SS&C ALPS Advisors Announces Closing of Travel ETF Fund
SS&C ALPS Advisors to Liquidate Global Travel ETF
SS&C ALPS Advisors, a subsidiary of SS&C Technologies Holdings, Inc. (NASDAQ: SSNC), has announced plans to wind down the ALPS Global Travel Beneficiaries ETF (the Fund). The firm will close the Fund to new investors and move forward with liquidation, a decision aimed at simplifying operations and serving existing shareholders’ best interests.
Closure and Liquidation Timeline
The Fund will stop taking in new money soon, with a firm end date approaching. After consultation with ALPS Advisors, the Board of Trustees for the ALPS ETF Trust reviewed the Fund’s track record and growth prospects. Their conclusion was straightforward: the Fund hasn’t attracted enough investor interest since launch, and closing it is the most prudent step for shareholders.
What Shareholders Should Expect
Effective immediately, the ALPS Global Travel Beneficiaries ETF won’t accept new investors. Current shareholders may continue to sell their shares on the exchange until the final trading day, set on a specific date. Shortly after that day, the Fund’s trading activity will stop, so it’s wise for investors to review their positions and decide on next steps ahead of the deadline.
How the Liquidation Will Work
Once the closure is finalized, the Fund will begin liquidating its portfolio. In practice, that means selling investments and increasing cash holdings to prepare for distributions to shareholders. During this period, the Fund may hold more cash and fewer securities than usual. Shareholders can expect updates throughout the process so they know what’s happening and when.
If you plan to sell your shares on the market before liquidation, keep in mind that market conditions and trading volume can affect execution and price. If you prefer to wait, you’ll receive a cash distribution once the liquidation is complete.
Distributions and Tax Considerations
At liquidation, shareholders will receive cash based on the Fund’s net asset value (NAV) corresponding to their holdings. There won’t be transaction fees associated with the distribution itself. Portions of that payout may be taxable as ordinary income or capital gains, depending on each investor’s situation. As always, consider consulting a tax professional for personal guidance.
About SS&C Technologies
Founded in 1986, SS&C Technologies provides software and services to clients across financial services and healthcare. The company serves roughly 20,000 organizations, from large enterprises to specialized firms, reflecting a broad and deep client base. Its scale and focus on service have helped solidify SS&C’s standing in these industries.
SS&C ALPS Advisors
SS&C ALPS Advisors operates within the SS&C family and has established itself in the investment management space. As of mid-2024, the firm manages more than $24.96 billion, offering strategies designed for advisors and institutions. Its lineup emphasizes sustainable income, alternative approaches, and thematic investments—tools intended to help clients build and balance portfolios with clarity and purpose.
Frequently Asked Questions
Why is SS&C ALPS Advisors closing the ALPS Global Travel Beneficiaries ETF?
The Fund didn’t attract sufficient investor interest, and after reviewing performance and growth potential, the Board determined that closing and liquidating the Fund is in shareholders’ best interests.
What is the last trading day for the Fund?
The final day to trade the ALPS Global Travel Beneficiaries ETF on the exchange is October 17, 2024.
Can I sell my shares before liquidation without extra fees?
You can sell shares on the market up to the last trading day, subject to normal brokerage commissions. For the liquidation itself, shareholders won’t incur transaction fees related to the cash distribution.
What happens to the Fund’s investments during liquidation?
The Fund will sell its holdings and increase cash balances. The resulting cash will be used to pay shareholders according to the net asset value of their shares.
How will my cash distribution be calculated, and is it taxable?
Your distribution will be based on the net asset value of the shares you own at liquidation. Some or all of that amount may be taxed as ordinary income or capital gains, depending on your individual tax situation.
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