Procure Disaster Recovery ETF to Close

Rhea-AI Summary

ProcureAM, has announced the closure and liquidation of its Procure Disaster Recovery Strategy ETF (NASDAQ:FIXT). The fund's last full trading day on NASDAQ will be October 17, 2024. After this date, the fund will cease accepting orders for Creation Units and may not pursue its investment objectives. The liquidation date is set for October 24, 2024. Shareholders can sell their shares on NASDAQ until market close on October 17, 2024. Any remaining shares will be automatically redeemed on the Liquidation Date at net asset value. ProcureAM will bear the administration costs of the fund's termination and liquidation. While the liquidation is not expected to be a taxable event for the fund, it may result in taxable gains or losses for shareholders.

Positive

• ProcureAM will cover administration costs associated with the fund's termination and liquidation

Negative

• Procure Disaster Recovery Strategy ETF (FIXT) is being closed and liquidated
• Trading of FIXT shares on NASDAQ will halt after market close on October 17, 2024
• Shareholders may incur taxable gains or losses from the automatic redemption of shares

LEVITTOWN, PA / ACCESSWIRE / October 3, 2024 / ProcureAM, LLC, an innovator in the exchange-traded fund (ETF) industry, today announced that it will close and liquidate one of its ETFs, Procure Disaster Recovery Strategy ETF (NASDAQ:FIXT), a series of Procure ETF Trust II (the "Fund"). ProcureAM's commitment to responding to investors' needs includes a regular review of its product lineup, which has led to a decision to liquidate the Fund.

October 17, 2024 will be the Fund's last full day of trading on the Nasdaq Stock Market ("NASDAQ"). Effective as of the close of business on October 17, 2024, the Fund will no longer accept orders for the purchase of Creation Units. Beginning when the Fund commences the liquidation of its portfolio, the Fund may not pursue its investment objectives or, with certain exceptions, engage in normal business activities, and the Fund may hold cash and securities that may not be consistent its investment objective and strategy.

The liquidation date for the Fund will be on or about October 24, 2024 ("Liquidation Date"). NASDAQ is expected to halt trading in shares of the Fund after the market close on October 17, 2024. There can be no assurance that there will be a market for the purchase or sale of Fund shares during the time between the market close on October 17, 2024 and the Liquidation Date, because Fund shares will not be traded on NASDAQ. Shareholders of the Fund may sell their shares on NASDAQ until the market close on October 17, 2024 and may incur customary transaction fees from their broker-dealer in connection with such sales. After the close of the market on October 17, 2024 and prior to the Liquidation Date, Authorized Participants may continue to submit orders to the Fund for the redemption of Creation Units.

In connection with the liquidations, any shares of the Fund outstanding on the Liquidation Date will be automatically redeemed as of the close of business on the Liquidation Date without the imposition of customary redemption transaction fees. The proceeds of any such redemption will be equal to the net asset value of such shares after the Fund has paid or provided for all of its charges, taxes, expenses and liabilities, including certain operational costs of liquidating the Fund. The distribution to shareholders of these liquidation proceeds will occur as soon as practicable, and will be made to all Fund shareholders at the time of the liquidations. Administration costs associated with the termination and liquidation of the Fund will be borne by ProcureAM.

Although the liquidations are not expected to be taxable events for the Fund, for taxable shareholders, the automatic redemption of shares of the Fund on the Liquidation Date will generally be treated as a sale that may result in a gain or loss for federal income tax purposes. Please consult your personal tax advisor about the potential tax consequences.

For additional information about the liquidations, shareholders of the Fund may call (866) 690-3837, or by sending an email request to info@procuream.com.

About ProcureAM

ProcureAM, LLC (ProcureAM) is an innovative exchange-traded product (ETP) issuer based in Levittown, Pennsylvania. Established by renowned industry veterans Robert Tull and Andrew Chanin, ProcureAM offers a unique platform for the creation of both proprietary and partnered ETPs. ProcureAM listens to clients and endeavors to provide investors with access to distinct investment opportunities. Whether you are looking to invest in ETPs or create one, contact ProcureAM to explore your performance potential: www.ProcureETFs.com.

Media Contact
Gregory FCA for ProcureAM
Olivia DeGirolamo
609-350-3100
procuream@gregoryfca.com

Important Information

Please consider the Funds investment objectives, risks, and charges and expenses carefully before you invest. This and other important information is contained in the Fund's summary prospectus and prospectus, which can be obtained by visiting procureetfs.com. Read carefully before you invest.

Investing involves risk. Principal loss is possible. The Fund is also subject to the following risks: Shares of any ETF are bought and sold at market price (not NAV), may trade at a discount or premium to NAV and are not individually redeemed from the funds. Brokerage commissions will reduce returns. Securities of small- and mid-capitalization companies may experience much more price volatility, greater spreads between their bid and ask prices and significantly lower trading volumes than securities issued by large, more established companies. The Fund is not actively managed so it would not take defensive positions in declining markets unless such positions are reflected in the underlying index. Please refer to the summary prospectus for a more detailed explanation of the Funds' principal risks. It is not possible to invest in an index.

Natural Disaster/Epidemic Risk - Natural or environmental disasters, such as earthquakes, fires, floods, hurricanes, tsunamis and other severe weather-related phenomena generally, and widespread disease, including pandemics and epidemics, have been and may be highly disruptive to economies and markets, adversely impacting individual companies, sectors, industries, markets, currencies, interest and inflation rates, credit ratings, investor sentiment, and other factors affecting the value of the Fund's investments.

Foreign Investment Risks - Foreign securities are typically more volatile, harder to price, and less liquid than U.S. securities.

American Depositary Receipt Risk (ADR)-ADRs involve risks like those associated with investments in foreign securities, including changes in political or economic conditions of other countries and changes in the exchange rates of foreign currencies. ADRs listed on U.S. exchanges are issued by banks or trust companies and entitle the holder to all dividends and capital gains paid out on the underlying foreign shares. Investing in ADRs as a substitute for an investment directly in the foreign company shares, exposes the Fund to the risk that the ADRs may not provide a return that corresponds precisely with that of the foreign company's shares.

The Procure Disaster Recovery Strategy ETF is neither associated with, nor endorsed by, the Federal Emergency Management Agency.

The Procure Disaster Recovery Strategy ETF is distributed by Quasar Distributors LLC.

SOURCE: ProcureAM

View the original press release on accesswire.com

FAQ

When will the Procure Disaster Recovery Strategy ETF (FIXT) stop trading on NASDAQ?

The last full trading day for FIXT on NASDAQ will be October 17, 2024. After the market close on this date, NASDAQ is expected to halt trading in shares of the fund.

What is the liquidation date for the Procure Disaster Recovery Strategy ETF (FIXT)?

The liquidation date for FIXT is set for on or about October 24, 2024.

Will shareholders of FIXT incur any fees during the liquidation process?

Shareholders will not incur customary redemption transaction fees for the automatic redemption of shares on the Liquidation Date. However, they may incur customary transaction fees from their broker-dealer if they choose to sell their shares on NASDAQ before October 17, 2024.

Are there tax implications for FIXT shareholders due to the fund's liquidation?

While the liquidation is not expected to be a taxable event for the fund itself, taxable shareholders may experience a gain or loss for federal income tax purposes due to the automatic redemption of shares. Shareholders are advised to consult their personal tax advisors.