VanEck has changed the delisting date for two of its ETFs – the VanEck Vectors Gulf States Index ETF (MES) and the VanEck Vectors Indonesia Small-Cap ETF (IDXJ) – from 28 September 2016 to 7 October 2016.
Shareholders of the closing funds may sell their holdings on NYSE Arca until market close on 7 October and they may incur typical transaction fees from their broker-dealer.
The closing funds’ shares will no longer trade on NYSE Arca after market close 7 October and the shares will subsequently be de-listed. Shareholders who continue to hold shares of any of the closing funds on the closing funds’ liquidation date, which is expected to be on or about 14 October, will receive a liquidating distribution of cash in the cash portion of their brokerage accounts equal to the amount of the net asset value of their shares.
Proceeds from the liquidation are currently scheduled to be sent to shareholders on or about 14 October, although this may occur prior to or later than this date. For tax purposes, shareholders will generally recognise a capital gain or loss equal to the amount received for their shares over their adjusted basis in such shares. The funds will stop accepting creation orders from authorised participants on 7 October 2016.
In addition, shareholders who hold shares of the closing funds may receive a final distribution of net income and capital gains earned by the closing funds and not previously distributed prior to liquidation.
The final tax status of distributions made by the closing funds, including the liquidating distribution, will be provided to shareholders with the year-end tax reporting for the closing funds (including any portion which may be treated as a return of capital for tax purposes, reducing a shareholder’s basis in such shares).