VanEck

We are making investing in our ETFs easier

The Offer

In June 2015 VanEck launched three funds on ASX offering CHESS Depositary Interests ('CDIs'):

The CDIs gave ASX investors cost effective access to:

» VanEck's NYSE listed ETFs on ASX, some of the largest and most liquid ETFs in the world;
» Trading of VanEck's leading ETFs on ASX during Australian trading hours and in Australian dollars; and
» Established investment opportunities and exposures that are not available elsewhere.

Now we have made it even easier for investors

VanEck has restructured the CDIs and replaced them with new Australian funds.

VanEck is making an offer to CDI Investors to exchange their CDIs for units in the new Australian funds on a 1:1 basis. The Offer closes at 5pm Wednesday 11th December 2019.

What CDI Investors need to do:

To remain invested CDI Investors need to accept the Offer from VanEck to exchange their CDIs for units in the new Australian funds and must provide their transfer instructions by no later than 5pm 11 December 2019. Depending on when CDI Investors provide their transfer instructions, their CDIs will be exchanged for units in the new Australian fund at no cost on a 1:1 basis prior to the open of trading on ASX every 14 days from Friday 25th October 2019 until Friday 13th December 2019 based on the value of the respective US fund’s shares at the close of trading on NYSE of the preceding business day.

The Offer should be read with the Product Disclosure Statement (PDS) for the new Australian funds.

The changes have no impact on CDI investors’ investment exposures or management fees and costs.

If you do not transfer your holdings to the new Australian funds your investment will be sold and your money returned to you in December 2019 less brokerage and foreign exchange costs and you will be unable to access your investment until that time.

Click here to transfer your holdings to the new Australian funds

What are the key benefits of the new funds?

The benefits to investors include:

  • No US tax forms (known as "W-8BEN" forms);
  • No US Estate Tax implications;
  • A Dividend Reinvestment Plan (DRP) is now available;
  • Continued access to some of the largest and most liquid ETFs in the world;
  • An overall investor experience aligned to VanEck's other ASX listed ETFs.

Most importantly, the changes have no impact on your investment exposures or management fees and costs.
After the restructure the ASX trading codes will not change.

Click here to transfer your holdings to the new Australian funds

The changes relate to the following VanEck Vectors ETFs

VanEck Vectors Morningstar Wide Moat ETF

Letter of Offer CDI Supplementary PDS New Australian fund PDS

VanEck Vectors ChinaAMC CSI 300 ETF

Letter of Offer CDI Supplementary PDS New Australian fund PDS
Click here to transfer your holdings to the new Australian funds

Key Dates

Friday 30
August 2019

Announcement on ASX for Investors in GDX, MOAT and CETF.

Letter of Offer sent to  (CDI Investors) for GDX, MOAT and CETF.

CDI Investors will be sent the Letter of Offer via their preferred communication method (a copy can be found here), please contact Link Market Services on 1300 68 38 37 if you have not received your copy.

Tuesday 8
October 2019
Last day for trading of CDIs for GDX, MOAT and CETF on ASX.
Wednesday 9 October 2019 
New Australian funds commence trading on ASX on a deferred settlement basis under the trading codes CETDA, GDXDA and MOADA.
Wednesday 9
October 2019
–
Wednesday 11
December 2019

For those CDI Investors who have taken up the Offer:

Depending on when transfer instructions were provided, CDIs will be exchanged for units in the new Australian fund at no cost on a 1:1 basis prior to the open of trading on ASX every 14 days from Friday 25th October until Friday 13th December 2019 based on the value of the respective US fund’s shares at the close of trading on NYSE of the preceding business day.

For those CDI Investors who have not taken up the Offer:

During this time, CDI Investors will not be able to trade their CDIs.

Tuesday 17
December 2019
–
Friday 20
December 2019

For those CDI Investors who have not taken up the Offer:

Any remaining CDIs will be sold down with payment proceeds distributed to investors who did not elect to exchange their CDIs for units in the new fund(s). Costs of the sale will be deducted from the sale proceeds.

Click here to transfer your holdings to the new Australian funds

Frequently Asked Questions

A CDI is the instrument developed by a subsidiary of ASX that gives investors the same beneficial interests in foreign companies and funds as holding the foreign company or fund shares directly.

CDIs were used up until 8 October 2019 to give Australian investors access to three of VanEck's US ETFs on ASX: GDX, MOAT and CETF. The US Funds are principally listed on the New York Stock Exchange (NYSE).

The US Funds have been removed from trading on ASX and the associated CDI programs have been terminated. To enable investors to continue their investment in GDX, MOAT and CETF, VanEck has launched new Australian funds. To continue trading their investment on ASX, CDI holders must exchange their CDIs for units in the new Australian funds. VanEck is offering to exchange all the CDIs for units in the new funds at no cost. But CDI investors must provide transfer instructions to make this happen. The new Australian funds give investors a number of benefits. As the US Funds have been removed from trading on ASX, you can no longer sell your CDIs on ASX. The only way to access your investment via ASX prior to the end of December is to provide your transfer instructions before 5pm 11 December 2019. If you fail to do so, your investment will be sold and the proceeds returned to you, less brokerage and foreign exchange costs.

If you accept the Offer there are no costs associated with the process of converting to the Australian funds and no additional fees and charges when they are converted. Importantly, there has also been no change to the management costs in the new funds.

If you do not accept the Offer, your remaining CDIs will be sold and your money returned to you in December 2019 less brokerage and foreign exchange costs.

If you complete the Transfer Form online you will receive a confirmation via email. If you send your Transfer Form via post you will not receive a confirmation and will need to contact us on 1300 68 38 37 between 8:30 am and 5:00pm (AEST), Monday to Friday to confirm receipt.

Any remaining CDIs will be sold down and proceeds less brokerage and foreign exchange costs distributed to investors who did not elect to exchange their CDIs for units in the new Australian fund(s). The sale will occur on or about 17th December 2019 and net proceeds will be paid in or about late December 2019.

Trading ceased on Tuesday, 8 October 2019. The trading codes have now been assigned to the new Australian funds. CDI holders cannot trade their investment under those codes unless they accept VanEck's Offer to convert their CDIs to units in the new funds..

VanEck has sent multiple letters and emails to investors to their address on file with the Registrar, Link Market Services. If you have not received any of these communications, please speak to your financial adviser or stock broker or contact us on 1300 68 38 37 between 8:30 am and 5:00pm (AEST), Monday to Friday.

Australian tax law provides ‘roll-over relief’ from the imposition of CGT when one security is exchanged for another security. The roll-over relief allows investors to ignore any capital gain and to instead treat the new security as having been acquired when the original security was acquired, and at the price paid for the original security. We are of the view that the offer to acquire the CDIs in exchange for units in the new feeder-fund will meet all of the conditions for roll-over relief. The Australian Taxation Office’s Class Ruling CR 2018/45 applied to a similar transaction. You should consult your own professional tax adviser before making a decision.

Wednesday, 11th December 2019.

Two days, 9th and 10th October 2019. CDI Investors who elect to exchange their CDIs for units in the new Australian funds will be able to trade their new units on 11th October 2019.

Investors will be able to purchase new units in the new Australian funds from 9th October 2019.

Please contact your platform administrator.

If you have further questions please call us on 1300 68 38 37

Click here to transfer your holdings to the new Australian funds

Contact us

If you require further information please contact us on 1300 68 38 37
between 8:30 am and 5:00pm (AEST), Monday to Friday.

We are making investing with VanEck simpler for Australian investors and advisers.

We thank you for your continued support.

Click here to transfer your holdings to the new funds

Important Notice

This page contains general information only and is not personal financial advice. The information does not take into account the individual investment objectives, financial situation or needs of any person. Before making an investment decision, you should consider in consultation with professional financial and tax advisers if the decision is appropriate
for your personal financial situation, needs and objectives.