Contact Information: Contact: Morrison Shafroth CSG|PR (720) 470-3653
Grail Advisors First to Market Again With Launch of Riverpark ETFs
Four New Equity Funds Represent ETF Industry's First Single-Manager Funds Using Traditional Active Management
| Source: Grail Advisors
SAN FRANCISCO, CA--(Marketwire - October 1, 2009) - Grail Advisors, an innovator in the
development and distribution of active-managed exchange traded funds
(ETFs), today announced that trading of its four new actively-managed ETFs
-- RP Growth ETF, RP Focused Large Cap Growth ETF, RP Technology ETF, and
RP Financials ETF -- is expected to commence on the New York Stock Exchange
on October 2.
The new funds represent the industry's first single-manager ETFs in the
equity space using traditional active management. New York-based RiverPark
Advisors, LLC (RiverPark) will serve as the primary sub-adviser for each of
the funds. Wedgewood Partners, Inc. of St. Louis will also serve as
co-sub-adviser to the RP Focused Large Cap Growth ETF.
Grail Advisors will serve as the funds' manager. Similar to traditional
actively-managed mutual funds and unlike other single-manager ETFs in the
marketplace, the new Grail offerings allow portfolio managers unrestricted
trading.
"Our stated goal has been to bring a full lineup of traditional, active
fund managers and strategies to the ETF marketplace," said William M.
Thomas, CEO of Grail Advisors LLC. "We're particularly enthusiastic about
the level of asset management expertise and experience the RiverPark funds
introduce to the ETF structure."
Grail Advisors rolled out the market's first true, actively-managed equity
ETF in May -- the Grail American Beacon Large Cap Value ETF (NYSE : GVT ).
That fund was designed to incorporate traditional investment management
approach and a multi-manager format into an active ETF structure. The
single-manager RiverPark funds will take active ETFs a step further,
combining all the benefits of an ETF structure -- lower costs, tax
efficiency, transparency of holdings, and intra-day trading -- with
actively-managed strategies from a veteran asset management team.
Total operating expenses for each of the four RiverPark funds will be
limited to 0.89% of average daily net assets annually.
RiverPark was founded in 2006 by Morty Schaja, CFA, who serves as the
firm's Chief Executive Officer, and Mitchell Rubin, CFA, who is the Chief
Investment Officer. All of RiverPark's principals, including Mr. Schaja,
Mr. Rubin, and portfolio manager Conrad van Tienhoven, came to the firm
from Baron Funds. RiverPark has assembled a prestigious group of outside
advisors to support the senior team in the management of the funds. David
A. Rolfe, CFA, Wedgewood's Chief Investment Officer, will be the portfolio
manager of RP Focused Large Cap Growth ETF.
"We embrace the full transparency, continuous liquidity, and low-cost fee
structure that ETFs can deliver," said Mr. Schaja. "More than that, we're
fully committed to providing investors with access to distinctive portfolio
management. We're thrilled to be working toward all of those ends with
Grail."
San Francisco-based Grail Advisors intends to increasingly make the
benefits of ETFs available to the large pool of investors who currently
select traditional mutual funds or other vehicles to access active
portfolio management. A second multi-manager offering -- the Grail American
Beacon International Equity ETF -- is on track to begin trading later this
year. The fund will be the first ETF in the international equity space to
incorporate traditional active management.
Mr. Thomas says Grail Advisors is currently in discussions with a number of
leading financial institutions and asset managers, and expects to launch a
number of customized, actively-managed ETFs, including fixed-income funds,
that will provide full, daily disclosure on all holdings.
About Grail Advisors LLC
Grail Advisors LLC, an innovator in the creation and distribution of
actively managed Exchange Traded Funds, partners with established asset
managers, distributors, and related financial institutions to design and
deliver actively managed ETFs. Grail Advisors was created to deliver ETFs
using fully disclosed active portfolio management to the global investment
community.
About RiverPark Advisors LLC
RiverPark Advisors, LLC is a New York-based investment advisory company.
The firm offers its advisory services in separate accounts and alternative
vehicles, and actively-managed ETFs. For more information please call
212-484-2100, or visit www.riverparkllc.com.
1. Ordinary brokerage fees apply.
2. Exchange trading of ETFs further enhances their tax efficiency.
Investors who want to liquidate shares in an ETF simply sell them to other
investors through exchange trading. Because of this unique structure, ETFs
are not required to sell securities to meet investor cash redemptions,
potentially generating capital gains tax liability for remaining investors.
Keep in mind that the sale of an ETF will generate capital gains/losses for
the investor liquidating shares.
3. ETFs are considered transparent because their portfolio holdings are
disclosed daily.
4. ETFs are considered to have continuous liquidity because they allow for
an individual to trade throughout the day.
William M. Thomas is a registered representative of ALPS Distributors, Inc.
Shares are not individually redeemable and that the owners of Shares may
purchase or redeem Shares from a Fund in Creation Units only.
There are risks involved with investing including possible loss of
principal. The ETFs are actively managed and the Shares may trade above or
below their net asset value. The trading price of shares may deviate
significantly from net asset value during periods of market volatility.
Shares are not FDIC insured, may lose value, and will have no bank
guarantee.
An investor should consider investment objectives, risks, charges and
expenses carefully before investing. The Prospectus contains this and other
information. For more complete information about the RP Growth ETF, RP
Focused Large Cap Growth ETF, RP Technology ETF, RP Financials ETF and
Grail American Beacon ETFs or to obtain a Prospectus, call 415-677-5870.
Please read the Prospectus carefully before investing.
The ETFs are new and have limited operating history.
ALPS Distributors, Inc. is not affiliated with the mentioned entities --
River-Park Advisors and Wedgewood.
RP Growth ETF, RP Focused Large Cap Growth ETF, RP Technology ETF, RP
Financials ETF and Grail American Beacon ETFs are distributed by ALPS
Distributors, Inc.