AdvisorShares Announces Fund Closure
BETHESDA, MD — September 16, 2019 — The AdvisorShares Trust announced that it has received correspondence from Staff of Nasdaq Listing Qualifications advising that the AdvisorShares Sabretooth ETF is not currently in compliance with the requirement to maintain a minimum number of shares outstanding. Listing Rule 5735(d)(1)(A) provides that Nasdaq will establish a minimum number of Managed Fund Shares required to be outstanding at the time of initial listing. Listing Rule 5735(d)(2)(C)(v) provides that this minimum number also must be maintained for continued listing. While the number of shares is not explicitly stated in the rule, Staff believes that 100,000 is the appropriate minimum number because it is consistent with the minimum requirement established in Rule 5705(b)(6)(B) for listing Index Fund Shares and the minimum included in Rule 19b-4 filings required to list Managed Fund Shares that did not satisfy or pre-dated the generic listing requirements.
Due to the fund’s inability to attract sufficient investment assets, AdvisorShares Investments, LLC believes that BKCH cannot conduct business and operations in an economically efficient manner. As a result, the AdvisorShares Board of Trustees approved the closing and subsequent liquidation of BKCH. The fund’s last day of trading will be September 27, 2019, which will also be the final day for creations or redemptions by authorized participants. The fund will cease operations, withdraw its assets, and distribute the remaining proceeds to shareholders on or after October 4, 2019.
For financial professionals and investors requesting more information, visit www.advisorshares.com or call AdvisorShares at 877-843-3831.