That ETN-which aimed to deliver twice the monthly return of the ISE High Income Index of the 30 highest-yielding closed-end funds trading at discounts-had fallen more than 80% in value from over $14 a share in February to a low of $1.52 on March 18 during the coronavirus crisis, which triggered an automatic prospectus-mandated redemption “as a result of the respective indicative values of the securities being less than $5.00 on the Acceleration Date,” according to the press release. This March, UBS announced the mandatory liquidation of its ETRACS Monthly Pay 2x Leveraged Closed-End Fund ETN (CEFL). The launch is unusual for a number of reasons.
0 Comments
Leave a Reply. |
AuthorWrite something about yourself. No need to be fancy, just an overview. ArchivesCategories |