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Thu, Aug

ETF Canada
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0 CALCOLATRICEProShares, has announced forward and reverse share splits on 21 of its ETFs. The splits will not change the value of a shareholder's investment.....


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Forward Splits

Twelve ETFs will forward split shares 2-for-1:

TickerProShares ETFSplit Ratio
CSM Large Cap Core Plus 2:1
SAA Ultra SmallCap600 2:1
UMDD UltraPro MidCap400 2:1
SSO Ultra S&P500 2:1
UPRO UltraPro S&P500 2:1
DDM Ultra Dow30 2:1
UDOW UltraPro Dow30 2:1
RXL Ultra Health Care 2:1
QLD Ultra QQQ 2:1
UYG Ultra Financials 2:1
ROM Ultra Technology 2:1
BIB Ultra Nasdaq Biotechnology 2:1

All splits will apply to shareholders of record as of the close of the markets on May 18, 2015, payable after the close of the markets on May 19, 2015. The funds will trade at their post-split price on May 20, 2015. The ticker symbol and CUSIP numbers for the funds will not change.

The splits will decrease the price per share of each fund with a proportionate increase in the number of shares outstanding. For example, for the 2-for-1 splits, every pre-split share will result in the receipt of two post-split shares, which will be priced at half the net asset value ("NAV") of a pre-split share.

Illustration of a Forward Split

The following table shows the effect of a hypothetical 2-for-1 split:

Period# of Shares OwnedHypothetical NAVValue of Shares
Pre-Split 100 $100.00 $10,000.00
Post-Split 200 $50.00 $10,000.00

Reverse Splits

Nine ETFs will reverse split shares at the following split ratios:

Ticker

ProShares ETF

Split RatioOld CUSIPNew CUSIP
SRS UltraShort Real Estate 1:4 74348A871 74348A244
SCC UltraShort Consumer Services 1:4 74348A616 74348A236
RXD UltraShort Health Care 1:4 74347B102 74348A228
RWM Short Russell2000 1:4 74347R826 74348A210
BOIL Ultra Bloomberg Natural Gas 1:4 74347W122 74347W296
UCD Ultra Bloomberg Commodity 1:4 74347W106 74347W288
YCL Ultra Yen 1:4 74347W866 74347W270
UVXY Ultra VIX Short-Term Futures 1:5 74347W346 74347W312
UCO Ultra Bloomberg Crude Oil 1:5 74347W650 74347W320

All reverse splits will be effective at the market open on May 20, 2015, when the funds will begin trading at their post-split price. The ticker symbol for the funds will not change. All funds undergoing a reverse split will be issued a new CUSIP number, listed above.

The reverse splits will increase the price per share of each fund with a proportionate decrease in the number of shares outstanding. For example, for a 1-for-4 reverse split, every four pre-split shares will result in the receipt of one post-split share, which will be priced four times higher than the NAV of a pre-split share.

Illustration of a Reverse Split

The following table shows the effect of a hypothetical 1-for-4 reverse split:

Period# of Shares OwnedHypothetical NAVValue of Shares
Pre-Split 1,000 $10.00 $10,000.00
Post-Split 250 $40.00 $10,000.00

Fractional Shares from Reverse Splits

For shareholders who hold quantities of shares that are not an exact multiple of the reverse split ratio (for example, not a multiple of 4 for a 1-to-4 reverse split), the reverse split will result in the creation of a fractional share. Post-reverse split fractional shares will be redeemed for cash and sent to your broker of record. This redemption may cause some shareholders to realize gains or losses, which could be a taxable event for those shareholders.

Source: ETFWorld.com

WMCR
Wilshire Micro-Cap ETF (based on the Wilshire US Micro-Cap Index)