Columbia ETF Trust I |
Columbia Diversified Fixed Income Allocation ETF: DIAL |
Columbia Multi-Sector Municipal Income ETF: MUST |
Columbia Sustainable Global Equity Income ETF: ESGW |
Columbia Sustainable International Equity Income ETF: ESGN |
Columbia Sustainable U.S. Equity Income ETF: ESGS |
Columbia ETF Trust II |
Columbia Beyond BRICs ETF: BBRC |
Columbia EM Core ex-China ETF: XCEM |
Columbia EM Quality Dividend ETF: HILO |
Columbia Emerging Markets Consumer ETF: ECON |
Columbia India Consumer ETF: INCO |
Columbia India Infrastructure ETF: INXX |
Columbia India Small Cap ETF: SCIN |
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2 |
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6 |
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9 |
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15 |
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15 |
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50 |
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79 |
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80 |
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81 |
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84 |
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85 |
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86 |
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86 |
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86 |
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87 |
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87 |
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88 |
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92 |
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92 |
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94 |
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96 |
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96 |
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107 |
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110 |
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110 |
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113 |
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115 |
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128 |
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142 |
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147 |
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148 |
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148 |
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156 |
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A-1 |
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B-1 |
Statement of Additional Information – July 18, 2018 | 1 |
■ | the organization of each Trust; |
■ | the Funds' investments; |
■ | the Funds' investment adviser, investment subadviser(s) (if any) and other service providers, including roles and relationships of Ameriprise Financial and its affiliates, and conflicts of interest; |
■ | the governance of the Funds; |
■ | the Funds' brokerage practices; |
■ | the purchase, redemption and pricing of Fund Creation Units; and |
■ | the application of U.S. federal income tax laws. |
1933 Act | Securities Act of 1933, as amended |
1934 Act | Securities Exchange Act of 1934, as amended |
1940 Act | Investment Company Act of 1940, as amended |
Active Fund(s) | Funds that are actively managed and do not seek to replicate the performance of a specified index; there are no Active Funds currently offered in this SAI |
Administrator | The Bank of New York Mellon or BNY Mellon |
Administrative Services Agreement | The Fund Administration and Accounting Agreement, as amended, if applicable, between a Trust, on behalf of its Funds, and the Administrator |
Advisers Act | Investment Advisers Act of 1940, as amended |
Ameriprise Financial | Ameriprise Financial, Inc. |
Statement of Additional Information – July 18, 2018 | 2 |
Authorized Participant | A broker-dealer or other participant in the Continuous Net Settlement System of the National Securities Clearing Corporation (NSCC) or a participant in DTC with access to the DTC system, and who has executed an agreement with the Distributor that governs transactions in the Funds’ Creation Units |
Balancing Amount | An amount equal to the difference between the NAV of a Creation Unit and the market value of the In-Kind Creation (or Redemption) Basket, used to ensure that the NAV of a Fund Deposit (or Redemption) (other than the Transaction Fee) is identical to the NAV of the Creation Unit being purchased |
Board | A Trust’s Board of Trustees |
Business Day | Any day on which the NYSE is open for business |
Cash Component | An amount of cash consisting of a Balancing Amount and a Transaction Fee calculated in connection with creations |
Cash Redemption Amount | An amount of cash consisting of a Balancing Amount and a Transaction Fee calculated in connection with redemptions |
CEA | Commodity Exchange Act |
CFTC | The United States Commodities Futures Trading Commission |
CMOs | Collateralized mortgage obligations |
Code | Internal Revenue Code of 1986, as amended |
Codes of Ethics | The codes of ethics adopted by the Funds, the Investment Manager, ALPS Distributors, Inc. and/or any sub-adviser, as applicable, pursuant to Rule 17j-1 under the 1940 Act |
Columbia ETF Trust I | CET I |
Columbia ETF Trust II | CET II |
Columbia Funds or Columbia Funds Complex | The fund complex, including the Funds, that is comprised of the registered investment companies, including traditional mutual funds, closed-end funds, and ETFs, advised by the Investment Manager or its affiliates |
Columbia Management | Columbia Management Investment Advisers, LLC |
Creation Unit | An aggregation of 50,000 shares that each Fund issues and redeems on a continuous basis at NAV. Shares will not be issued or redeemed except in Creation Units |
Custodian | BNY Mellon |
Distribution Agreement | The Distribution Agreement between a Trust, on behalf of its Funds, and the Distributor |
Distribution Plan(s) | One or more of the plans adopted by the Board pursuant to Rule 12b-1 under the 1940 Act for the distribution of the Funds’ shares |
Distributor | ALPS Distributors, Inc. |
DTC | Depository Trust Company |
Exchange | NYSE Arca, Inc. |
FDIC | Federal Deposit Insurance Corporation |
FHLMC | The Federal Home Loan Mortgage Corporation |
FINRA | Financial Industry Regulatory Authority |
Fitch | Fitch, Inc. |
FNMA | Federal National Mortgage Association |
Foreign Funds | Collectively, Columbia Sustainable Global Equity Income ETF, Columbia Sustainable International Equity Income ETF and each series of CET II |
The Fund(s) or a Fund | One or more of the ETFs listed on the front cover of this SAI |
Fund Deposit | The In-Kind Creation Basket and Cash Component necessary to purchase a Creation Unit from a Fund |
Fund Redemption | The In-Kind Redemption Basket and Cash Redemption Amount received in connection with the redemption of a Creation Unit |
Statement of Additional Information – July 18, 2018 | 3 |
GNMA | Government National Mortgage Association |
IIV or Intraday Indicative Value | An approximate per-share value of a Fund’s portfolio, disseminated every fifteen seconds throughout the trading day by the Exchange or other information providers |
In-Kind Creation Basket | Basket of securities to be deposited to purchase Creation Units of a Fund; the In-Kind Creation Basket will identify the name and number of shares of each security or other instrument to be contributed, in kind, to a Fund for a Creation Unit |
In-Kind Redemption Basket | Basket of securities or other instruments a shareholder will receive upon redemption of a Creation Unit |
Independent Trustees | The Trustees of the Board who are not “interested persons” (as defined in the 1940 Act) of the Funds |
Index | The index identified in a Fund’s prospectus, the performance of which the Fund seeks to track |
Index Fund(s) | Index-based ETFs that seek to replicate the performance of a specified index; each series of CET I and CET II are Index Funds |
Interested Trustees | The Trustees of the Board who are currently deemed to be “interested persons” (as defined in the 1940 Act) of the Funds |
Investment Management Services Agreement | The Investment Management Services Agreement, as amended, if applicable, between a Trust, on behalf of its Funds, and the Investment Manager |
Investment Manager | Columbia Management Investment Advisers, LLC |
IRS | United States Internal Revenue Service |
LIBOR | London Interbank Offered Rate |
Moody’s | Moody’s Investors Service, Inc. |
NASDAQ | National Association of Securities Dealers Automated Quotations system |
NAV | Net asset value per share of a Fund |
NRSRO | Nationally recognized statistical ratings organization (such as, for example, Moody’s, Fitch or S&P) |
NSCC | National Securities Clearing Corporation |
NYSE | New York Stock Exchange |
Previous Adviser | Emerging Global Advisors, LLC, the investment adviser of the series of CET II prior to September 1, 2016 (when Columbia Management acquired Emerging Global Advisors, LLC) |
PwC | PricewaterhouseCoopers LLP |
REIT | Real estate investment trust |
REMIC | Real estate mortgage investment conduit |
RIC | A “regulated investment company,” as such term is used in the Code |
S&P | Standard & Poor’s, a division of The McGraw-Hill Companies, Inc. (“Standard & Poor’s” and “S&P” are trademarks of The McGraw-Hill Companies, Inc. and have been licensed for use by the Investment Manager. The Columbia Funds are not sponsored, endorsed, sold or promoted by Standard & Poor’s and Standard & Poor’s makes no representation regarding the advisability of investing in the Columbia Funds) |
SAI | This Statement of Additional Information, as amended and supplemented from time-to-time |
SEC | United States Securities and Exchange Commission |
Shares | Shares of a Fund |
Subsidiary | One or more wholly-owned subsidiaries of a Fund |
Threadneedle | Threadneedle International Limited |
Statement of Additional Information – July 18, 2018 | 4 |
Transaction Fees | Fees imposed to compensate the Trust for costs incurred in connection with transactions for Creation Units; Transaction Fees may include both a fixed and variable component |
Transfer Agency Agreement | The Transfer Agency Agreement between a Trust, on behalf of its Funds, and the Transfer Agent |
Transfer Agent | BNY Mellon |
Transmittal Date | The Business Day on which an order to create or redeem a Creation Unit is placed |
Trustee(s) | One or more members of the Board |
Trusts | Columbia ETF Trust I and Columbia ETF Trust II, the registered investment companies in the Columbia Funds Complex to which this SAI relates |
Fund Name: | Referred to as: | |
Columbia Beyond BRICs ETF | Beyond BRICs ETF | |
Columbia Diversified Fixed Income Allocation ETF | Diversified Fixed Income Allocation ETF | |
Columbia EM Core ex-China ETF | EM Core ex-China ETF | |
Columbia EM Quality Dividend ETF | EM Quality Dividend ETF | |
Columbia Emerging Markets Consumer ETF | Emerging Markets Consumer ETF | |
Columbia India Consumer ETF | India Consumer ETF | |
Columbia India Infrastructure ETF | India Infrastructure ETF | |
Columbia India Small Cap ETF | India Small Cap ETF | |
Columbia Multi-Sector Municipal Income ETF | Multi-Sector Municipal Income ETF | |
Columbia Sustainable Global Equity Income ETF | Sustainable Global Equity Income ETF | |
Columbia Sustainable International Equity Income ETF | Sustainable International Equity Income ETF | |
Columbia Sustainable U.S. Equity Income ETF | Sustainable U.S. Equity Income ETF |
Statement of Additional Information – July 18, 2018 | 5 |
Fund | Fiscal Year End | Prospectus Date | Date Began Operations | Diversified* | Fund Investment Category** |
Beyond BRICs ETF | March 31 | 8/1/2017 | 8/15/2012 | Yes | Equity |
Diversified Fixed Income Allocation ETF | October 31 | 3/1/2018 | 10/12/2017 | Yes | Fixed Income |
EM Core ex-China ETF | March 31 | 8/1/2017 | 9/2/2015 | No | Equity |
EM Quality Dividend ETF | March 31 | 8/1/2017 | 8/4/2011 | Yes | Equity |
Emerging Markets Consumer ETF | March 31 | 8/1/2017 | 9/14/2010 | No | Equity |
India Consumer ETF | March 31 | 8/1/2017 | 8/10/2011 | No | Equity |
India Infrastructure ETF | March 31 | 8/1/2017 | 8/11/2010 | No | Equity |
India Small Cap ETF | March 31 | 8/1/2017 | 7/7/2010 | No | Equity |
Multi-Sector Municipal Income ETF | October 31 | 7/18/2018 | -- | Yes | Fixed Income |
Sustainable Global Equity Income ETF | October 31 | 3/1/2018 | 6/13/2016 | Yes | Equity |
Sustainable International Equity Income ETF | October 31 | 3/1/2018 | 6/13/2016 | Yes | Equity |
Sustainable U.S. Equity Income ETF | October 31 | 3/1/2018 | 6/13/2016 | Yes | Equity |
* | A “diversified” Fund may not, with respect to 75% of its total assets, invest more than 5% of its total assets in securities of any one issuer or purchase more than 10% of the outstanding voting securities of any one issuer, except obligations issued or guaranteed by the U.S. Government, its agencies or instrumentalities and except securities of other investment companies. A “non-diversified” Fund may invest a greater percentage of its total assets in the securities of fewer issuers than a “diversified” fund, which increases the risk that a change in the value of any one investment held by the Fund could affect the overall value of the Fund more than it would affect that of a “diversified” fund holding a greater number of investments. Accordingly, a “non-diversified” Fund’s value will likely be more volatile than the value of a more diversified fund. |
** | The Fund Investment Category is used as a convenient way to describe Funds in this SAI and should not be deemed a description of the Fund’s principal investment strategies, which are described in the Fund’s prospectus. |
Fund | Effective Date of Name Change | Previous Fund Name |
Beyond BRICs ETF | October 19, 2016 | EGShares Beyond BRICs ETF |
EM Core ex-China ETF | October 19, 2016 | EGShares EM Core ex-China ETF |
EM Quality Dividend ETF |
October
19, 2016
January 26, 2015 |
EGShares
EM Quality Dividend ETF
EGShares Low Volatility Emerging Markets Dividend ETF |
Emerging Markets Consumer ETF | October 19, 2016 | EGShares Emerging Markets Consumer ETF |
India Consumer ETF | October 19, 2016 | EGShares India Consumer ETF |
India Infrastructure ETF | October 19, 2016 | EGShares India Infrastructure ETF |
India Small Cap ETF | October 19, 2016 | EGShares India Small Cap ETF |
Statement of Additional Information – July 18, 2018 | 6 |
Statement of Additional Information – July 18, 2018 | 7 |
Statement of Additional Information – July 18, 2018 | 8 |
A. | Buy or sell real estate |
A1 – | The Fund will not buy or sell real estate, unless acquired as a result of ownership of securities or other instruments, except this shall not prevent the Fund from investing in: (i) securities or other instruments backed by real estate or interests in real estate, (ii) securities or other instruments of issuers or entities that deal in real estate or are engaged in the real estate business, (iii) real estate investment trusts (REITs) or entities similar to REITs formed under the laws of non-U.S. countries or (iv) real estate or interests in real estate acquired through the exercise of its rights as a holder of securities secured by real estate or interests therein. |
A2 – | The Fund may not purchase or sell real estate unless acquired as a result of ownership of securities or other instruments and provided that this restriction does not prevent the Fund from (i) purchasing or selling securities or instruments secured by real estate or interests therein, securities or instruments representing interests in real estate or securities or instruments of issuers that invest, deal or otherwise engage in transactions in real estate or interests therein; and (ii) making, purchasing or selling real estate mortgage loans. |
Statement of Additional Information – July 18, 2018 | 9 |
B. | Buy or sell physical commodities* |
B1 – | The Fund will not purchase or sell commodities, except to the extent permitted by the 1940 Act, the rules and regulations thereunder and any applicable exemptive relief. |
B2 – | The Fund may not purchase or sell commodities, unless acquired as a result of ownership of securities or other instruments and provided that this restriction does not prevent the Fund from (i) engaging in transactions involving currencies and futures contracts and options thereon; or (ii) investing in securities or other instruments that are secured by commodities. |
* | For purposes of the fundamental investment policy on buying and selling physical commodities, the Funds will not consider swap contracts on financial instruments or rates to be commodities for purposes of this restriction despite any federal legislation or regulatory action by the CFTC that subjects such swaps to regulation by the CFTC. |
C. | Issuer Diversification* |
C1 – | The Fund will not purchase securities (except securities issued or guaranteed by the U.S. Government, its agencies or instrumentalities) of any one issuer if, as a result, more than 5% of its total assets will be invested in the securities of such issuer or it would own more than 10% of the voting securities of such issuer, except that: (a) up to 25% of its total assets may be invested without regard to these limitations; and (b) a Fund’s assets may be invested in the securities of one or more management investment companies to the extent permitted by the 1940 Act, the rules and regulations thereunder, or any applicable exemptive relief. |
C2 – | The Fund, with respect to at least 75% of its total assets, will not purchase securities, other than Government securities and securities of other investment companies, if, at the time of purchase: (i) more than 5% of the Fund’s total assets would be invested in the securities of any particular issuer or (ii) such purchase would cause the Fund to hold more than 10% of the outstanding voting securities of any particular issuer. |
C3 – | The Fund is ‘‘non-diversified’’ which means that the proportion of the Fund’s assets that may be invested in the securities of a single issuer is not limited by the 1940 Act. The Fund, however, intends to seek to qualify as a ‘‘regulated investment company’’ (‘‘RIC’’) for purposes of the Internal Revenue Code of 1986 (the ‘‘Code’’), which imposes diversification requirements on these Funds that are less restrictive than the requirements applicable to the ‘‘diversified’’ investment companies under the 1940 Act. |
* | For purposes of applying the limitation set forth in its issuer diversification policy above, a Fund does not consider futures or swaps central counterparties, where the Fund has exposure to such central counterparties in the course of making investments in futures and securities, to be issuers. |
D. | Concentration* |
D1 – | Except that a Fund may concentrate to approximately the same extent that its index concentrates in such particular industry or industries, the Fund will not purchase any securities which would cause 25% or more of the value of its total assets at the time of purchase to be invested in the securities of one or more issuers conducting their principal business activities in the same industry, provided that: (i) there is no limitation with respect to obligations issued or guaranteed by the U.S. Government, any state or territory of the United States or any of their agencies, instrumentalities or political subdivisions; and (ii) notwithstanding this limitation or any other fundamental investment limitation, assets may be invested in the securities of one or more investment companies or subsidiaries to the extent permitted by the 1940 Act, the rules and regulations thereunder and any applicable exemptive relief. For purposes of determining whether a Fund is concentrated in an industry or group of industries, the Fund may concentrate its investment in the securities of companies engaged in a single industry or group of industries to approximately the same extent as its Index. |
D2 – | The Fund may not invest 25% or more of the Fund’s net assets in securities of issuers in any one industry or group of industries (other than securities issued or guaranteed by the U.S. government or any of its agencies or instrumentalities or securities of other investment companies), except that a Fund may invest 25% or more of its net assets in securities of issuers in the same industry to approximately the same extent that the Fund’s corresponding index concentrates in the securities of a particular industry or group of industries. Accordingly, if the Fund’s corresponding index stops concentrating in the securities of a particular industry or group of industries, the Fund will also discontinue concentrating in such securities. |
D3 – | Except that a Fund will be concentrated to approximately the same extent that its index concentrates in such particular industry or industries, the Fund will not purchase any securities which would cause 25% or more of the value of its total assets at the time of purchase to be invested in the securities of one or more issuers conducting their principal business activities in the same industry, provided that: (i) there is no limitation with respect to obligations issued or guaranteed by the U.S. Government, any state or territory of the United States or any of their agencies, |
Statement of Additional Information – July 18, 2018 | 10 |
* | For purposes of applying the limitation set forth in its concentration policy, above, a Fund will generally use the industry classifications provided by the Global Industry Classification System (GICS) for classification of issuers of equity securities and the classifications provided by the Barclays Capital Aggregate Bond Index for classification of issues of fixed-income securities. A Fund does not consider futures or swaps clearinghouses or securities clearinghouses, where the Fund has exposure to such clearinghouses in the course of making investments in futures and securities, to be part of any industry. |
E. | Act as an underwriter |
E1 – | The Fund will not underwrite any issue of securities issued by other persons within the meaning of the 1933 Act except when it might be deemed to be an underwriter either: (i) in connection with the disposition of a portfolio security; or (ii) in connection with the purchase of securities directly from the issuer where the Fund later resells such securities. This restriction shall not limit the Fund’s ability to invest in securities issued by other registered investment companies. |
E2 – | The Fund may not act as an underwriter, except to the extent the Fund may be deemed to be an underwriter when disposing of securities it owns or when selling its own Shares. |
F. | Lending |
F1 – | The Fund will not make loans, except to the extent permitted by the 1940 Act, the rules and regulations thereunder and any applicable exemptive relief. |
F2 – | The Fund may not make loans if, as a result, more than 33 1 ⁄ 3 % of its total assets would be lent to other persons, including other investment companies to the extent permitted by the 1940 Act or any rules, exemptions or interpretations thereunder which may be adopted, granted or issued by the SEC. This limitation does not apply to (i) the lending of portfolio securities; (ii) the purchase of debt securities, other debt instruments, loan participations and/or engaging in direct corporate loans in accordance with its investment goals and policies; and (iii) repurchase agreements to the extent the entry into a repurchase agreement is deemed to be a loan. |
G. | Borrowing |
G1 – | The Fund will not borrow money except to the extent permitted by the 1940 Act, the rules and regulations thereunder and any applicable exemptive relief. |
G2 – | The Fund may not borrow money, except to the extent permitted by the 1940 Act, or any rules, exemptions or interpretations thereunder that may be adopted, granted or issued by the SEC. |
H. | Issue senior securities |
H1 – | The Fund will not issue senior securities, except as permitted under the 1940 Act, the rules and regulations thereunder and any applicable exemptive relief. |
H2 – | The Fund may not issue senior securities, except to the extent permitted by the 1940 Act or any rules, exemptions or interpretations thereunder that may be adopted, granted or issued by the SEC. |
Statement of Additional Information – July 18, 2018 | 11 |
1. | May not invest more than 15% of its net assets in securities which it cannot sell or dispose of in the ordinary course of business within seven days at approximately the value at which the Fund has valued the investment. |
1. | Acquire voting securities of an issuer for the purpose of controlling or influencing management of the issuer. |
2. | Acquire more than: (i) 10% of the outstanding non-voting equity securities of any one issuer; (ii) 10% of the outstanding debt securities issued by any one issuer; (iii) 10% of the outstanding money market instruments issued by any one issuer; or (iv) 25% of the outstanding shares of any one registered or unregistered investment company. The limits in (ii), (iii) and (iv) may be disregarded at the time of acquisition if, at that time, the gross amount of the debt securities or of the money market instruments, or the net amount of the investment company shares, cannot be calculated. This limitation does not apply to transferable securities and money market instruments that are issued or guaranteed by: (a) a member state of the European Union (‘‘EU’’) or its local authorities; (b) a member state of the Organization for Economic Cooperation and Development (‘‘OECD’’); (c) Singapore or Brazil; or (d) other public international organizations of which one or more EU member states are members. |
3. | Sell securities short, provided that this restriction shall not apply to short sales ‘‘against the box’’ (i.e., entering into short sales for portfolio securities that are held by the Fund). |
Statement of Additional Information – July 18, 2018 | 12 |
4. | Acquire precious metals or related certificates evidencing ownership of precious metals, provided that this restriction shall not prevent the Fund from investing in companies that directly or indirectly own, acquire or trade in precious metals. |
5. | Purchase or sell real estate, unless acquired as a result of ownership of securities or other instruments and provided that this restriction does not prevent the Fund from: (i) purchasing or selling securities or instruments secured by real estate or interests therein, securities or instruments representing interests in real estate or securities or instruments of issuers that invest, deal or otherwise engage in transactions in real estate or interests therein; and (ii) making, purchasing or selling real estate mortgage loans. |
6. | Purchase or sell commodities, unless acquired as a result of ownership of securities or other instruments and provided that this restriction does not prevent the Fund from: (i) engaging in transactions involving currencies and futures contracts and options thereon; or (ii) investing in securities or other instruments that are secured by commodities. |
7. | Make loans, except that this limitation does not apply to: (i) the lending of portfolio securities; (ii) the purchase of debt securities, other debt instruments or loan participations in accordance with its investment goals and policies; and (iii) repurchase agreements to the extent the entry into a repurchase agreement is deemed to be a loan. |
8. | Act as a guarantor for third-parties, except that the Fund may from time to time enter into agreements with third parties containing provisions under which the Fund may indemnify or hold harmless third-parties in certain circumstances, or pay specified liquidation amounts upon early termination or breach to third-parties. |
9. | Invest in the aggregate more than 10% of its net assets in the shares of other registered or unregistered investment companies. |
1. | Borrow an amount exceeding 10% of the value of its net assets and may borrow only on a temporary basis. |
Statement of Additional Information – July 18, 2018 | 13 |
Statement of Additional Information – July 18, 2018 | 14 |
Type of Investment | Equity Funds | Fixed Income Funds | |
Asset Backed Securities | • | • | |
Bank Obligations (Domestic and Foreign) | • | • | |
Collateralized Bond Obligations | • | • | |
Commercial Paper | • | • | |
Common Stock | • | • | |
Convertible Securities | • | • | |
Corporate Debt Securities | • | • | |
Custody Receipts and Trust Certificates | • | • |
Statement of Additional Information – July 18, 2018 | 15 |
Type of Investment | Equity Funds | Fixed Income Funds | |
Debt Obligations | • (a) | • | |
Depositary Receipts | • | • | |
Derivatives | • | • | |
Dollar Rolls | • | • | |
Exchange-Traded Notes | • | • | |
Foreign Currency Transactions | • | • | |
Foreign Securities | • | • | |
Guaranteed Investment Contracts (Funding Agreements) | • | • | |
High-Yield Securities | • | • | |
Illiquid Securities | • | • | |
Inflation Protected Securities | • | • | |
Initial Public Offerings | • | • | |
Inverse Floaters | • | • | |
Investments in Other Investment Companies (Including ETFs) | • | • | |
Listed Private Equity Funds | • | • | |
Money Market Instruments | • | • | |
Mortgage-Backed Securities | • | • | |
Municipal Securities | • | • | |
Participation Interests | • | • | |
Partnership Securities | • | • | |
Preferred Stock | • | • | |
Private Placement and Other Restricted Securities | • | • | |
Real Estate Investment Trusts | • | • | |
Repurchase Agreements | • | • | |
Reverse Repurchase Agreements | • | • | |
Short Sales | • (b) | • (b) | |
Sovereign Debt | • | • | |
Standby Commitments | • | • | |
U.S. Government and Related Obligations | • | • | |
Variable and Floating Rate Obligations | • | • | |
Warrants and Rights | • | • |
(a) | Each series of CET II may invest a portion of its assets, for cash management purposes, in liquid, high-quality, short-term debt securities (including repurchase agreements) of corporations, the U.S. government and its agencies and instrumentalities, and banks and finance companies. |
(b) | The Funds may engage in short sales in accordance with their investment objective and subject to any Fundamental or Non-Fundamental Investment policy. |
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■ | A forward foreign currency contract is a derivative (forward contract) in which the underlying reference is a country's or region’s currency. The Fund may agree to buy or sell a country's or region’s currency at a specific price on a specific date in the future. These instruments may fall in value (sometimes dramatically) due to foreign market downswings or foreign currency value fluctuations, subjecting the Fund to foreign currency risk (the risk that Fund performance may be negatively impacted by foreign currency strength or weakness relative to the U.S. dollar, particularly if the Fund exposes a significant percentage of its assets to currencies other than the U.S. dollar). The effectiveness of any currency hedging strategy by a Fund may be reduced by the Fund’s inability to precisely match forward contract amounts and the value of securities involved. Forward foreign currency contracts used for hedging may also limit any potential gain that might result from an increase or decrease in the value of the currency. Unanticipated changes in the currency markets could result in reduced performance for the Fund. When the Fund converts its foreign currencies into U.S. dollars, it may incur currency conversion costs due to the spread between the prices at which it may buy and sell various currencies in the market. Forward foreign currency contracts that settle net in cash are also considered to be swap agreements under applicable U.S. law and references to forward contracts in the prospectus also include currency swap contracts. |
Statement of Additional Information – July 18, 2018 | 56 |
■ | A forward interest rate agreement is a derivative whereby the buyer locks in an interest rate at a future settlement date. If the interest rate on the settlement date exceeds the lock rate, the buyer pays the seller the difference between the two rates (based on the notional value of the agreement). If the lock rate exceeds the interest rate on the settlement date, the seller pays the buyer the difference between the two rates (based on the notional value of the agreement). The Fund may act as a buyer or a seller. |
■ | A bond (or debt instrument) future is a derivative that is an agreement for the contract holder to buy or sell a bond or other debt instrument, a basket of bonds or other debt instrument, or the bonds or other debt instruments in an index on a specified date at a predetermined price. The buyer (long position) of a bond future is obliged to buy the underlying reference at the agreed price on expiry of the future. |
■ | A commodity-linked future is a derivative that is an agreement to buy or sell one or more commodities (such as crude oil, gasoline and natural gas), basket of commodities or indices of commodity futures at a specific date in the future at a specific price. |
■ | A currency future , also an FX future or foreign exchange future, is a derivative that is an agreement to exchange one currency for another at a specified date in the future at a price (exchange rate) that is fixed on the purchase date. |
■ | An equity future is a derivative that is an agreement for the contract holder to buy or sell a specified amount of an individual equity, a basket of equities or the securities in an equity index on a specified date at a predetermined price. |
■ | An interest rate future is a derivative that is an agreement whereby the buyer and seller agree to the future delivery of an interest-bearing instrument on a specific date at a pre-determined price. Examples include Treasury-bill futures, Treasury-bond futures and Eurodollar futures. |
Statement of Additional Information – July 18, 2018 | 57 |
■ | Structured investments include collateralized debt obligations which are debt instruments that are collateralized by the underlying cash flows of a pool of financial assets or receivables. |
■ | A commodity-linked structured note is a derivative (structured investment) that has principal and/or interest payments based on the market price of one or more particular commodities (such as crude oil, gasoline and natural gas), a basket of commodities, indices of commodity futures or other economic variable. If payment of interest on a commodity-linked structured note is linked to the value of a particular commodity, basket of commodities, commodity index or other economic variable, the Fund might receive lower interest payments (or not receive any of the interest due) on its investments if there is a loss of value in the underlying reference. Further, to the extent that the amount of principal to be repaid upon maturity is linked to the value of a particular commodity, basket of commodities, commodity index or other economic variable, the Fund might not receive a portion (or any) of the principal at maturity of the investment or upon earlier exchange. At any time, the risk of loss associated with a particular structured note in the Fund’s portfolio may be significantly higher than the value of the note. A liquid secondary market may not exist for the commodity-linked structured notes held in the Fund’s portfolio, which may make it difficult for the notes to be sold at a price acceptable to the portfolio manager(s) or for the Fund to accurately value them. |
■ | An equity-linked note (ELN) is a derivative (structured investment) that has principal and/or interest payments based on the value of a single equity security, a basket of equity securities or an index of equity securities, and generally has risks similar to these underlying equity securities. ELNs may be leveraged or unleveraged. An ELN typically provides interest income, thereby offering a yield advantage over investing directly in an underlying equity. The Fund may purchase ELNs that trade on a securities exchange or those that trade on the over-the-counter markets, as well as in privately negotiated transactions with the issuer of the ELN. Investments in ELNs are also subject to liquidity risk, which may make ELNs difficult to sell and value. The liquidity of unlisted ELNs is normally determined by the willingness of the issuer to make a market in the ELN. While the Fund will seek to purchase ELNs only from issuers that it believes to be willing and able to repurchase the ELN at a reasonable price, there can be no assurance that the Fund will be able to sell at such a price. Furthermore, such inability to sell may impair the Fund’s ability to enter into other transactions at a time when doing so might be advantageous. The Fund’s investments in ELNs have the potential to lead to significant losses, including the amount the Fund invested in the ELN, because ELNs are subject to the market and volatility risks associated with their underlying equity. In addition, because ELNs often take the form of unsecured notes of the issuer, the Fund would be subject to the risk that the issuer may default on its obligations under the ELN, thereby subjecting the Fund to the further risk of being too concentrated in the securities |
Statement of Additional Information – July 18, 2018 | 58 |
(including ELNs) of that issuer. However, the Fund typically considers ELNs alongside other securities of the issuer in its assessment of issuer concentration risk. In addition, ELNs may exhibit price behavior that does not correlate with the underlying securities. ELNs may also be subject to leverage risk (the risk that losses may be greater than the amount invested). The Fund may or may not hold an ELN until its maturity. ELNs also include participation notes. |
■ | A commodity-linked swap is a derivative (swap) that is an agreement where the underlying reference is the market price of one or more particular commodities (such as crude oil, gasoline and natural gas), basket of commodities or indices of commodity futures. |
■ | Contracts for differences are swap arrangements in which the parties agree that their return (or loss) will be based on the relative performance of two different groups or baskets of securities or other instruments. Often, one or both baskets will be an established securities index. The Fund’s return will be based on changes in value of theoretical long futures positions in the securities comprising one basket (with an aggregate face value equal to the notional amount of the contract for differences) and theoretical short futures positions in the securities comprising the other basket. The Fund also may use actual long and short futures positions and achieve similar market exposure by netting the payment obligations of the two contracts. If the short basket outperforms the long basket, the Fund will realize a loss – even in circumstances when the securities in both the long and short baskets appreciate in value. |
■ | A credit default swap (including a swap on a credit default index, sometimes referred to as a credit default swap index) is a derivative and special type of swap where one party pays, in effect, an insurance premium through a stream of payments to another party in exchange for the right to receive a specified return upon the occurrence of a particular credit event by one or more third parties, such as bankruptcy, default or a similar event. A credit default swap may be embedded within a structured note or other derivative instrument. Credit default swaps enable an investor to buy or sell protection against such a credit event (such as an issuer’s bankruptcy, restructuring or failure to make timely payments of interest or principal). Credit default swap indices are indices that reflect the performance of a basket of credit default swaps and are subject to the same risks as credit default swaps. If such a default were to occur, any contractual remedies that the Fund may have may be subject to bankruptcy and insolvency laws, which could delay or limit the Fund's recovery. Thus, if the counterparty under a credit default swap defaults on its obligation to make payments thereunder, as a result of its bankruptcy or otherwise, the Fund may lose such payments altogether, or collect only a portion thereof, which collection could involve costs or delays. The Fund’s return from investment in a credit default swap index may not match the return of the referenced index. Further, investment in a credit default swap index could result in losses if the referenced index does not perform as expected. Unexpected changes in the composition of the index may also affect performance of the credit default swap index. If a referenced index has a dramatic intraday move that causes a material decline in the Fund’s net assets, the terms of the Fund’s credit default swap index may permit the counterparty to immediately close out the transaction. In that event, the Fund may be unable to enter into another credit default swap index or otherwise achieve desired exposure, even if the referenced index reverses all or a portion of its intraday move. |
■ | An inflation rate swap is a derivative typically used to transfer inflation risk from one party to another through an exchange of cash flows. In an inflation rate swap, one party pays a fixed rate on a notional principal amount, while the other party pays a floating rate linked to an inflation index, such as the Consumer Price Index (CPI). |
■ | An interest rate swap is a derivative in which two parties agree to exchange interest rate cash flows, based on a specified notional amount from a fixed rate to a floating rate (or vice versa) or from one floating rate to another. Interest rate swaps can be based on various measures of interest rates, including LIBOR, swap rates, treasury rates and foreign interest rates. |
■ | Total return swaps are derivative swap transactions in which one party agrees to pay the other party an amount equal to the total return of a defined underlying reference during a specified period of time. In return, the other party would make periodic payments based on a fixed or variable interest rate or on the total return of a different underlying reference. |
Statement of Additional Information – July 18, 2018 | 59 |
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Statement of Additional Information – July 18, 2018 | 79 |
Statement of Additional Information – July 18, 2018 | 80 |
Statement of Additional Information – July 18, 2018 | 81 |
(a) | In return for the investment advisory services fee, the Investment Manager has agreed to pay the operating costs and expenses of the Fund other than the following expenses, which will be paid by the Fund: taxes, interest incurred on borrowing by the Fund, if any; brokerage fees and commissions and any other portfolio transaction expenses; interest and fee expense related to a Fund’s participation in inverse floater structures; infrequent and/or unusual expenses (including litigation expenses); distribution and/or servicing fees; expenses incurred in connection with lending securities; and expenses approved by the Board. Throughout this SAI, this fee is referred to as a “Unified Fee.” |
Investment Advisory Services Fees | |||
2017 | 2016 | 2015 | |
For Funds with fiscal period ending March 31 | |||
Beyond BRICs ETF (a) | $719,907 | $1,758,574 | $2,169,603 |
EM Core ex-China ETF (a) | 64,866 | 6,208 (b) | N/A |
EM Quality Dividend ETF (a) | 123,625 | 170,819 | 366,169 |
Emerging Markets Consumer ETF (a) | 5,652,827 | 6,824,510 | 10,331,240 |
India Consumer ETF (a) | 702,511 | 691,138 | 187,379 |
India Infrastructure ETF (a) | 355,103 | 381,932 | 395,250 |
India Small Cap ETF (a) | 170,540 | 196,774 | 236,672 |
For Funds with fiscal period ending October 31 | |||
Diversified Fixed Income Allocation ETF | 4,594 (c) | N/A | N/A |
Multi-Sector Municipal Income ETF (d) | N/A | N/A | N/A |
Sustainable Global Equity Income ETF | 24,254 | 7,810 (e) | N/A |
Sustainable International Equity Income ETF | 33,412 | 8,636 (e) | N/A |
Sustainable U.S. Equity Income ETF | 20,263 | 6,921 (e) | N/A |
(a) | The investment advisory services fees paid by the Fund prior to September 1, 2016, were paid to the Previous Adviser. |
(b) | For the period from September 2, 2015 (commencement of operations) to March 31, 2016. |
(c) | For the period from October 12, 2017 (commencement of operations) to October 31, 2017. |
(d) | No historical information is given for the Fund because the Fund had not commenced operations as of the date of this SAI. |
(e) | For the period from June 13, 2016 (commencement of operations) to October 31, 2016. |
Statement of Additional Information – July 18, 2018 | 82 |
Other Accounts Managed (excluding the Fund) | |||||
Fund | Portfolio Manager |
Number
and type
of account* |
Approximate
Total Net Assets (excluding the Fund) |
Performance
Based Accounts** |
Ownership of Fund shares |
For Funds with fiscal year ending March 31 – Information is as of March 31, 2017, unless otherwise noted | |||||
Beyond BRICs ETF | Christopher Lo |
15
RICs
1 PIV 59 Other accounts |
$13.35
billion
$224.21 million $819.63 million |
None | None |
EM Core ex-China ETF | Christopher Lo |
15
RICs
1 PIV 59 Other accounts |
$13.41
billion
$224.21 million $819.63 million |
None | None |
EM Quality Dividend ETF | Christopher Lo |
15
RICs
1 PIV 59 Other accounts |
$13.41
billion
$224.21 million $819.63 million |
None | None |
Emerging Markets Consumer ETF | Christopher Lo |
15
RICs
1 PIV 59 Other accounts |
$12.68
billion
$224.21 million $819.63 million |
None | None |
India Consumer ETF | Christopher Lo |
15
RICs
1 PIV 59 Other accounts |
$13.33
billion
$224.21 million $819.63 million |
None | None |
India Infrastructure ETF | Christopher Lo |
15
RICs
1 PIV 59 Other accounts |
$13.38
billion
$224.21 million $819.63 million |
None | None |
India Small Cap ETF | Christopher Lo |
15
RICs
1 PIV 59 Other accounts |
$13.40
billion
$224.21 million $819.63 million |
None | None |
For Funds with fiscal year ending October 31 – Information is as of October 31, 2017, unless otherwise noted | |||||
Diversified Fixed Income Allocation ETF | Gene Tannuzzo |
5
RICs
73 Other accounts |
$5.48
billion
$1.24 billion |
None | $1-$10,000 (a) |
David Janssen | 4 Other accounts | $0.07 million | None | $10,001-$50,000 (a) | |
Multi-Sector Municipal Income ETF | Catherine Stienstra (b) |
7
RICs
2 PIVs 3 Other accounts |
$8.11
billion
$1.73 billion $1.09 million |
None | None |
Anders Myhran (b) |
4
RICs
2 PIVs 4 Other accounts |
$2.44
billion
$1.73 billion $169.18 million |
None | None |
Statement of Additional Information – July 18, 2018 | 83 |
Other Accounts Managed (excluding the Fund) | |||||
Fund | Portfolio Manager |
Number
and type
of account* |
Approximate
Total Net Assets (excluding the Fund) |
Performance
Based Accounts** |
Ownership of Fund shares |
Sustainable Global Equity Income ETF | Christopher Lo |
13
RICs
1 PIV 61 Other accounts |
$14.47
billion
$242.45 million $655.73 million |
None | None |
Sustainable International Equity Income ETF | Christopher Lo |
13
RICs
1 PIV 61 Other accounts |
$14.46
billion
$242.45 million $655.73 million |
None | None |
Sustainable U.S. Equity Income ETF | Christopher Lo |
13
RICs
1 PIV 61 Other accounts |
$14.47
billion
$242.45 million $655.73 million |
None | None |
* | RIC refers to a Registered Investment Company; PIV refers to a Pooled Investment Vehicle. |
** | Number of accounts for which the advisory fee paid is based in part or wholly on performance and the aggregate net assets in those accounts. |
(a) | Excludes any notional investments. |
(b) | The Fund had not commenced operations as of the date of this SAI; reporting information is provided as of May 31, 2018. |
Columbia Management: Like other investment professionals with multiple clients, a Fund’s portfolio manager(s) may face certain potential conflicts of interest in connection with managing both the Fund and other accounts at the same time. The Investment Manager and the Funds have adopted compliance policies and procedures that attempt to address certain of the potential conflicts that portfolio managers face in this regard. Certain of these conflicts of interest are summarized below. | |
The management of accounts with different advisory fee rates and/or fee structures, including accounts that pay advisory fees based on account performance (performance fee accounts), may raise potential conflicts of interest for a portfolio manager by creating an incentive to favor higher fee accounts. | |
Potential conflicts of interest also may arise when a portfolio manager has personal investments in other accounts that may create an incentive to favor those accounts. As a general matter and subject to the Investment Manager’s Code of Ethics and certain limited exceptions, the Investment Manager’s investment professionals do not have the opportunity to invest in client accounts, other than the funds. | |
A portfolio manager who is responsible for managing multiple funds and/or accounts may devote unequal time and attention to the management of those Funds and/or accounts. The effects of this potential conflict may be more pronounced where Funds and/or accounts managed by a particular portfolio manager have different investment strategies. | |
A portfolio manager may be able to select or influence the selection of the broker/dealers that are used to execute securities transactions for the Funds. A portfolio manager’s decision as to the selection of broker/dealers could produce disproportionate costs and benefits among the Funds and the other accounts the portfolio manager manages. | |
A potential conflict of interest may arise when a portfolio manager buys or sells the same securities for a Fund and other accounts. On occasions when a portfolio manager considers the purchase or sale of a security to be in the best interests of a Fund as well as other accounts, the Investment Manager’s trading desk may, to the extent consistent with applicable laws and regulations, aggregate the securities to be sold or bought in order to obtain the best execution and lower brokerage commissions, if any. Aggregation of trades may create the potential for unfairness to a Fund or another account if a portfolio manager favors one account over another in allocating the securities bought or sold. The Investment Manager and its Participating Affiliates (including Threadneedle) may coordinate their trading operations for certain types of securities and transactions pursuant to personnel-sharing agreements or similar intercompany arrangements. However, typically the Investment Manager does not coordinate trading activities with a Participating Affiliate with respect to accounts of that Participating Affiliate unless such Participating Affiliate is also providing trading services for accounts managed by the Investment Manager. Similarly, a Participating Affiliate typically does not coordinate trading activities with the Investment Manager with respect to accounts of the Investment Manager unless the Investment Manager is also providing trading services for accounts managed by such Participating Affiliate. As a result, it is possible that the Investment Manager and its Participating Affiliates may trade in the same instruments at the same time, in the same or opposite direction or in different sequence, which could negatively impact the prices paid by the Fund on such instruments. Additionally, in circumstances where trading services are being provided on a coordinated basis for the Investment Manager’s accounts (including the Funds) and the accounts of one or more Participating Affiliates in accordance with applicable law, it is possible that the allocation opportunities available to the Funds may be decreased, especially for less actively traded securities, or orders may take longer to execute, which may negatively impact Fund performance. |
Statement of Additional Information – July 18, 2018 | 84 |
“Cross trades,” in which a portfolio manager sells a particular security held by a Fund to another account (potentially saving transaction costs for both accounts), could involve a potential conflict of interest if, for example, a portfolio manager is permitted to sell a security from one account to another account at a higher price than an independent third party would pay. The Investment Manager and the Funds have adopted compliance procedures that provide that any transactions between a Fund and another account managed by the Investment Manager are to be made at a current market price, consistent with applicable laws and regulations. | |
Another potential conflict of interest may arise based on the different investment objectives and strategies of a Fund and other accounts managed by its portfolio manager(s). Depending on another account’s objectives and other factors, a portfolio manager may give advice to and make decisions for a Fund that may differ from advice given, or the timing or nature of decisions made, with respect to another account. A portfolio manager’s investment decisions are the product of many factors in addition to basic suitability for the particular account involved. Thus, a portfolio manager may buy or sell a particular security for certain accounts, and not for a Fund, even though it could have been bought or sold for the Fund at the same time. A portfolio manager also may buy a particular security for one or more accounts when one or more other accounts are selling the security (including short sales). There may be circumstances when a portfolio manager’s purchases or sales of portfolio securities for one or more accounts may have an adverse effect on other accounts, including the Funds. | |
To the extent a Fund invests in underlying funds, a portfolio manager will be subject to additional potential conflicts of interest. Because of the structure of funds-of-funds, the potential conflicts of interest for the portfolio managers may be different than the potential conflicts of interest for portfolio managers who manage other Funds. The Investment Manager and its affiliates may receive higher compensation as a result of allocations to underlying funds with higher fees. | |
A Fund’s portfolio manager(s) also may have other potential conflicts of interest in managing the Fund, and the description above is not a complete description of every conflict that could exist in managing the Fund and other accounts. Many of the potential conflicts of interest to which the Investment Manager’s portfolio managers are subject are essentially the same or similar to the potential conflicts of interest related to the investment management activities of the Investment Manager and its affiliates. |
Statement of Additional Information – July 18, 2018 | 85 |
Statement of Additional Information – July 18, 2018 | 86 |
Statement of Additional Information – July 18, 2018 | 87 |
Fees Waived | |||
2017 | 2016 | 2015 | |
For Funds with fiscal period ending March 31 | |||
Beyond BRICs ETF | $228,676 | $558,606 | $689,360 |
EM Core ex-China ETF | 32,433 | 3,104 (a) | N/A |
For Funds with fiscal period ending October 31 | |||
Diversified Fixed Income Allocation ETF | 4,594 (b) | N/A | N/A |
(a) | For the period from September 2, 2015 (commencement of operations) to March 31, 2016. |
(b) | For the period from October 12, 2017 (commencement of operations) to October 31, 2017. |
Statement of Additional Information – July 18, 2018 | 88 |
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Name, address, year of birth |
Position
held with Subsidiary
and length of service |
Principal occupation during past five years |
Ravi
Chandiran Cunnoosamy
Suite 450, 4th Floor, Barkly Wharf East, Le Caudan Waterfront, Port Louis, Mauritius Born 1971 |
Director
since
February 2014 |
Business Manager, Trust and Agency Services of Deutsche Bank since 2011 |
Shahed
Ahmad Hoolash
Suite 450, 4th Floor, Barkly Whar East, Le Caudan Waterfront, Port Louis, Mauritius Born 1977 |
Director
since
March 2010 |
Head of Corporate Services, Deutsche International Trust Corporation (Mauritius) Limited since 2013; Head of Transaction Management and Client Services, Deutsche International Trust Corporation (Mauritius) Limited (2007 - 2013) |
Statement of Additional Information – July 18, 2018 | 94 |
Statement of Additional Information – July 18, 2018 | 95 |
Name,
Address,
Year of Birth |
Position
Held
with the Trusts and Length of Service |
Principal
Occupation(s)
During the Past Five Years and Other Relevant Professional Experience |
Number
of
Funds in the Columbia Funds Complex Overseen |
Other Directorships Held by Trustee During the Past Five Years |
Committee
Assignments |
George
S. Batejan
c/o Columbia Management Investment Advisers, LLC, 225 Franklin Street, Mail Drop BX32 05228, Boston, MA 02110 1953 |
Trustee since January 2017 for each Trust | Executive Vice President, Global Head of Technology and Operations, Janus Capital Group, Inc., 2010-2016 | 126 | Advisory Board Member, University of Colorado Business School since November 2015; former Chairman of the Board, NICSA (National Investment Company Services Association) (Executive Committee, Nominating Committee and Governance Committee), 2014-2016; former Director, Intech Investment Management, 2011-2016; former Board Member, Metro Denver Chamber of Commerce, 2015-2016 | Compliance, Contracts, Investment Review |
Statement of Additional Information – July 18, 2018 | 96 |
Name,
Address,
Year of Birth |
Position
Held
with the Trusts and Length of Service |
Principal
Occupation(s)
During the Past Five Years and Other Relevant Professional Experience |
Number
of
Funds in the Columbia Funds Complex Overseen |
Other Directorships Held by Trustee During the Past Five Years |
Committee
Assignments |
Kathleen
Blatz
c/o Columbia Management Investment Advisers, LLC, 225 Franklin Street, Mail Drop BX32 05228, Boston, MA 02110 1954 |
Trustee since April 2016 for CET I and September 2016 for CET II | Attorney, specializing in arbitration and mediation; Interim President and Chief Executive Officer, Blue Cross and Blue Shield of Minnesota (health care insurance) since February 2018; Chief Justice, Minnesota Supreme Court, 1998-2006; Associate Justice, Minnesota Supreme Court, 1996-1998; Fourth Judicial District Court Judge, Hennepin County, 1994-1996; Attorney in private practice and public service, 1984-1993; State Representative, Minnesota House of Representatives, 1979-1993, which included service on the Tax and Financial Institutions and Insurance Committees; Interim Chair, Minnesota Sports Facilities Authority, March 2017-July 2017 | 126 | Trustee, BlueCross BlueShield of Minnesota since 2009 (Chair of the Business Development Committee 2014-2017; Chair of the Governance Committee since 2017); Chair of the Robina Foundation since August 2013; former Member of the Board, Minnesota Sports Facilities Authority, January 2017-July 2017 | Board Governance, Compliance, Contracts, Executive, Investment Review |
Edward
J. Boudreau, Jr.
c/o Columbia Management Investment Advisers, LLC, 225 Franklin Street, Mail Drop BX32 05228, Boston, MA 02110 1944 |
Chair of the Board since January 2018; Trustee since April 2016 for CET I and September 2016 for CET II | Managing Director, E.J. Boudreau & Associates (consulting) since 2000; FINRA Industry Arbitrator, 2002 – present; Chairman and Chief Executive Officer, John Hancock Investments (asset management), Chairman and Interested Trustee for open-end and closed-end funds offered by John Hancock, 1989-2000; John Hancock Mutual Life Insurance Company, including Senior Vice President and Treasurer and Senior Vice President Information Technology, 1968-1988 | 126 | Former Trustee, Boston Museum of Science (Chair of Finance Committee), 1985-2013; former Trustee, BofA Funds Series Trust (11 funds), 2005-2011 | Board Governance, Compliance, Contracts, Executive, Investment Review |
Statement of Additional Information – July 18, 2018 | 97 |
Name,
Address,
Year of Birth |
Position
Held
with the Trusts and Length of Service |
Principal
Occupation(s)
During the Past Five Years and Other Relevant Professional Experience |
Number
of
Funds in the Columbia Funds Complex Overseen |
Other Directorships Held by Trustee During the Past Five Years |
Committee
Assignments |
Pamela
G. Carlton
c/o Columbia Management Investment Advisers, LLC, 225 Franklin Street, Mail Drop BX32 05228, Boston, MA 02110 1954 |
Trustee since April 2016 for CET I and September 2016 for CET II | President, Springboard- Partners in Cross Cultural Leadership (consulting company) since 2003; Managing Director of US Equity Research, JP Morgan Chase, 1999-2003; Director of US Equity Research, Chase Asset Management, 1996- 1999; Co-Director Latin America Research, 1993-1996, COO Global Research, 1992-1996, Co-Director of US Research, 1991-1992, Investment Banker, Morgan Stanley, 1982-1991 | 126 | Trustee, New York Presbyterian Hospital Board (Executive Committee and Chair of Human Resources Committee) since 1996; Director, Darien Rowayton Bank (Audit Committee) since 2017 | Audit, Board Governance, Contracts, Executive, Investment Review |
William
P. Carmichael
c/o Columbia Management Investment Advisers, LLC, 225 Franklin Street, Mail Drop BX32 05228, Boston, MA 02110 1943 |
Trustee since April 2016 for CET I and September 2016 for CET II | Retired; Co-founder, The Succession Fund (provides exit strategies to owners of privately held companies), 1998-2007; Adjunct Professor of Finance, Kelley School of Business, Indiana University, 1993-2007; Senior Vice President, Sara Lee Corporation, 1991-1993; Senior Vice President and Chief Financial Officer, Beatrice Foods Company, 1984-1990; Vice President, Esmark, Inc., 1973-1984; Associate, Price Waterhouse, 1968-1972 | 126 | Director, The Finish Line (athletic shoes and apparel) since July 2003; former Director, Cobra Electronics Corporation (electronic equipment manufacturer), 1994-August 2014; former Director, Spectrum Brands, Inc. (consumer products), 2002-2009; former Director, Simmons Company (bedding), 2004-2010; former Trustee, BofA Funds Series Trust (11 funds) 2003-2011; former Director, McMoRan Exploration Company (oil and gas exploration and development) 2010-2013; former Director, International Textile Corp., 2012-2016; former Director, hhgregg 2015-2017 | Audit, Board Governance, Contracts, Executive, Investment Review |
Patricia
M. Flynn
c/o Columbia Management Investment Advisers, LLC, 225 Franklin Street, Mail Drop BX32 05228, Boston, MA 02110 1950 |
Trustee since April 2016 for CET I and September 2016 for CET II | Trustee Professor of Economics and Management, Bentley University since 1976 (also teaches and conducts research on corporate governance); Dean, McCallum Graduate School of Business, Bentley University, 1992-2002 | 126 | Trustee, MA Taxpayers Foundation since 1997; Board of Directors, The MA Business Roundtable since 2003; Board of Governors, Innovation Institute, MA Technology Collaborative since 2010 | Audit, Board Governance, Contracts, Investment Review |
Statement of Additional Information – July 18, 2018 | 98 |
Name,
Address,
Year of Birth |
Position
Held
with the Trusts and Length of Service |
Principal
Occupation(s)
During the Past Five Years and Other Relevant Professional Experience |
Number
of
Funds in the Columbia Funds Complex Overseen |
Other Directorships Held by Trustee During the Past Five Years |
Committee
Assignments |
Brian
J. Gallagher
c/o Columbia Management Investment Advisers, LLC, 225 Franklin Street, Mail Drop BX32 05228, Boston, MA 02110 1954 |
Trustee since 12/17 | Retired; Partner with Deloitte & Touche LLP and its predecessors, 1977-2016 | 124 | Trustee, Catholic Schools Foundation since 2004 | Audit, Contracts, Investment Review |
Catherine
James Paglia
c/o Columbia Management Investment Advisers, LLC, 225 Franklin Street, Mail Drop BX32 05228, Boston, MA 02110 1952 |
Trustee since April 2016 for CET I and September 2016 for CET II | Director, Enterprise Asset Management, Inc. (private real estate and asset management company) since September 1998; Managing Director and Partner, Interlaken Capital, Inc., 1989-1997; Managing Director, Morgan Stanley, 1982-1989; Vice President, Investment Banking, 1980-1982, Associate, Investment Banking, 1976-1980, Dean Witter Reynolds, Inc. | 126 | Director, Valmont Industries, Inc. (irrigation systems manufacturer) since 2012; Trustee, Carleton College (on the Investment Committee); Trustee, Carnegie Endowment for International Peace (on the Investment Committee) | Audit, Board Governance, Contracts, Executive, Investment Review |
Minor
M. Shaw
c/o Columbia Management Investment Advisers, LLC, 225 Franklin Street, Mail Drop BX32 05228, Boston, MA 02110 1947 |
Trustee since April 2016 for CET I and September 2016 for CET II | President, Micco LLC (private investments) since 2011; President, Micco Corp. (family investment business), 1998-2011 | 126 | Director, BlueCross BlueShield of South Carolina since April 2008; Director, National Association of Corporate Directors, Carolinas Chapter, since 2013; Board Chair, Hollingsworth Funds since 2016; Advisory Board member, Duke Energy Corp. since October 2016; Chair of the Duke Endowment; Chair of Greenville – Spartanburg Airport Commission; former Trustee, BofA Funds Series Trust (11 funds), 2003-2011; former Director, Piedmont Natural Gas, 2004-2016 | Board Governance, Compliance, Contracts, Investment Review |
Sandra
Yeager
c/o Columbia Management Investment Advisers, LLC, 225 Franklin Street, Mail Drop BX32 05228, Boston, MA 02110 1964 |
Trustee since 12/17 | Retired; President and founder, Hanoverian Capital, LLC (SEC registered investment advisor firm), 2008-2016 | 124 | Director, NAPE Education Foundation since October 2016 | Compliance, Contracts, Investment Review |
Statement of Additional Information – July 18, 2018 | 99 |
Name,
Address,
Year of Birth |
Position
Held
with the Trusts and Length of Service |
Principal
Occupation(s)
During the Past Five Years and Other Relevant Professional Experience |
Number
of
Funds in the Columbia Funds Complex Overseen |
Other Directorships Held by Trustee During the Past Five Years |
Committee
Assignments |
Anthony
M. Santomero
c/o Columbia Management Investment Advisers, LLC, 225 Franklin Street, Mail Drop BX32 05228, Boston, MA 02110 1946 |
Trustee since April 2016 for CET I and September 2016 for CET II | Richard K. Mellon Professor Emeritus of Finance, The Wharton School, University of Pennsylvania, since 2002; Senior Advisor, McKinsey & Company (consulting), 2006-2008; President, Federal Reserve Bank of Philadelphia, 2000-2006; Professor of Finance, The Wharton School, University of Pennsylvania, 1972-2002 | 124 | Trustee, Penn Mutual Life Insurance Company since March 2008; Director, Renaissance Reinsurance Ltd. since May 2008; Director, Citigroup Inc. since 2009; Director, Citibank, N.A. since 2009; former Trustee, BofA Funds Series Trust (11 funds), 2008-2011 | Compliance, Contracts, Executive, Investment Review |
* | Dr. Santomero is not an affiliated person of the Investment Manager or Ameriprise Financial. However, he is currently deemed by the Funds to be an “interested person” (as defined in the 1940 Act) of the Funds because he serves as a Director of Citigroup Inc. and Citibank, N.A., companies that may directly or through subsidiaries and affiliates engage from time-to-time in brokerage execution, principal transactions and lending relationships with the Funds or accounts advised/managed by the Investment Manager. |
Name,
Address,
Year of Birth |
Position
Held
with the Trusts and Length of Service |
Principal
Occupation(s)
During the Past Five Years and Other Relevant Professional Experience |
Number
of
Funds in the Columbia Funds Complex Overseen |
Other Directorships Held by Trustee During the Past Five Years |
Committee
Assignments |
William
F. Truscott
c/o Columbia Management Investment Advisers, LLC, 225 Franklin St. Boston, MA 02110 1960 |
Trustee and Senior Vice President since April 2016 for CET I and September 2016 for CET II | Chairman of the Board and President, Columbia Management Investment Advisers, LLC since May 2010 and February 2012, respectively; Chief Executive Officer, Global Asset Management, Ameriprise Financial, Inc. since September 2012 (previously Chief Executive Officer, U.S. Asset Management & President, Annuities, May 2010 - September 2012); Director and Chief Executive Officer, Columbia Management Investment Distributors, Inc. since May 2010 and February 2012, respectively; Chairman of the Board and Chief Executive Officer, RiverSource Distributors, Inc. since 2006; Director, Threadneedle Asset Management Holdings, SARL since 2014; President and Chief Executive Officer, Ameriprise Certificate Company, 2006 - August 2012. | 197 | Chairman of the Board, Columbia Management Investment Advisers, LLC since May 2010; Director, Columbia Management Investment Distributors, Inc. since May 2010; former Director, Ameriprise Certificate Company, 2006 - January 2013 | None |
* | Interested person (as defined under the 1940 Act) by reason of being an officer, director, security holder and/or employee of the Investment Manager or Ameriprise Financial. |
Statement of Additional Information – July 18, 2018 | 100 |
Statement of Additional Information – July 18, 2018 | 101 |
Statement of Additional Information – July 18, 2018 | 102 |
Statement of Additional Information – July 18, 2018 | 103 |
Statement of Additional Information – July 18, 2018 | 104 |
Fiscal Period |
Audit
Committee |
Compliance
Committee |
Contracts
Committee |
Executive
Committee |
Board
Governance Committee |
Investment
Review Committee |
For
the fiscal year
ending March 31, 2017 |
8 | 5 | 6 | 0 | 11 | 5 |
For
the fiscal year
ending October 31, 2017 |
6 | 5 | 6 | 0 | 12 | 5 |
Statement of Additional Information – July 18, 2018 | 105 |
Board Member |
Aggregate
Dollar Range of Equity Securities in all Funds in the Columbia Funds Complex Overseen by the Trustee |
George S. Batejan | Over $100,000 |
Kathleen Blatz | Over $100,000 |
Edward J. Boudreau Jr. | Over $100,000 (a) |
Pamela G. Carlton | Over $100,000 (a) |
William P. Carmichael | Over $100,000 (a) |
Patricia M. Flynn | Over $100,000 (a) |
Brian J. Gallagher | Over $100,000 |
Catherine James Paglia | Over $100,000 (a) |
Minor M. Shaw | Over $100,000 (a)(b) |
Sandra L. Yeager | None |
(a) | Includes the value of compensation payable under a Deferred Compensation Plan that is determined as if the amounts deferred had been invested, as of the date of deferral, in shares of one or more funds in the Columbia Funds Complex overseen by the Trustee as specified by the Trustee. |
(b) | Ms. Shaw invests in a Section 529 Plan managed by the Investment Manager that allocates assets to various open-end funds, including Columbia Funds. The amount shown in the table includes the value of her interest in this plan determined as if her investment in the plan were invested directly in the Columbia Fund pursuant to the plan’s target allocations. |
Board Member |
Aggregate
Dollar Range of Equity Securities in all Funds in the Columbia Funds Complex Overseen by the Trustee |
Anthony Santomero | Over $100,000 (a) |
William F. Truscott | Over $100,000 |
(a) | Includes the value of compensation payable under a Deferred Compensation Plan that is determined as if the amounts deferred had been invested, as of the date of deferral, in shares of one or more funds in the Columbia Funds Complex overseen by the Trustee as specified by the Trustee. |
Statement of Additional Information – July 18, 2018 | 106 |
Trustees (a) |
Total
Cash Compensation
from the Columbia Funds Complex Paid to Trustee (b) |
Amount
Deferred
from Total Compensation (c) |
George Batejan (d) | $233,333 | $0 |
Kathleen Blatz | $325,000 | $0 |
Edward Boudreau | $300,000 | $135,000 |
Pamela Carlton | $325,000 | $26,583 |
William Carmichael | $310,000 | $0 |
Patricia Flynn | $295,000 | $295,000 |
Brian Gallagher (d) | N/A | N/A |
William Hawkins (e) | $422,500 | $105,625 |
Catherine Paglia | $325,000 | $228,958 |
Leroy Richie (e) | $51,667 | $0 |
Anthony Santomero | $300,000 | $24,833 |
Minor Shaw | $295,000 | $147,500 |
John Taft (f) | $233,333 | $0 |
Alison Taunton-Rigby (e) | $310,000 | $59,167 |
Sandra Yeager (d) | N/A | N/A |
(a) | Trustee compensation is paid by the Funds and is comprised of a combination of a base fee and meeting fees, with the exception of the Chair of the Board, who receives a base annual compensation. |
(b) | Includes any portion of cash compensation Trustees elected to defer during the fiscal period. |
(c) | The Trustees may elect to defer a portion of the total cash compensation payable. Additional information regarding the Deferred Compensation Plan is described below. |
(d) | Mr. Batejan became a Trustee effective January 1, 2017, and Mr. Gallagher and Ms. Yeager each became a Trustee effective December 31, 2017. Each of these Trustees received no compensation from the Funds or the Columbia Funds Complex prior to these respective dates. |
(e) | Mr. Richie served as Trustee for CET I from April 2016 to December 31, 2016, and Mr. Hawkins and Ms. Taunton-Rigby each served as Trustee until January 1, 2018. Each former Trustee stopped receiving compensation from the Funds and the Columbia Funds Complex as of these respective dates. Mr. Richie did not serve as a Trustee for, or receive compensation from CET II. |
(f) | Mr. Taft served as a Trustee from January 1, 2017 through January 1, 2018. Mr. Taft received no compensation from the Funds or the Columbia Funds Complex prior to January 1, 2017 or subsequent to January 1, 2018. |
Statement of Additional Information – July 18, 2018 | 107 |
Fund |
Aggregate
Compensation from Fund
Independent Trustees |
|||||||
Batejan (a) | Blatz | Boudreau | Carlton | Carmichael | Flynn | Gallagher (b) | Hawkins (c) | |
For Funds with fiscal period ending March 31 | ||||||||
Beyond BRICs ETF (d) | $202 | $533 | $510 | $533 | $496 | $496 | N/A | $706 |
Amount Deferred | $0 | $0 | $230 | $21 | $0 | $496 | N/A | $171 |
EM Core ex-China ETF (d) | $187 | $487 | $467 | $487 | $453 | $453 | N/A | $646 |
Amount Deferred | $0 | $0 | $210 | $19 | $0 | $453 | N/A | $157 |
EM Quality Dividend ETF (d) | $188 | $490 | $469 | $490 | $456 | $456 | N/A | $649 |
Amount Deferred | $0 | $0 | $211 | $19 | $0 | $456 | N/A | $158 |
Emerging Markets Consumer ETF (d) | $351 | $919 | $881 | $919 | $856 | $856 | N/A | $1,218 |
Amount Deferred | $0 | $0 | $397 | $36 | $0 | $856 | N/A | $296 |
India Consumer ETF (d) | $204 | $532 | $510 | $532 | $495 | $495 | N/A | $705 |
Amount Deferred | $0 | $0 | $229 | $21 | $0 | $495 | N/A | $171 |
India Infrastructure ETF (d) | $194 | $508 | $487 | $508 | $473 | $473 | N/A | $673 |
Amount Deferred | $0 | $0 | $219 | $20 | $0 | $473 | N/A | $163 |
India Small Cap ETF (d) | $190 | $493 | $473 | $493 | $459 | $459 | N/A | $654 |
Amount Deferred | $0 | $0 | $213 | $20 | $0 | $459 | N/A | $159 |
For Funds with fiscal period ending October 31 | ||||||||
Diversified Fixed Income Allocation ETF (e) | $49 | $77 | $77 | $77 | $49 | $49 | N/A | $99 |
Amount Deferred | $0 | $0 | $35 | $8 | $0 | $49 | N/A | $25 |
Multi-Sector Municipal Income ETF (f) | $50 | $50 | $96 | $50 | $50 | $50 | $50 | N/A |
Amount Deferred | $0 | $0 | $63 | $10 | $0 | $0 | $25 | N/A |
Sustainable Global Equity Income ETF | $639 | $862 | $820 | $862 | $821 | $779 | N/A | $1,134 |
Amount Deferred | $0 | $0 | $369 | $72 | $0 | $779 | N/A | $280 |
Sustainable International Equity Income ETF | $640 | $863 | $822 | $863 | $822 | $780 | N/A | $1,135 |
Amount Deferred | $0 | $0 | $370 | $72 | $0 | $780 | N/A | $281 |
Sustainable U.S. Equity Income ETF | $639 | $862 | $820 | $862 | $821 | $779 | N/A | $1,134 |
Amount Deferred | $0 | $0 | $369 | $72 | $0 | $779 | N/A | $280 |
(a) | Mr. Batejan became a Trustee effective January 1, 2017, and as such he received no compensation from the Funds or the Columbia Funds Complex prior to such date. |
(b) | Mr. Gallagher and Ms. Yeager each became a Trustee effective December 31, 2017, and as such have received no compensation from the Funds or the Columbia Funds Complex prior to such date. |
(c) | Mr. Hawkins and Ms. Taunton-Rigby each served as Trustee until January 1, 2018, and stopped receiving compensation from the Funds and the Columbia Funds Complex as of such date. |
(d) | For the period from September 1, 2016, when the Trustees were elected to the Board of CET II, to March 31, 2017. Prior to September 1, 2016, CET II was governed by a different board of trustees. |
(e) | For the period from October 12, 2017 (commencement of operations) to October 31, 2017. |
(f) | This Fund has not completed its first full year of operations since its organization. The compensation shown for this Fund is the estimated amount that will be paid from September 17, 2018 to October 31, 2018. |
Fund |
Aggregate
Compensation from Fund
Independent Trustees |
|||||||
Hilliard (a) | Paglia | Richie (b) | Santomero | Shaw | Taft (c) | Taunton-Rigby (d) | Yeager (e) | |
For Funds with fiscal period ending March 31 | ||||||||
Beyond BRICs ETF (f) | $161 | $533 | N/A | $496 | $496 | $202 | $533 | N/A |
Amount Deferred | $0 | $319 | N/A | $20 | $248 | $0 | $323 | N/A |
Statement of Additional Information – July 18, 2018 | 108 |
Fund |
Aggregate
Compensation from Fund
Independent Trustees |
|||||||
Hilliard (a) | Paglia | Richie (b) | Santomero | Shaw | Taft (c) | Taunton-Rigby (d) | Yeager (e) | |
EM Core ex-China ETF (f) | $145 | $487 | N/A | $453 | $453 | $187 | $487 | N/A |
Amount Deferred | $0 | $292 | N/A | $19 | $227 | $0 | $293 | N/A |
EM Quality Dividend ETF (f) | $146 | $490 | N/A | $456 | $456 | $188 | $490 | N/A |
Amount Deferred | $0 | $294 | N/A | $19 | $228 | $0 | $295 | N/A |
Emerging Markets Consumer ETF (f) | $276 | $919 | N/A | $856 | $856 | $351 | $919 | N/A |
Amount Deferred | $0 | $551 | N/A | $35 | $428 | $0 | $556 | N/A |
India Consumer ETF (f) | $159 | $532 | N/A | $495 | $495 | $204 | $532 | N/A |
Amount Deferred | $0 | $319 | N/A | $20 | $248 | $0 | $320 | N/A |
India Infrastructure ETF (f) | $152 | $508 | N/A | $473 | $473 | $194 | $508 | N/A |
Amount Deferred | $0 | $304 | N/A | $19 | $236 | $0 | $307 | N/A |
India Small Cap ETF (f) | $147 | $493 | N/A | $459 | $459 | $190 | $493 | N/A |
Amount Deferred | $0 | $296 | N/A | $19 | $230 | $0 | $297 | N/A |
For Funds with fiscal period ending October 31 | ||||||||
Diversified Fixed Income Allocation ETF (g) | N/A | $77 | N/A | $49 | $49 | $49 | $77 | N/A |
Amount Deferred | N/A | $58 | N/A | $5 | $24 | $0 | $0 | N/A |
Multi-Sector Municipal Income ETF (h) | N/A | $50 | N/A | $50 | $50 | N/A | N/A | $50 |
Amount Deferred | N/A | $37 | N/A | $0 | $25 | N/A | N/A | $25 |
Sustainable Global Equity Income ETF | N/A | $862 | $92 | $821 | $779 | $639 | $820 | N/A |
Amount Deferred | N/A | $610 | $0 | $68 | $390 | $0 | $147 | N/A |
Sustainable International Equity Income ETF | N/A | $863 | $92 | $822 | $780 | $640 | $821 | N/A |
Amount Deferred | N/A | $611 | $0 | $68 | $390 | $0 | $147 | N/A |
Sustainable U.S. Equity Income ETF | N/A | $862 | $92 | $821 | $779 | $639 | $820 | N/A |
Amount Deferred | N/A | $610 | $0 | $68 | $389 | $0 | $147 | N/A |
(a) | Mr. Hilliard served as Trustee until October 28, 2016, and stopped receiving compensation from the Funds and the Columbia Funds Complex as of such date. |
(b) | Mr. Richie served as Trustee for CET I from April 2016 to December 31, 2016, and stopped receiving compensation from the Funds and the Columbia Funds Complex as of such date. Mr. Richie did not serve as a Trustee for, or receive compensation from CET II. |
(c) | Mr. Taft served as a Trustee from January 1, 2017 through January 1, 2018. Mr. Taft received no compensation from the Funds or the Columbia Funds Complex prior to January 1, 2017 or subsequent to January 1, 2018. |
(d) | Mr. Hawkins and Ms. Taunton-Rigby each served as Trustee until January 1, 2018, and stopped receiving compensation from the Funds and the Columbia Funds Complex as of such date. |
(e) | Mr. Gallagher and Ms. Yeager each became a Trustee effective December 31, 2017, and as such have received no compensation from the Funds or the Columbia Funds Complex prior to such date. |
(f) | For the period from September 1, 2016, when the Trustees were elected to the Board of CET II, to March 31, 2017. Prior to September 1, 2016, CET II was governed by a different board of trustees. |
(g) | For the period from October 12, 2017 (commencement of operations) to October 31, 2017. |
(h) | This Fund has not completed its first full year of operations since its organization. The compensation shown for this Fund is the estimated amount that will be paid from September 17, 2018 to October 31, 2018. |
Statement of Additional Information – July 18, 2018 | 109 |
Statement of Additional Information – July 18, 2018 | 110 |
Statement of Additional Information – July 18, 2018 | 111 |
Statement of Additional Information – July 18, 2018 | 112 |
Total Brokerage Commissions | |||
Fund | 2017 | 2016 | 2015 |
For Funds with fiscal period ending March 31 | |||
Beyond BRICs ETF | $171,330 | $666,973 | $1,158,543 |
EM Core ex-China ETF | 6,335 | 874 (a) | N/A |
EM Quality Dividend ETF | 26,213 | 37,848 | 163,971 |
Emerging Markets Consumer ETF | 124,793 | 299,521 | 185,863 |
India Consumer ETF | 25,951 | 56,516 | 84,749 |
India Infrastructure ETF | 24,360 | 39,624 | 79,038 |
India Small Cap ETF | 12,181 | 17,598 | 50,158 |
For Funds with fiscal period ending October 31 | |||
Diversified Fixed Income Allocation ETF | 0 (b) | N/A | N/A |
Multi-Sector Municipal Income ETF (c) | N/A | N/A | N/A |
Sustainable Global Equity Income ETF | 2,133 | 481 (d) | N/A |
Sustainable International Equity Income ETF | 4,204 | 672 (d) | N/A |
Sustainable U.S. Equity Income ETF | 1,247 | 374 (d) | N/A |
(a) | For the period from September 2, 2015 (commencement of operations) to March 31, 2016. |
(b) | For the period from October 12, 2017 (commencement of operations) to October 31, 2017. |
(c) | No historical information is given for the Fund because the Fund had not commenced operations as of the date of this SAI. |
(d) | For the period from June 13, 2016 (commencement of operations) to October 31, 2016. |
Statement of Additional Information – July 18, 2018 | 113 |
Broker |
Nature
of
Affiliation |
Aggregate
dollar amount of commissions paid to broker |
Percent
of
aggregate brokerage commissions |
Percent
of
aggregate dollar amount of transactions involving payment of commissions |
Aggregate
dollar amount of commissions paid to broker |
Aggregate
dollar amount of commissions paid to broker |
|
Fund | 2017 | 2016 | 2015 | ||||
For Funds with fiscal period ending March 31 | |||||||
Beyond BRICs ETF | Cantor Fitzgerald & Co. (Cantor) | (1) | $0 | 0% | 0% | $33,412 | $0 |
EM Quality Dividend ETF | Cantor | (1) | $0 | 0% | 0% | $2,123 | $0 |
(1) | Cantor Fitzgerald & Co. was an affiliated broker-dealer of the Fund by virtue of being an affiliate of the Previous Adviser. The affiliation created by this relationship ended on September 1, 2016, when the investment advisory agreement with the Previous Adviser was terminated and the Fund entered into a new investment management services agreement with the Investment Manager. |
Statement of Additional Information – July 18, 2018 | 114 |
Brokerage directed for research | ||
Fund | Amount of Transactions | Amount of Commissions Imputed or Paid |
For Funds with fiscal period ending March 31 | ||
Beyond BRICs ETF | $0 | $0 |
EM Core ex-China ETF | 0 | 0 |
EM Quality Dividend ETF | 0 | 0 |
Emerging Markets Consumer ETF | 0 | 0 |
India Consumer ETF | 0 | 0 |
India Infrastructure ETF | 0 | 0 |
India Small Cap ETF | 0 | 0 |
For Funds with fiscal period ending October 31 | ||
Diversified Fixed Income Allocation ETF | 0 (a) | 0 (a) |
Multi-Sector Municipal Income ETF (b) | N/A | N/A |
Sustainable Global Equity Income ETF | 12,866 | 18 |
Sustainable International Equity Income ETF | 0 | 0 |
Sustainable U.S. Equity Income ETF | 22,171 | 32 |
(a) | For the period from October 12, 2017 (commencement of operations) to October 31, 2017. |
(b) | No historical information is given for the Fund because the Fund had not commenced operations as of the date of this SAI. |
(a) | No historical information is given for the Fund because the Fund had not commenced operations as of the date of this SAI. |
Statement of Additional Information – July 18, 2018 | 115 |
Statement of Additional Information – July 18, 2018 | 116 |
Statement of Additional Information – July 18, 2018 | 117 |
Statement of Additional Information – July 18, 2018 | 118 |
Statement of Additional Information – July 18, 2018 | 119 |
Statement of Additional Information – July 18, 2018 | 120 |
Statement of Additional Information – July 18, 2018 | 121 |
Statement of Additional Information – July 18, 2018 | 122 |
Fund |
Standard
Transaction Fee |
Maximum
Transaction Fee |
Variable
Charge |
Beyond BRICs ETF | $2,000 | $2,000 | None |
Diversified Fixed Income Allocation ETF | $500 | $2,000 | Up to 2% |
EM Core ex-China ETF | $2,000 | $2,000 | None |
EM Quality Dividend ETF | $1,000 | $1,000 | None |
Emerging Markets Consumer ETF | $1,000 | $1,000 | None |
India Consumer ETF | $1,000 | $1,000 | None |
India Infrastructure ETF | $1,000 | $1,000 | None |
India Small Cap ETF | $2,000 | $2,000 | None |
Multi-Sector Municipal Income ETF | $500 | $2,000 | Up to 2% |
Sustainable Global Equity Income ETF | $2,000 | $8,000 | None |
Sustainable International Equity Income ETF | $2,000 | $8,000 | None |
Sustainable U.S. Equity Income ETF | $500 | $2,000 | None |
Statement of Additional Information – July 18, 2018 | 123 |
Statement of Additional Information – July 18, 2018 | 124 |
Statement of Additional Information – July 18, 2018 | 125 |
Statement of Additional Information – July 18, 2018 | 126 |
Statement of Additional Information – July 18, 2018 | 127 |
Statement of Additional Information – July 18, 2018 | 128 |
Statement of Additional Information – July 18, 2018 | 129 |
Fund |
Total
Capital Loss Carryovers |
Amount Expiring in | Amount not Expiring | |||
2018 | 2019 | Short-term | Long-term | |||
For Funds with fiscal period ending March 31 | ||||||
Beyond BRICs ETF | $56,395,798 | $0 | $0 | $17,902,657 | $38,493,141 | |
EM Core ex-China ETF | $98,392 | $0 | $0 | $98,183 | $209 | |
EM Quality Dividend ETF | $27,996,655 | $0 | $0 | $21,759,775 | $6,236,880 | |
Emerging Markets Consumer ETF | $136,990,154 | $0 | $0 | $865,714 | $136,124,440 | |
India Consumer ETF | $7,312,658 | $0 | $0 | $5,017,068 | $2,295,590 | |
India Infrastructure ETF | $57,717,708 | $0 | $0 | $16,659,491 | $41,058,217 | |
India Small Cap ETF | $11,782,187 | $0 | $0 | $2,606,001 | $9,176,186 |
Statement of Additional Information – July 18, 2018 | 130 |
Statement of Additional Information – July 18, 2018 | 131 |
Statement of Additional Information – July 18, 2018 | 132 |
Statement of Additional Information – July 18, 2018 | 133 |
Statement of Additional Information – July 18, 2018 | 134 |
Statement of Additional Information – July 18, 2018 | 135 |
Statement of Additional Information – July 18, 2018 | 136 |
Statement of Additional Information – July 18, 2018 | 137 |
Statement of Additional Information – July 18, 2018 | 138 |
Statement of Additional Information – July 18, 2018 | 139 |
Statement of Additional Information – July 18, 2018 | 140 |
Statement of Additional Information – July 18, 2018 | 141 |
Name and Address | Percentage |
CHARLES
SCHWAB & CO., INC.
2423 E LINCOLN DRIVE PHOENIX AZ 85016-1215 |
54.66% |
MERRILL
LYNCH, PIERCE FENNER & SMITH
C/O MERRILL LYNCH CORPORATE ACTIONS 4804 DEER LAKE DR. E. JACKSONVILLE, FL 32246 |
10.12% |
NATIONAL
FINANCIAL SERVICES LLC
499 WASHINGTON BLVD. JERSEY CITY, NJ 07310 |
6.92% |
TD
AMERITRADE CLEARING, INC.
4700 ALLIANCE GATEWAY FREEWAY FORT WORTH, TX 76177 |
5.96% |
UBS
FINANCIAL SERVICES INC.
1000 HARBOR BLVD WEEHAWKEN, NJ 07086 |
9.71% |
Name and Address | Percentage |
CHARLES
SCHWAB & CO., INC.
2423 E LINCOLN DRIVE PHOENIX AZ 85016-1215 |
23.59% |
GOLDMAN,
SACHS & CO.
30 HUDSON STREET PROXY DEPARTMENT JERSEY CITY, NJ 07302 |
8.84% |
J.P.
MORGAN CLEARING CORP.
CORPORATE ACTIONS DEPT 14201 DALLAS PARKWAY, 12TH FL DALLAS, TX 75254 |
12.36% |
MERRILL
LYNCH, PIERCE, FENNER & SMITH
4804 DEAR LAKE DR E JACKSONVILLE, FL 32246 |
8.67% |
NATIONAL
FINANCIAL SERVICES LLC
499 WASHINGTON BLVD. JERSEY CITY, NJ 07310 |
8.20% |
Statement of Additional Information – July 18, 2018 | 142 |
Name and Address | Percentage |
TD
AMERITRADE CLEARING, INC.
4700 ALLIANCE GATEWAY FREEWAY FORT WORTH, TX 76177 |
9.24% |
THE
BANK OF NEW YORK MELLON
525 WILLIAM PENN PLACE SUITE 153-0400 PITTSBURGH, PA 15259 |
12.39% |
Name and Address | Percentage |
CHARLES
SCHWAB & CO., INC.
2423 E LINCOLN DRIVE PHOENIX AZ 85016-1215 |
7.41% |
J.P.
MORGAN CLEARING CORP.
CORPORATE ACTIONS DEPT 14201 DALLAS PARKWAY, 12TH FL DALLAS, TX 75254 |
6.26% |
MERRILL
LYNCH, PIERCE FENNER & SMITH
C/O MERRILL LYNCH CORPORATE ACTIONS 4804 DEER LAKE DR. E. JACKSONVILLE, FL 32246 |
23.68% |
MERRILL
LYNCH, PIERCE, FENNER & SMITH
4804 DEAR LAKE DR E JACKSONVILLE, FL 32246 |
7.23% |
MORGAN
STANLEY SMITH BARNEY LLC
1300 THAMES ST 6TH FLOOR BALTIMORE, MD 21231 |
5.09% |
NATIONAL
FINANCIAL SERVICES LLC
499 WASHINGTON BLVD. JERSEY CITY, NJ 07310 |
13.83% |
Name and Address | Percentage |
BANK
OF AMERICA, NA/GWIM TRUST OPERA
1201 MAIN STREET 9TH FLOOR DALLAS, TX 75202 |
21.27% |
CHARLES
SCHWAB & CO., INC.
2423 E LINCOLN DRIVE PHOENIX AZ 85016-1215 |
7.53% |
MERRILL
LYNCH, PIERCE FENNER & SMITH
C/O MERRILL LYNCH CORPORATE ACTIONS 4804 DEER LAKE DR. E. JACKSONVILLE, FL 32246 |
9.09% |
MORGAN
STANLEY SMITH BARNEY LLC
1300 THAMES ST 6TH FLOOR BALTIMORE, MD 21231 |
17.58% |
NATIONAL
FINANCIAL SERVICES LLC
499 WASHINGTON BLVD. JERSEY CITY, NJ 07310 |
8.53% |
SEI
PRIVATE TRUST COMPANY
ONE FREEDOM VALLEY DRIVE OAKS, PA 19456 |
5.61% |
Statement of Additional Information – July 18, 2018 | 143 |
Name and Address | Percentage |
UBS
FINANCIAL SERVICES INC.
1000 HARBOR BLVD WEEHAWKEN, NJ 07086 |
6.67% |
Name and Address | Percentage | |
BROWN
BROTHERS HARRIMAN & CO.
525 WASHINGTON BLVD. JERSEY CITY, NJ 07310 |
5.30% | |
CHARLES
SCHWAB & CO., INC.
2423 E LINCOLN DRIVE PHOENIX AZ 85016-1215 |
8.16% | |
MERRILL
LYNCH, PIERCE FENNER & SMITH
C/O MERRILL LYNCH CORPORATE ACTIONS 4804 DEER LAKE DR. E. JACKSONVILLE, FL 32246 |
6.47% | |
NATIONAL
FINANCIAL SERVICES LLC
499 WASHINGTON BLVD. JERSEY CITY, NJ 07310 |
30.05% | |
TD
AMERITRADE CLEARING, INC.
4700 ALLIANCE GATEWAY FREEWAY FORT WORTH, TX 76177 |
6.36% |
Statement of Additional Information – July 18, 2018 | 144 |
Name and Address | Percentage |
CITIGROUP
GLOBAL MARKETS INC.
388 GREENWICH STREET 11TH FLOOR NEW YORK NY 10013 |
8.40% |
JPMORGAN
CHASE BANK, NATIONAL ASSOCIATION
14201 DALLAS PKWY FLOOR 12 - CORP ACTIONS DEPT DALLAS, TX 75254 |
44.64% |
NATIONAL
FINANCIAL SERVICES LLC
499 WASHINGTON BLVD. JERSEY CITY, NJ 07310 |
5.05% |
TD
AMERITRADE CLEARING, INC.
4700 ALLIANCE GATEWAY FREEWAY FORT WORTH, TX 76177 |
6.07% |
UBS
SECURITIES LLC
1000 HARBOR BLVD - 5TH FLOOR WEENHAWKEN, NJ 07086 |
30.53% |
Name and Address | Percentage |
CHARLES
SCHWAB & CO., INC.
2423 E LINCOLN DRIVE PHOENIX, AZ 85016-1215 |
20.54% |
JPMORGAN
CHASE BANK, NATIONAL ASSOCIATION
14201 DALLAS PKWY FLOOR 12 - CORP ACTIONS DEPT DALLAS, TX 75254 |
12.18% |
MERRILL
LYNCH, PIERCE, FENNER & SMITH
4804 DEAR LAKE DR E JACKSONVILLE, FL 32246 |
34.82% |
Statement of Additional Information – July 18, 2018 | 145 |
Name and Address | Percentage |
NATIONAL
FINANCIAL SERVICES LLC
499 WASHINGTON BLVD. JERSEY CITY, NJ 07310 |
10.22% |
Statement of Additional Information – July 18, 2018 | 146 |
Statement of Additional Information – July 18, 2018 | 147 |
Argentina
August 20, 2018 October 15, 2018 November 6, 2018 November 19, 2018 December 24, 2018 December 25, 2018 December 31, 2018 January 1, 2019 March 4, 2019 March 5, 2019 April 2, 2019 April 18, 2019 April 19, 2019 May 1, 2019 June 17, 2019 June 20, 2019 July 8, 2019 July 9, 2019 |
Australia
December 25, 2018 December 26, 2018 January 1, 2019 January 28, 2019 April 19, 2019 April 22, 2019 April 25, 2019 June 10, 2019 |
Austria
August 15, 2018 October 26, 2018 November 1, 2018 December 24, 2018 December 25, 2018 December 26, 2018 December 31, 2018 January 1, 2019 April 19, 2019 April 22, 2019 May 1, 2019 May 30, 2019 June 10, 2019 June 20, 2019 |
Bahrain*
August 21, 2018 August 22, 2018 August 23, 2018 September 11, 2018 September 19, 2018 September 20, 2018 November 20, 2018 December 16, 2018 December 17, 2018 January 1, 2019 May 1, 2019 June 5, 2019 June 6, 2019 |
Bangladesh*
August 15, 2018 August 21, 2018 August 22, 2018 August 23, 2018 September 2, 2018 November 21, 2018 December 16, 2018 December 25, 2018 December 31, 2018 February 21, 2019 March 17, 2019 March 26, 2019 April 14, 2019 May 1, 2019 May 20, 2019 June 2, 2019 June 5, 2019 June 6, 2019 July 1, 2019 |
Statement of Additional Information – July 18, 2018 | 148 |
Belgium
December 25, 2018 December 26, 2018 January 1, 2019 April 19, 2019 April 22, 2019 May 1, 2019 |
Botswana
October 1, 2018 October 2, 2018 December 25, 2018 December 26, 2018 January 1, 2019 January 2, 2019 April 19, 2019 April 22, 2019 May 1, 2019 May 30, 2019 July 1, 2019 July 15, 2019 July 16, 2019 |
Brazil
September 7, 2018 October 12, 2018 November 2, 2018 November 15, 2018 November 20, 2018 December 24, 2018 December 25, 2018 December 31, 2018 January 1, 2019 January 25, 2019 March 4, 2019 March 5, 2019 April 19, 2019 May 1, 2019 June 20, 2019 July 9, 2019 |
Bulgaria
September 6, 2018 September 24, 2018 December 24, 2018 December 25, 2018 December 26, 2018 January 1, 2019 March 4, 2019 April 19, 2019 April 22, 2019 April 26, 2019 April 29, 2019 May 1, 2019 May 6, 2019 May 24, 2019 |
Canada
August 6, 2018 September 3, 2018 October 8, 2018 December 25, 2018 December 26, 2018 January 1, 2019 February 18, 2019 April 19, 2019 May 20, 2019 July 1, 2019 |
Chile
August 15, 2018 September 17, 2018 September 18, 2018 September 19, 2018 October 15, 2018 November 1, 2018 November 2, 2018 December 25, 2018 December 31, 2018 January 1, 2019 April 19, 2019 May 1, 2019 May 21, 2019 July 16, 2019 |
China
September 24, 2018 October 1, 2018 October 2, 2018 October 3, 2018 October 4, 2018 October 5, 2018 January 1, 2019 February 4, 2019 February 5, 2019 February 6, 2019 February 7, 2019 February 8, 2019 April 5, 2019 May 1, 2019 June 7, 2019 |
Colombia
July 20, 2018 August 7, 2018 August 20, 2018 October 15, 2018 November 5, 2018 November 12, 2018 December 25, 2018 December 31, 2018 January 1, 2019 January 7, 2019 March 25, 2019 April 18, 2019 April 19, 2019 May 1, 2019 June 3, 2019 June 24, 2019 July 1, 2019 |
Croatia
August 15, 2018 October 8, 2018 November 1, 2018 December 24, 2018 December 25, 2018 December 26, 2018 December 31, 2018 January 1, 2019 April 19, 2019 April 22, 2019 May 1, 2019 June 20, 2019 June 25, 2019 |
Cyprus
August 15, 2018 October 1, 2018 December 24, 2018 December 25, 2018 December 26, 2018 January 1, 2019 March 11, 2019 March 25, 2019 April 1, 2019 April 19, 2019 April 22, 2019 April 26, 2019 April 29, 2019 April 30, 2019 May 1, 2019 June 17, 2019 |
Czech Republic
September 28, 2018 December 24, 2018 December 25, 2018 December 26, 2018 December 31, 2018 January 1, 2019 April 19, 2019 April 22, 2019 May 1, 2019 May 8, 2019 July 5, 2019 |
Denmark
December 24, 2018 December 25, 2018 December 26, 2018 December 31, 2018 January 1, 2019 April 18, 2019 April 19, 2019 April 22, 2019 May 17, 2019 May 30, 2019 May 31, 2019 June 5, 2019 June 10, 2019 |
Ecuador
July 25, 2018 August 10, 2018 October 8, 2018 November 1, 2018 November 2, 2018 December 6, 2018 December 25, 2018 December 31, 2018 January 1, 2019 March 4, 2019 March 5, 2019 April 19, 2019 May 3, 2019 May 24, 2019 July 25, 2019 |
Egypt*
July 23, 2018 August 20, 2018 August 21, 2018 August 22, 2018 September 11, 2018 November 20, 2018 January 1, 2019 January 7, 2019 April 25, 2019 April 28, 2019 April 29, 2019 May 1, 2019 June 5, 2019 June 6, 2019 July 1, 2019 July 23, 2019 |
Estonia
August 20, 2018 December 24, 2018 December 25, 2018 December 26, 2018 December 31, 2018 January 1, 2019 April 19, 2019 April 22, 2019 May 1, 2019 May 30, 2019 June 24, 2019 |
Statement of Additional Information – July 18, 2018 | 149 |
Statement of Additional Information – July 18, 2018 | 150 |
Kenya
December 12, 2018 December 25, 2018 December 26, 2018 January 1, 2019 April 19, 2019 April 22, 2019 May 1, 2019 June 5, 2019 |
Kuwait*
August 20, 2018 August 21, 2018 August 22, 2018 August 23, 2018 September 11, 2018 November 22, 2018 January 1, 2019 February 25, 2019 February 26, 2019 April 2, 2019 June 4, 2019 June 5, 2019 June 6, 2019 |
Latvia
November 19, 2018 December 24, 2018 December 25, 2018 December 26, 2018 December 31, 2018 January 1, 2019 April 19, 2019 April 22, 2019 May 1, 2019 May 6, 2019 May 30, 2019 June 24, 2019 |
Lithuania
August 15, 2018 November 1, 2018 December 24, 2018 December 25, 2018 December 26, 2018 December 31, 2018 January 1, 2019 March 11, 2019 April 19, 2019 April 22, 2019 May 1, 2019 May 30, 2019 June 24, 2019 |
Luxembourg
December 25, 2018 December 26, 2018 January 1, 2019 April 19, 2019 April 22, 2019 May 1, 2019 |
Malawi
October 15, 2018 December 25, 2018 December 26, 2018 January 1, 2019 January 15, 2019 March 4, 2019 April 19, 2019 April 22, 2019 May 1, 2019 May 14, 2019 June 5, 2019 July 8, 2019 |
Malaysia
August 22, 2018 August 31, 2018 September 10, 2018 September 11, 2018 September 17, 2018 November 6, 2018 November 20, 2018 December 25, 2018 January 1, 2019 January 21, 2019 February 1, 2019 February 5, 2019 February 6, 2019 May 1, 2019 May 22, 2019 June 5, 2019 June 6, 2019 |
Malta
August 15, 2018 September 21, 2018 December 13, 2018 December 24, 2018 December 25, 2018 December 26, 2018 January 1, 2019 January 2, 2019 March 19, 2019 April 19, 2019 April 22, 2019 May 1, 2019 June 7, 2019 |
Mauritius
August 15, 2018 September 14, 2018 November 2, 2018 November 7, 2018 December 25, 2018 January 1, 2019 January 2, 2019 January 21, 2019 February 1, 2019 February 5, 2019 March 4, 2019 March 12, 2019 May 1, 2019 June 5, 2019 |
Mexico
November 2, 2018 November 19, 2018 December 12, 2018 December 25, 2018 January 1, 2019 February 4, 2019 March 18, 2019 April 18, 2019 April 19, 2019 May 1, 2019 |
Morocco
July 30, 2018 August 14, 2018 August 20, 2018 August 21, 2018 August 22, 2018 August 23, 2018 September 11, 2018 November 6, 2018 November 20, 2018 November 21, 2018 January 1, 2019 January 11, 2019 May 1, 2019 June 5, 2019 June 6, 2019 July 30, 2019 |
Namibia
August 9, 2018 September 24, 2018 December 17, 2018 December 25, 2018 December 26, 2018 January 1, 2019 March 21, 2019 April 19, 2019 April 22, 2019 May 1, 2019 June 17, 2019 |
Netherlands
December 25, 2018 December 26, 2018 January 1, 2019 April 19, 2019 April 22, 2019 May 1, 2019 |
New Zealand
October 22, 2018 December 25, 2018 December 26, 2018 January 1, 2019 January 2, 2019 February 6, 2019 April 19, 2019 April 22, 2019 April 25, 2019 June 3, 2019 |
Nigeria
August 21, 2018 August 22, 2018 October 1, 2018 November 20, 2018 December 25, 2018 December 26, 2018 January 1, 2019 April 19, 2019 April 22, 2019 May 1, 2019 May 29, 2019 June 5, 2019 June 6, 2019 |
Statement of Additional Information – July 18, 2018 | 151 |
Statement of Additional Information – July 18, 2018 | 152 |
South Korea
August 15, 2018 September 24, 2018 September 25, 2018 September 26, 2018 October 3, 2018 October 9, 2018 December 25, 2018 December 31, 2018 January 1, 2019 February 4, 2019 February 5, 2019 February 6, 2019 March 1, 2019 May 1, 2019 May 6, 2019 June 6, 2019 |
Spain
December 25, 2018 December 26, 2018 January 1, 2019 April 19, 2019 April 22, 2019 May 1, 2019 |
Sri Lanka
July 27, 2018 August 22, 2018 September 24, 2018 October 24, 2018 November 6, 2018 November 20, 2018 November 22, 2018 December 25, 2018 January 1, 2019 January 15, 2019 February 4, 2019 April 19, 2019 May 1, 2019 June 5, 2019 |
Sweden
December 24, 2018 December 25, 2018 December 26, 2018 December 31, 2018 January 1, 2019 April 19, 2019 April 22, 2019 May 1, 2019 May 30, 2019 June 6, 2019 June 21, 2019 |
Switzerland
August 1, 2018 December 24, 2018 December 25, 2018 December 26, 2018 December 31, 2018 January 1, 2019 January 2, 2019 April 19, 2019 April 22, 2019 May 1, 2019 May 30, 2019 June 10, 2019 |
Taiwan
September 24, 2018 October 10, 2018 December 31, 2018 January 1, 2019 February 4, 2019 February 5, 2019 February 6, 2019 February 7, 2019 February 8, 2019 February 28, 2019 March 1, 2019 April 4, 2019 April 5, 2019 May 1, 2019 June 7, 2019 |
Thailand
July 27, 2018 July 30, 2018 August 13, 2018 October 15, 2018 October 23, 2018 December 5, 2018 December 10, 2018 December 31, 2018 January 1, 2019 February 19, 2019 April 8, 2019 April 15, 2019 April 16, 2019 May 1, 2019 May 20, 2019 July 1, 2019 July 15, 2019 July 29, 2019 |
Tunisia
July 25, 2018 August 13, 2018 August 21, 2018 August 22, 2018 September 12, 2018 October 15, 2018 November 20, 2018 January 1, 2019 January 14, 2019 March 20, 2019 April 9, 2019 May 1, 2019 June 5, 2019 June 6, 2019 July 25, 2019 |
Turkey
August 21, 2018 August 22, 2018 August 23, 2018 August 24, 2018 August 30, 2018 October 29, 2018 January 1, 2019 April 23, 2019 May 1, 2019 June 5, 2019 June 6, 2019 June 7, 2019 July 15, 2019 |
Uganda
August 22, 2018 October 9, 2018 December 25, 2018 December 26, 2018 January 1, 2019 March 8, 2019 April 19, 2019 April 22, 2019 May 1, 2019 June 3, 2019 June 5, 2019 |
Ukraine
August 24, 2018 October 15, 2018 December 24, 2018 December 25, 2018 December 31, 2018 January 1, 2019 January 2, 2019 January 7, 2019 March 8, 2019 April 29, 2019 May 1, 2019 May 9, 2019 June 17, 2019 June 28, 2019 |
United Arab Emirates*
August 20, 2018 August 21, 2018 August 22, 2018 September 11, 2018 November 20, 2018 December 2, 2018 December 3, 2018 January 1, 2019 April 2, 2019 June 5, 2019 June 6, 2019 |
United Kingdom
August 27, 2018 December 25, 2018 December 26, 2018 January 1, 2019 April 19, 2019 April 22, 2019 May 6, 2019 May 27, 2019 |
USA
September 3, 2018 November 22, 2018 December 25, 2018 January 1, 2019 January 21, 2019 February 18, 2019 April 19, 2019 May 27, 2019 July 4, 2019 |
Vietnam
September 3, 2018 January 1, 2019 February 4, 2019 February 5, 2019 February 6, 2019 February 7, 2019 February 8, 2019 April 30, 2019 May 1, 2019 |
Statement of Additional Information – July 18, 2018 | 153 |
Zambia
August 6, 2018 October 18, 2018 October 24, 2018 December 25, 2018 January 1, 2019 March 8, 2019 March 12, 2019 April 19, 2019 April 22, 2019 May 1, 2019 July 1, 2019 July 2, 2019 |
Zimbabwe
July 30, 2018 August 13, 2018 August 14, 2018 December 25, 2018 December 26, 2018 January 1, 2019 February 21, 2019 April 18, 2019 April 19, 2019 April 22, 2019 May 1, 2019 |
* | The market is closed every Friday. |
Statement of Additional Information – July 18, 2018 | 154 |
Statement of Additional Information – July 18, 2018 | 155 |
Country | Trade Date | Settlement Date | Number of Days to Settle |
Malaysia |
1/30/2019
1/31/2019 |
2/7/2019
2/8/2019 |
8
8 |
Morocco |
8/15/2018
8/16/2018 8/17/2018 |
8/24/2018
8/27/2018 8/28/2018 |
9
11 11 |
New Zealand |
4/18/2019
|
4/26/2019
|
8
|
Qatar |
8/15/2018
8/16/2018 8/19/2018 |
8/23/2018
8/26/2018 8/27/2018 |
8
10 8 |
Taiwan |
1/31/2019
2/1/2019 |
2/11/2019
2/12/2019 |
11
11 |
Turkey |
8/17/2018
8/20/2018 |
8/27/2018
8/28/2018 |
10
8 |
Ukraine |
12/26/2018
12/27/2018 12/28/2018 |
1/3/2019
1/4/2019 1/8/2019 |
8
8 11 |
Vietnam |
1/31/2019
2/1/2019 |
2/11/2019
2/12/2019 |
11
11 |
Zimbabwe |
4/15/2019
4/16/2019 4/17/2019 |
4/23/2019
4/24/2019 4/25/2019 |
8
8 8 |
* | These worse case redemption cycles are based on information regarding regular holidays, which may be out of date. Based on changes in holidays, longer (worse) redemption cycles are possible, but a Fund will not take more than fourteen calendar days from the date of the tender to pay redemption proceeds. |
** | For trades placed on the Shanghai Stock Exchange A-shares |
*** | The Malawi Stock Exchange regularly operates on a “T plus seven” local business days’ settlement cycle, which means that settlement typically occurs seven local business days after the trade execution date. As such, when considering this and local market holidays, the number of days typically needed to settle trades placed on the Malawi Stock Exchange ranges from 9-14 calendar days. |
Statement of Additional Information – July 18, 2018 | 156 |
Statement of Additional Information – July 18, 2018 | 157 |
Statement of Additional Information – July 18, 2018 | 158 |
Statement of Additional Information – July 18, 2018 | 159 |
Statement of Additional Information – July 18, 2018 | A-1 |
Statement of Additional Information – July 18, 2018 | A-2 |
Statement of Additional Information – July 18, 2018 | A-3 |
Statement of Additional Information – July 18, 2018 | A-4 |
Statement of Additional Information – July 18, 2018 | B-1 |
■ | effectively exercise their voting rights across the full range of business normally associated with general meetings of a company in line with market best practice (e.g. the election of individual directors, discharge authorities, capital authorities, auditor appointment, major or related party transactions etc). |
■ | place items on the agenda of general meetings, and to propose resolutions subject to reasonable limitations; |
■ | call a meeting of shareholders for the purpose of transacting the legitimate business of the company; and |
■ | Clear, consistent and effective reporting to shareholders is undertaken at regular intervals and that they remain aware of shareholder sentiment on major issues to do with the business, its strategy and performance. Where significant shareholder dissent is emerging or apparent (e.g. through the voting levels seen at General Meetings), boards should act to address that. |
■ | Boards should also allow a reasonable opportunity for the shareholders at a general meeting to ask questions about or make comments on the management of the company, and to ask the external auditor questions related to the audit. |
Statement of Additional Information – July 18, 2018 | B-2 |
Statement of Additional Information – July 18, 2018 | B-3 |
■ | subject to proper oversight by the board and regular review (e.g. audit, shareholder approval); |
■ | clearly justified and not be detrimental to the long-term interests of the company; |
■ | undertaken in the normal course of business; |
■ | undertaken on fully commercial terms; |
■ | In line with best practice; and |
■ | In the interests of all shareholders. |
Statement of Additional Information – July 18, 2018 | B-4 |
Statement of Additional Information – July 18, 2018 | B-5 |
1. | Clear, simple and understandable; |
2. | Balanced and proportionate, in respect of structure, deliverables, opportunity and the market; |
3. | Aligned with the long-term strategy, related key performance indicators and risk management discipline; |
4. | Linked robustly to the delivery of performance; |
5. | Delivering outcomes that reflect value creation and the shareholder ‘experience’; and |
6. | Structured to avoid pay for failure or the avoidance of accountability to shareholders. |
Statement of Additional Information – July 18, 2018 | B-6 |
Statement of Additional Information – July 18, 2018 | B-7 |