Brown Brothers Harriman (BBH) has supported the conversion of two open-end mutual funds to exchange-traded funds (ETFs), marking the first two mutual funds converted into ETFs in the US.
This was carried out on behalf of Guinness Atkinson Asset Management: Guinness Atkinson Dividend Builder Fund (GAINX) and Guinness Atkinson Asia Pacific Dividend Builder Fund (GAADX).
BBH has a long-standing relationship with Guinness Atkinson, serving as custodian, transfer agent, and fund accountant to their mutual funds for over a decade, as well as providing ETF support to their SmartETFs business line since inception in 2019.
Guinness Atkinson made the decision to transition the current funds based on growing demand from its shareholder base for access to ETFs and its own previous success in launching three ETF products.
These two dividend funds are of particular interest to investors, which Guinness Atkinson suggests will be of even greater interest as ETFs.
Ryan Sullivan, head of US ETF servicing at BBH, says: “We are proud to support Guinness Atkinson in achieving this important industry milestone. This represents a new opportunity for fund managers to bring assets and historic track records to newly listed ETFs and could spark another wave of product development in the ETF market.”
Jim Atkinson, CEO of Guinness Atkinson Asset Management, comments: “This conversion represents the culmination of a dialogue we’ve had with our shareholder base, who, like many, are increasingly attracted to the benefits of ETFs, including their lower costs and greater flexibility.”
“This conversion was possible thanks to the work with our great partners at BBH and we are grateful for their expertise and effort,” adds Atkinson.
