NEW YORK, June 3, 2024 /PRNewswire/ -- Global X ETFs, the New York -based provider of exchange traded funds (ETFs), today announced a reverse split of the following two funds:
Fund | Old CUSIP | New CUSIP | Split Ratio |
Global X 1-3 Month T-Bill ETF (CLIP) | 37960A537 | 37960A438 | 1:4 |
Global X Hydrogen ETF (HYDR) | 37954Y152 | 37960A420 | 1:5 |
Effective after market close on June 14 th, 2024, the funds listed above will effect a reverse stock split at the above ratios. The reverse stock split will increase the price per share of the Fund with a proportionate decrease in the number of shares outstanding. For example, for the Global X 1-3 Month T-Bill ETF (CLIP), every four pre-split shares will result in receipt of one post-split share, which will be priced four times higher than the net asset value (NAV) of a pre-split share.
Illustration of Reverse Split
The following table shows the effect of a hypothetical 1:4 reverse split:
Period | Number of Shares | Hypothetical | Value of Shares |
Pre-Split | 400 | $10 | $4,000 |
Post-Split | 100 | $40 | $4,000 |
The following table shows the effect of a hypothetical 1:5 reverse split:
Period | Number of Shares | Hypothetical | Value of Shares |
Pre-Split | 500 | $10 | $5,000 |
Post-Split | 100 | $50 | $5,000 |
Fractional Shares
As a result of the reverse stock split, a shareholder of the Fund's shares could potentially hold fractional shares. In this case, the Fund will redeem the cash value (at NAV) of any fractional shares resulting from the reverse split. Receipt of cash in lieu of fractional shares may result in a taxable event to shareholders, and each shareholder should consult with the shareholder's own tax advisers with respect to the appropriate treatment of the receipt of such cash payment.
Brokerage Charges
Some brokerage charges may apply as a result of the reverse split. These charges are made directly by the broker and are not charges from Global X Management Company LLC.
About Global X ETFs
Global X ETFs was founded in 2008. For more than fifteen years, our mission has been empowering investors with unexplored and intelligent solutions. Our product line-up features a wide range of ETF strategies and over $48 billion in assets under management.i While we are distinguished for our Thematic Growth, Income and International Access ETFs, we also offer both Core and Commodity funds to suit a wide range of investment objectives. Explore our ETFs, research and insights, and more at www.globalxetfs.com.
Global X is a member of Mirae Asset Financial Group, a global leader in financial services, with more than $600 billion in assets under management worldwide.ii Mirae Asset has an extensive global ETF platform ranging across the US, Australia, Brazil, Canada, Colombia, Europe, Hong Kong, India, Japan, Korea, and Vietnam with over $120bn in assets under management.iii
Important Information:
This information is not intended to be individual or personalized investment or tax advice and should not be used for trading purposes. Please consult a financial advisor or tax professional for more information regarding your investment and/or tax situation.
Investing involves risk, including the possible loss of principal. Shares of ETFs are bought and sold at market price (not NAV) and are not individually redeemed from the Fund. Brokerage commissions will reduce returns.
Carefully consider the Funds' investment objectives, risks, and charges and expenses before investing. This and other information can be found in the Fund's summary or full prospectuses, which are available at globalxetfs.com. Please read the prospectus carefully before investing.
Global X Management Company LLC serves as an advisor to Global X Funds. The Funds are distributed by SEI Investments Distribution Co. (SIDCO), which is not affiliated with Global X Management Company LLC or Mirae Asset Global Investments.
Information provided by Global X Management Company LLC (Global X ETFs or Global X).
i Global X, as of 5/30/2024
ii As of 5/30/2024
iii As of 5/30/2024
Media Contact: Naomi Sussis, [email protected]
SOURCE Global X Management Company LLC
