GraniteShares Announces Reverse Split of NVD
Posted:NEW YORK — October 28, 2024 — GraniteShares has announced it will execute a reverse share split for one of its ETFs. The total market value of the shares outstanding will not be affected as a result of the transaction.
Reverse split will be executed on GraniteShares 2x Short NVDA Daily ETF.
After the close of the markets on November 01, 2024 (the “Payable Date”), the Fund will effect a reverse split of its issued and outstanding shares as follows:
| Fund Name | Ticker | Reverse Split Ratio | Approximate decrease in total number of outstanding shares |
|---|---|---|---|
|
NVD |
1 for 25 |
96% |
Please note the CUSIP change, effective November 04, 2024:
| Fund Name | Current CUSIP | New CUSIP |
|---|---|---|
|
38747R 793 |
38747R 629 |
As a result of the reverse split, every twenty-five shares of the Fund will be exchanged for one share of the Fund. Accordingly, the total number of the issued and outstanding shares for the Fund will decrease by the approximate percentage indicated above. In addition, the per share net asset value (“NAV”) and next day’s opening market price will be approximately twenty-five-times higher for the Fund. Shares of the Fund will begin trading on the NASDAQ Stock Market. (the “NASDAQ”) on a split-adjusted basis on November 04, 2024.
The next day’s opening market value of the Fund’s issued and outstanding shares, and thus a shareholder’s investment value, will not be affected by the reverse split. The table below illustrates the effect of a hypothetical one-for- twenty-five reverse split anticipated for the Fund:
1-for-25 Reverse Split
| Period | # of Shares Owned | Hypothetical NAV | Total Market Value |
|---|---|---|---|
|
Pre-Reverse Split |
1,000 |
$1 |
$1,000 |
|
Post-Reverse Split |
40 |
$25 |
$1,000 |
Redemption of Fractional Shares and Tax Consequences of the Reverse Split
As a result of the reverse split, a shareholder of the Fund’s shares potentially could hold a fractional share. However, fractional shares cannot trade on the NASDAQ. Thus, the Fund will redeem for cash a shareholder’s fractional shares at the Fund’s split-adjusted NAV as of the Effective Date. Such redemption may have tax implications for those shareholders and a shareholder could recognize a gain or loss in connection with the redemption of the shareholder’s fractional shares. Otherwise, the reverse split will not result in a taxable transaction for holders of Fund shares. No transaction fee will be imposed on shareholders for such redemption.
The GraniteShares ETF Trust’s transfer agent will notify the Depository Trust Company (“DTC”) of the reverse split and instruct DTC to adjust each shareholder’s investment(s) accordingly. DTC is the registered owner of the Fund’s shares and maintains a record of the Fund’s record owners.
All GraniteShares leveraged and inverse ETFs are intended only for investors with an in-depth understanding of the risks associated with seeking leveraged investment results, and who plan to actively monitor and manage their positions. There is no guarantee these ETFs will meet their objective.
About GraniteShares
GraniteShares is an independent ETF issuer headquartered in New York City.
GraniteShares current ETF offering is presented below:
| ETF NAME | TICKER | UNDERLYING STOCK | MANAGEMENT FEE/TOTAL EXPENSES |
|---|---|---|---|
|
GraniteShares 2x Long AAPL Daily ETF |
Apple Inc. |
0.99%/1.15% |
|
|
GraniteShares 2x Long AMD Daily ETF |
Advanced Micro Devices, Inc. |
0.99%/1.15% |
|
|
GraniteShares 1x Short AMD Daily ETF |
Advanced Micro Devices, Inc. |
0.99%/1.15% |
|
|
GraniteShares 2x Long AMZN Daily ETF |
Amazon.com, Inc. |
0.99%/1.15% |
|
|
GraniteShares 2x Long BABA Daily ETF |
Alibaba Group Holding Limited |
0.99%/1.15% |
|
|
GraniteShares 2x Long COIN Daily ETF |
Coinbase Global Inc |
0.99%/1.15% |
|
|
GraniteShares 1x Short COIN Daily ETF |
Coinbase Global Inc |
1.30%/1.50% |
|
|
GraniteShares 2x Long META Daily ETF |
Meta Platforms Inc |
0.99%/1.15% |
|
|
GraniteShares 2x Long MSFT Daily ETF |
Microsoft Corp |
0.99%/1.15% |
|
|
GraniteShares 2x Long NVDA Daily ETF |
Nvidia Corporation |
0.99%/1.15% |
|
|
GraniteShares 2x Short NVDA Daily ETF |
Nvidia Corporation |
1.30%/1.50% |
|
|
GraniteShares 2x Long PLTR Daily ETF |
Palantir technologies Inc |
0.99%/1.15% |
|
|
GraniteShares 1.25x Long TSLA Daily ETF |
Tesla Inc |
0.99%/1.15% |
|
|
GraniteShares 2x Long TSLA Daily ETF |
Tesla Inc |
0.95%/0.95% |
|
|
GraniteShares 2x Short TSLA Daily ETF |
Tesla Inc |
0.95%/0.95% |
|
|
GraniteShares 2x Long UBER Daily ETF |
Uber Technologies Inc |
0.99%/1.15% |
| ETF NAME | TICKER | EXPOSURE |
MANAGEMENT FEE/TOTAL EXPENSES |
|
|---|---|---|---|---|
|
GraniteShares Gold Trust |
Gold |
0.17% |
||
|
GraniteShares Bloomberg Commodity Broad Strategy No K-1 ETF |
Broad Commodities |
0.25% |
||
|
GraniteShares HIPS US High Income ETF |
High Income |
0.70%/1.99% |
||
|
GraniteShares Platinum Trust |
Platinum |
0.50% |
||
|
GraniteShares Nasdaq Select Disruptors ETF |
U.S. Large Cap |
0.60% |
||
Gregory FCA for GraniteShares
Kathleen Elicker, 484-889-6597
Important Information
Investors should consider the investment objectives, risks, charges and expenses carefully before investing. For a prospectus or summary prospectus with this and other information about the Funds, please call (844) 476 8747 or visit www.graniteshares.com. Read the prospectus or summary prospectus carefully before investing.
The investment program of the funds is speculative, entails substantial risks and include asset classes and investment techniques not employed by more traditional mutual funds.
PRINCIPAL FUND RISKS (see the Prospectus for more information)
GraniteShares Leveraged Long and Inverse Daily ETFs are not suitable for all investors. The funds seek daily leveraged investment results and are intended to be used as short-term trading vehicles. The funds pursue daily leveraged investment objectives, which means that the funds are riskier than alternatives that do not use leverage because the fund magnifies the performance of the underlying security. The volatility of the underlying security may affect the fund return as much as, or more than, the return of the underlying security. Investors who do not understand the Funds, or do not intend to actively manage their funds and monitor their investments, should not buy the Funds. The Funds are designed to be utilized only by traders and sophisticated investors who understand the potential consequences of seeking daily inverse and/or leveraged investment results, understand the risks associated with the use of leverage and/or short sales and are willing to monitor their portfolios frequently. For periods longer than a single day, the Funds will lose money if the underlying stock’s performance is flat, and it is possible that the Funds will lose money even if the underlying stock’s performance increases over a period longer than a single day. An investor could lose the full principal value of his/her investment within a single day. The Funds track the price of a single stock rather than an index, eliminating the benefits of diversification that most mutual funds and exchange-traded funds offer. Although the Funds will be listed and traded on an exchange, an investment in a Fund may not be suitable for every investor. The Funds pose risks that are unique and complex.
This information is not an offer to sell or a solicitation of an offer to buy shares of any Funds to any person in any jurisdiction in which an offer, solicitation, purchase or sale would be unlawful under the securities laws of such jurisdiction.
THE FUNDS ARE DISTRIBUTED BY ALPS DISTRIBIUTORS, INC. GRANITESHRES IS NOT AFFILIATED WITH ALPS DISTRIBUTORS, INC
