, and other factors detailed in NYSE Euronext’s reference document for 2006 ("document de référence") filed with the French Autorité des Marchés Financiers (Registered on June 6, 2007 under No. R.07-0089), 2006 Annual Report on Form 10-K, as amended, and other periodic reports filed with the U.S. Securities and Exchange Commission or the French Autorité des Marchés Financiers. In addition, these statements are based on a number of assumptions that are subject to change. Accordingly, actual results may be materially higher or lower than those projected. The inclusion of such projections herein should not be regarded as a representation by NYSE Euronext that the projections will prove to be correct. This press release speaks only as of this date. NYSE Euronext disclaims any duty to update the information herein.