Mutual Fund Sponsor Receives Approval for First Mutual Fund to ETF Conversion

March 5, 2021

Two mutual funds advised by Guinness-Atkinson, Guinness Atkinson Asia Pacific Dividend Builder Fund and Guinness Atkinson Dividend Builder Fund (Guinness Atkinson Funds), recently received a declaration of effectiveness from the SEC on a Form N-14 registration statement to convert into SmartETFs Asia Pacific Dividend Builder ETF and SmartETFs Dividend Builder ETF.

The Guinness Atkinson Funds are relying on Rule 17a-8 under the 1940 Act to convert into ETFs without seeking shareholder approval. Rule 17a-8 permits affiliated funds registered under the 1940 Act, such as funds that share the same adviser, to merge with each other, subject to certain conditions.

The conversions are expected to take place later this month. If completed, the Guinness Atkinson Funds merger would be the first successful mutual fund to ETF conversions.


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Exchange-Traded Funds (ETFs), Investment Advisers, Investment Companies