THE SECURITIES ACT OF 1933 | ☒ |
Pre-Effective Amendment No. | ☐ |
Post-Effective Amendment No. 115 | ☒ |
THE INVESTMENT COMPANY ACT OF 1940 | ☒ |
Amendment No. 117 | ☒ |
Daniel J. Beckman c/o Columbia Management Investment Advisers, LLC 290 Congress Street Boston, Massachusetts 02210 |
Ryan C. Larrenaga, Esq. c/o Columbia Management Investment Advisers, LLC 290 Congress Street Boston, Massachusetts 02210 |
CUSIP | TICKER SYMBOL | |
19762B202 | XCEM |
CUSIP | TICKER SYMBOL | |
19762B509 | ECON |
CUSIP | TICKER SYMBOL | |
19762B707 | INCO |
2 | Prospectus 2023 |
Management fees(a) | |
Distribution and/or service (12b-1) fees | |
Other expenses | |
Total annual Fund operating expenses |
(a) |
■ | you invest $10,000 in the Fund for the periods indicated, |
■ | your investment has a 5% return each year, and |
■ | the Fund’s total annual operating expenses remain the same as shown in the Annual Fund Operating Expenses table above. |
1 year | 3 years | 5 years | 10 years | |
$ |
$ |
$ |
$ |
Prospectus 2023 | 3 |
4 | Prospectus 2023 |
Prospectus 2023 | 5 |
■ | Asia Pacific Region. Many of the countries in the Asia Pacific region are considered underdeveloped or developing, including from a political, economic and/or social perspective, and may have relatively unstable governments and economies based on limited business, industries and/or natural resources or commodities. Events in any one country within the region may impact other countries in the region or the region as a whole. As a result, events in the region will generally have a greater effect on the Fund than if the Fund were more geographically diversified. This could result in increased volatility in the value of the Fund’s investments and losses for the Fund. Also, securities of some companies in the region can be less liquid than U.S. or other foreign securities, potentially making it difficult for the Fund to sell such securities at a desirable time and price. |
■ | Small- and Mid-Cap Stock Risk. Investments in small- and mid-capitalization companies (small- and mid-cap companies) often involve greater risks than investments in larger, more established companies (larger companies) because small- and mid-cap companies tend to have less predictable earnings and may lack the management experience, financial resources, product diversification and competitive strengths of larger companies. Securities of small- and mid-cap companies may be less liquid and more volatile than the securities of larger companies. |
6 | Prospectus 2023 |
■ | Large-Cap Stock Risk. Investments in larger companies may involve certain risks associated with their larger size. For instance, larger companies may be less able to respond quickly to new competitive challenges, such as changes in consumer tastes or innovation from smaller competitors. Also, larger companies are sometimes less able to achieve as high growth rates as successful smaller companies, especially during extended periods of economic expansion. |
Prospectus 2023 | 7 |
■ | Financial Services Sector. The Fund is more susceptible to the particular risks that may affect companies in the financial services sector than if it were invested in a wider variety of companies in unrelated sectors. Companies in the financial services sector are subject to certain risks, including the risk of regulatory change, decreased liquidity in credit markets and unstable interest rates. Such companies may have concentrated portfolios, such as a high level of loans to one or more industries or sectors, which makes them vulnerable to economic conditions that affect such industries or sectors. Performance of such companies may be affected by competitive pressures and exposure to investments, agreements and counterparties, including credit products that, under certain circumstances, may lead to losses (e.g., subprime loans). Companies in the financial services sector are subject to extensive governmental regulation that may limit the amount and types of loans and other financial commitments they can make, and the interest rates and fees they may charge. In addition, profitability of such companies is largely dependent upon the availability and the cost of capital. |
■ | Information Technology Sector. The Fund is more susceptible to the particular risks that may affect companies in the information technology sector than if it were invested in a wider variety of companies in unrelated sectors. Companies in the information technology sector are subject to certain risks, including the risk that new services, equipment or technologies will not be accepted by consumers and businesses or will become rapidly obsolete. Performance of such companies may be affected by factors including obtaining and protecting patents (or the failure to do so) and significant competitive pressures, including aggressive pricing of their products or services, new market entrants, competition for market share and short product cycles due to an accelerated rate of technological developments. Such competitive pressures may lead to limited earnings and/or falling profit |
8 | Prospectus 2023 |
margins. As a result, the value of their securities may fall or fail to rise. In addition, many information technology sector companies have limited operating histories and prices of these companies’ securities historically have been more volatile than other securities, especially over the short term. Some companies in the information technology sector are facing increased government and regulatory scrutiny and may be subject to adverse government or regulatory action, which could negatively impact the value of their securities. |
as of December 31 Each Year* |
Best and Worst Quarterly Returns During the Period Shown in the Bar Chart | ||
|
|||
- |
* |
Prospectus 2023 | 9 |
Inception Date | 1 Year | 5 Years | Life of Fund | |
returns before taxes | - |
|||
returns after taxes on distributions | - |
|||
returns after taxes on distributions and sale of Fund shares | - |
|||
Beta Thematic Emerging Markets ex-China Index (reflects no deductions for fees, expenses or taxes) | - |
|||
MSCI Emerging Markets Index (Net) (reflects reinvested dividends net of withholding taxes but reflects no deductions for fees, expenses or other taxes) | - |
- |
Portfolio Management | Title | Role with Fund | Managed Fund Since | |||
Christopher Lo, CFA | Senior Portfolio Manager | Lead Portfolio Manager | 2016 | |||
Henry Hom, CFA | Portfolio Manager | Portfolio Manager | 2021 |
10 | Prospectus 2023 |
Management fees(a) | |
Distribution and/or service (12b-1) fees | |
Other expenses | |
Total annual Fund operating expenses |
(a) |
■ | you invest $10,000 in the Fund for the periods indicated, |
■ | your investment has a 5% return each year, and |
■ | the Fund’s total annual operating expenses remain the same as shown in the Annual Fund Operating Expenses table above. |
1 year | 3 years | 5 years | 10 years | |
$ |
$ |
$ |
$ |
Prospectus 2023 | 11 |
12 | Prospectus 2023 |
Prospectus 2023 | 13 |
■ | Greater China. The Greater China region consists of Hong Kong, The People's Republic of China and Taiwan, among other countries, and the Fund's investments in the region are particularly susceptible to risks in that region. These economies can be significantly affected by currency fluctuations and increasing competition from other emerging economies. Adverse events in the region will generally have a greater effect on the Fund than if the Fund were more geographically diversified, which could result in greater volatility in the Fund’s NAV and losses. Markets in the Greater China region can experience significant volatility due to social, economic, regulatory and political uncertainties. Many Chinese companies to which the Fund seeks investment exposure use a structure known as a variable interest entity (a VIE) to address Chinese restrictions on direct foreign investment in Chinese companies operating in certain sectors. The Fund’s investment exposure to VIEs may pose additional risks because the Fund’s investment is in a holding company domiciled outside of China (a Holding Company) whose interests in the business of the underlying Chinese operating company (the VIE) are established through contracts rather than equity ownership. The VIE structure is a longstanding practice in China that, until recently, was not acknowledged by the Chinese government, creating uncertainty over the possibility that the Chinese government might cease to tolerate VIE structures at any time or impose new restrictions on the structure. In such a scenario, the Chinese operating company could be subject to penalties, including revocation of its business and operating license, or the Holding Company could forfeit its interest in the business of the Chinese operating company. Further, in case of a dispute, the remedies and rights of the Fund may be limited, and legal uncertainty may be exploited against the interests of the Fund. Control over a VIE may also be jeopardized if a natural person who holds the equity interest in the VIE breaches the terms of the contractual arrangements, is subject to legal proceedings, or if any physical instruments or property of the VIE, such as seals, business registration certificates, financial data and licensing arrangements (sometimes referred to as “chops”), are used without authorization. In the event of such an occurrence, the Fund, as a foreign investor, may have little or no legal recourse. In addition to the risk of government intervention, investments through a VIE structure are subject to the risk that the China-based company (or its officers, directors, or Chinese equity owners) may breach the contractual arrangements, that Chinese law changes in a way that adversely affects the enforceability of the arrangements, or that the contracts are otherwise not enforceable under Chinese law. In any of these cases, a Fund may suffer significant losses on its investments through a VIE structure with little or no recourse available. Further, the Fund is not a VIE owner/shareholder and cannot exert influence through proxy voting or other means. Foreign companies listed on stock exchanges in the |
14 | Prospectus 2023 |
United States, including companies using the VIE structure, could also face delisting or other ramifications for failure to meet the expectations and/or requirements of U.S. regulators. Recently, China has proposed the adoption of rules which would affirm that VIEs are legally permissible, though there remains significant uncertainty over how these rules will operate. Any of these risks could reduce the liquidity and value of the Fund’s investments in Holding Companies or render them valueless. |
■ | Mid-Cap Stock Risk. Investments in mid-capitalization companies (mid-cap companies) often involve greater risks than investments in larger, more established companies (larger companies) because mid-cap companies tend to have less predictable earnings and may lack the management experience, financial resources, product diversification and competitive strengths of larger companies, and may be less liquid than the securities of larger companies. |
■ | Large-Cap Stock Risk. Investments in larger companies may involve certain risks associated with their larger size. For instance, larger companies may be less able to respond quickly to new competitive challenges, such as changes in consumer tastes or innovation from smaller competitors. Also, larger companies are sometimes less able to achieve as high growth rates as successful smaller companies, especially during extended periods of economic expansion. |
Prospectus 2023 | 15 |
16 | Prospectus 2023 |
■ | Communication Services Sector. The Fund is more susceptible to the particular risks that may affect companies in the communication services sector than if it were invested in a wider variety of companies in unrelated sectors. Companies in the communication services sector are subject to certain risks, including the risk that new services, equipment or technologies will not be accepted by consumers and businesses or will become rapidly obsolete. Performance of such companies may be affected by factors including obtaining and protecting patents (or the failure to do so) and significant competitive pressures, including aggressive pricing of their products or services, new market entrants, competition for market share and short product cycles due to an accelerated rate of technological developments. Such competitive pressures may lead to limited earnings and/or falling profit margins. As a result, the value of their securities may fall or fail to rise. In addition, many communication services sector companies have limited operating histories and prices of these companies’ securities historically have been more volatile than other securities, especially over the short term. |
■ | Consumer Discretionary/Staples Sectors. The Fund is more susceptible to the particular risks that may affect companies in the consumer discretionary/staples sectors than if it were invested in a wider variety of companies in unrelated sectors. Companies in the consumer discretionary/staples sectors are subject to certain risks, including fluctuations in the performance of the overall domestic and international economies, interest rate changes, currency exchange rates, increased competition and consumer confidence. Performance of such companies may be affected by factors including reduced disposable household income, reduced consumer spending, and changing demographics and consumer tastes. |
Prospectus 2023 | 17 |
as of December 31 Each Year* |
Best and Worst Quarterly Returns During the Period Shown in the Bar Chart | ||
|
|||
- |
* |
Inception Date | 1 Year | 5 Years | 10 Years | |
returns before taxes | - |
- |
- | |
returns after taxes on distributions | - |
- |
- | |
returns after taxes on distributions and sale of Fund shares | - |
- |
- | |
Dow Jones Emerging Markets Consumer TitansTM Index (reflects no deductions for fees, expenses or taxes) | - |
- |
- | |
MSCI Emerging Markets Index (Net) (reflects reinvested dividends net of withholding taxes but reflects no deductions for fees, expenses or other taxes) | - |
- |
Portfolio Management | Title | Role with Fund | Managed Fund Since | |||
Christopher Lo, CFA | Senior Portfolio Manager | Lead Portfolio Manager | 2016 | |||
Henry Hom, CFA | Portfolio Manager | Portfolio Manager | 2021 |
18 | Prospectus 2023 |
Prospectus 2023 | 19 |
Management fees(a) | |
Distribution and/or service (12b-1) fees | |
Other expenses | |
Total annual Fund operating expenses | |
Less: Fee waivers and/or expense reimbursements(b) | ( |
Total annual Fund operating expenses after fee waivers and/or expense reimbursements |
(a) |
(b) |
■ | you invest $10,000 in the Fund for the periods indicated, |
■ | your investment has a 5% return each year, and |
■ | the Fund’s total annual operating expenses remain the same as shown in the Annual Fund Operating Expenses table above. |
1 year | 3 years | 5 years | 10 years | |
$ |
$ |
$ |
$ |
20 | Prospectus 2023 |
Prospectus 2023 | 21 |
22 | Prospectus 2023 |
■ | India. The Fund is particularly susceptible to risks related to economic, political, regulatory or other events or conditions affecting issuers in India. Because the Fund invests predominantly in Indian securities, its NAV will be much more sensitive to changes in economic, political and other factors within India than would a fund that invested in a variety of countries. Special risks include, among others, political and legal uncertainty, persistent religious, ethnic and border disputes, greater government control over the economy, currency fluctuations or blockage and the risk of nationalization or expropriation of assets. Uncertainty regarding inflation and currency exchange rates, fiscal policy, credit ratings and the possibility that future harmful political actions will be taken by the Indian government, could negatively impact the Indian economy and securities markets, and thus adversely affect the Fund’s performance. |
Prospectus 2023 | 23 |
■ | Small- and Mid-Cap Stock Risk. Investments in small- and mid-capitalization companies (small- and mid-cap companies) often involve greater risks than investments in larger, more established companies (larger companies) because small- and mid-cap companies tend to have less predictable earnings and may lack the management experience, financial resources, product diversification and competitive strengths of larger companies. Securities of small- and mid-cap companies may be less liquid and more volatile than the securities of larger companies. |
■ | Large-Cap Stock Risk. Investments in larger companies may involve certain risks associated with their larger size. For instance, larger companies may be less able to respond quickly to new competitive challenges, such as changes in consumer tastes or innovation from smaller competitors. Also, larger companies are sometimes less able to achieve as high growth rates as successful smaller companies, especially during extended periods of economic expansion. |
24 | Prospectus 2023 |
Prospectus 2023 | 25 |
■ | Consumer Discretionary/Staples Sectors. The Fund is more susceptible to the particular risks that may affect companies in the consumer discretionary/staples sectors than if it were invested in a wider variety of companies in unrelated sectors. Companies in the consumer discretionary/staples sectors are subject to certain risks, including fluctuations in the performance of the overall domestic and international economies, interest rate changes, currency exchange rates, increased competition and consumer confidence. Performance of such companies may be affected by factors including reduced disposable household income, reduced consumer spending, and changing demographics and consumer tastes. |
26 | Prospectus 2023 |
as of December 31 Each Year* |
Best and Worst Quarterly Returns During the Period Shown in the Bar Chart | ||
|
|||
- |
* |
Inception Date | 1 Year | 5 Years | 10 Years | |
returns before taxes | - |
|||
returns after taxes on distributions | - |
|||
returns after taxes on distributions and sale of Fund shares | - |
|||
Indxx India Consumer Index (reflects no deductions for fees, expenses or taxes) | - |
|||
MSCI India Index (Net) (reflects reinvested dividends net of withholding taxes but reflects no deductions for fees, expenses or other taxes) | - |
Portfolio Management | Title | Role with Fund | Managed Fund Since | |||
Christopher Lo, CFA | Senior Portfolio Manager | Lead Portfolio Manager | 2016 | |||
Henry Hom, CFA | Portfolio Manager | Portfolio Manager | 2021 |
Prospectus 2023 | 27 |
28 | Prospectus 2023 |
Prospectus 2023 | 29 |
30 | Prospectus 2023 |
Prospectus 2023 | 31 |
32 | Prospectus 2023 |
■ | Asia Pacific Region. A number of countries in the Asia Pacific region are considered underdeveloped or developing, including from a political, economic and/or social perspective, and may have relatively unstable governments and economies based on limited business, industries and/or natural resources or commodities. Events in any one country within the region may impact that country, other countries in the region or the region as a whole. As a result, events in the region will generally have a greater effect on the Fund than if the Fund were more geographically diversified in a region with more developed countries and economies. This could result in increased volatility in the value of the Fund’s investments and losses for the Fund. Continued growth of economies and securities markets in the region will require sustained economic and fiscal discipline, as well as continued commitment to governmental and regulatory reforms. Development also may be influenced by international economic conditions, including those in the United States and Japan, and by world demand for goods or natural resources produced in countries in the Asia Pacific region. Securities markets in the region are generally smaller and have a lower trading volume than those in the United States, which may result in the securities of some companies in the region being less liquid than U.S. or other foreign securities. Some currencies, inflation rates or |
Prospectus 2023 | 33 |
interest rates in the Asia Pacific region are or can be volatile, and some countries in the region may restrict the flow of money in and out of the country. The risks described under “Emerging Market Securities Risk” and “Foreign Securities Risk” may be more pronounced due to the Fund’s focus on investments in the region. |
■ | Small- and Mid-Cap Stock Risk. Securities of small- and mid-cap companies can, in certain circumstances, have a higher potential for gains than securities of larger companies but are more likely to have more risk than larger companies. For example, small- and mid-cap companies may be more vulnerable to market downturns and adverse business or economic events than larger companies because they may have more limited financial resources and business operations. Small- and mid-cap companies are also more likely than larger companies to have more limited product lines and operating histories and to depend on smaller and generally less experienced management teams. Securities of small- and mid-cap companies may trade less frequently and in smaller volumes and may be less liquid and fluctuate more sharply in value than securities of larger companies. When the Fund takes significant positions in small- and mid-cap companies with limited trading volumes, the liquidation of those positions, particularly in a distressed market, could be prolonged and result in Fund investment losses that would affect the value of your investment in the Fund. In addition, some small- and mid-cap companies may not be widely followed by the investment community, which can lower the demand for their stocks. |
■ | Large-Cap Stock Risk. Investments in larger companies may involve certain risks associated with their larger size. For instance, larger companies may be less able to respond quickly to new competitive challenges, such as changes in consumer tastes or innovation from smaller competitors. Also, larger companies are sometimes less able to achieve as high growth rates as successful smaller companies, especially during extended periods of economic expansion. |
34 | Prospectus 2023 |
Prospectus 2023 | 35 |
■ | Financial Services Sector. The Fund is more susceptible to the particular risks that may affect companies in the financial services sector than if it were invested in a wider variety of companies in unrelated sectors. Companies in the financial services sector are subject to certain risks, including the risk of regulatory change, decreased liquidity in credit markets and unstable interest rates. Such companies may have concentrated portfolios, such as a high level of loans to one or more industries or sectors, which makes them vulnerable to economic conditions that affect such industries or sectors. Performance of such companies may be affected by competitive pressures and exposure to investments, agreements and counterparties, including credit products that, under certain circumstances, may lead to losses (e.g., subprime loans). Companies in the financial services sector are subject to extensive governmental regulation that may limit the amount and types of loans and other financial commitments they can make, and the interest rates and fees they may charge. In addition, profitability of such companies is largely dependent upon the availability and the cost of capital. |
■ | Information Technology Sector. The Fund is more susceptible to the particular risks that may affect companies in the information technology sector than if it were invested in a wider variety of companies in unrelated sectors. Companies in the information technology sector are subject to certain risks, including the risk that new services, equipment or technologies will not be accepted by consumers and businesses or will become rapidly obsolete. Performance of such companies may be affected by factors including obtaining and protecting patents (or the failure to do so) and significant competitive pressures, including aggressive pricing of their products or services, new market entrants, competition for market share and short product cycles due to an accelerated rate of technological developments. Such competitive pressures may lead to limited earnings and/or falling profit margins. As a result, the value of their securities may fall or fail to rise. In addition, many information technology sector companies have limited operating histories and prices of these companies’ securities historically have been more volatile than other securities, especially over the short term. Some companies in the information technology sector are facing increased government and regulatory scrutiny and may be subject to adverse government or regulatory action, which could negatively impact the value of their securities. |
36 | Prospectus 2023 |
Prospectus 2023 | 37 |
38 | Prospectus 2023 |
Prospectus 2023 | 39 |
40 | Prospectus 2023 |
■ | Greater China. The Greater China region consists of Hong Kong, The People's Republic of China and Taiwan, among other countries, and the Fund's investments in the region are particularly susceptible to risks in that region. The Hong Kong, Taiwanese, and Chinese economies are dependent on the economies of other countries and can be significantly affected by currency fluctuations and increasing competition from other emerging economies in Asia with lower costs. Adverse events in any one country within the region may impact the other countries in the region or Asia as a whole. As a result, adverse events in the region will generally have a greater effect on the Fund than if the Fund were more geographically diversified, which could result in greater volatility in the Fund’s NAV and losses. Markets in the Greater China region can experience significant volatility due to social, economic, regulatory and political uncertainties. Changes in Chinese government policy and economic growth rates could significantly affect local markets and the entire Greater China region. China has yet to develop comprehensive securities, corporate, or commercial laws, its market is relatively new and less developed, and its economy is experiencing a relative slowdown. Export growth continues to be a major driver of China’s economic growth. As a result, a reduction in spending on Chinese products and services, the institution of additional tariffs or other trade barriers, including as a result of heightened trade tensions between China and the United States, or a downturn in any of the economies of China’s key trading partners may have an adverse impact on the Chinese economy. The risks described under “Emerging Market Securities Risk” and “Foreign Securities Risk” may be more pronounced due to the Fund’s focus on investments in the region. Many Chinese companies to which the Fund seeks investment exposure use a structure known as a variable interest entity (a VIE) to address Chinese restrictions on direct |
Prospectus 2023 | 41 |
foreign investment in Chinese companies operating in certain sectors. The Fund’s investment exposure to VIEs may pose additional risks because the Fund’s investment is not made directly in the VIE (the actual Chinese operating company), but rather in a holding company domiciled outside of China (a Holding Company) whose interests in the business of the underlying Chinese operating company (the VIE) are established through contracts rather than through equity ownership. The VIE (which the Fund is restricted from owning under Chinese law) is generally owned by Chinese nationals, and the Holding Company (in which the Fund invests) holds only contractual rights (rather than equity ownership) relating to the VIE, typically including a contractual claim on the VIE's profits. Shares of the Holding Company, in turn, are traded on exchanges outside of China and are available to non-Chinese investors such as the Fund. The VIE structure is a longstanding practice in China that, until recently, was not acknowledged by the Chinese government, creating uncertainty over the possibility that the Chinese government might cease to tolerate VIE structures at any time or impose new restrictions on the structure. In such a scenario, the Chinese operating company could be subject to penalties, including revocation of its business and operating license, or the Holding Company could forfeit its interest in the business of the Chinese operating company. Further, in case of a dispute, the remedies and rights of the Fund may be limited, and such legal uncertainty may be exploited against the interests of the Fund. Control over a VIE may also be jeopardized if a natural person who holds the equity interest in the VIE breaches the terms of the contractual arrangements, is subject to legal proceedings, or if any physical instruments or property of the VIE, such as seals, business registration certificates, financial data and licensing arrangements (sometimes referred to as “chops”), are used without authorization. In the event of such an occurrence, the Fund, as a foreign investor, may have little or no legal recourse. In addition to the risk of government intervention, investments through a VIE structure are subject to the risk that the China-based company (or its officers, directors, or Chinese equity owners) may breach the contractual arrangements, that Chinese law changes in a way that adversely affects the enforceability of the arrangements, or that the contracts are otherwise not enforceable under Chinese law. In any of these cases, a Fund may suffer significant losses on its investments through a VIE structure with little or no recourse available. The Fund will typically have little or no ability to influence the VIE through proxy voting or other means because it is not a VIE owner/shareholder. Foreign companies listed on stock exchanges in the United States, including companies using the VIE structure, could also face delisting or other ramifications for failure to meet the expectations and/or requirements of the SEC, the Public Company Accounting Oversight Board, or other U.S. regulators. Recently, China has proposed the adoption of rules which would affirm that VIEs are legally permissible, though there remains significant uncertainty over how these rules will operate. Any of these risks could reduce the liquidity and value of the Fund’s investments in Holding Companies or render them valueless. |
■ | Mid-Cap Stock Risk. Securities of mid-cap companies can, in certain circumstances, have more risk than securities of larger companies. For example, mid-cap companies may be more vulnerable to market downturns and |
42 | Prospectus 2023 |
adverse business or economic events than larger companies because they may have more limited financial resources and business operations. Mid-cap companies are also more likely than larger companies to have more limited product lines and operating histories and to depend on smaller and generally less experienced management teams. Securities of mid-cap companies may trade less frequently and in smaller volumes and may fluctuate more sharply in value than securities of larger companies. When the Fund takes significant positions in mid-cap companies with limited trading volumes, the liquidation of those positions, particularly in a distressed market, could be difficult and result in Fund investment losses that would affect the value of your investment in the Fund. In addition, some mid-cap companies may not be widely followed by the investment community, which can lower the demand for their stocks. |
■ | Large-Cap Stock Risk. Investments in larger companies may involve certain risks associated with their larger size. For instance, larger companies may be less able to respond quickly to new competitive challenges, such as changes in consumer tastes or innovation from smaller competitors. Also, larger companies are sometimes less able to achieve as high growth rates as successful smaller companies, especially during extended periods of economic expansion. |
Prospectus 2023 | 43 |
■ | Communication Services Sector. The Fund is more susceptible to the particular risks that may affect companies in the communication services sector than if it were invested in a wider variety of companies in unrelated sectors. |
44 | Prospectus 2023 |
Companies in the communication services sector are subject to certain risks, including the risk that new services, equipment or technologies will not be accepted by consumers and businesses or will become rapidly obsolete. Performance of such companies may be affected by factors including obtaining and protecting patents (or the failure to do so) and significant competitive pressures, including aggressive pricing of their products or services, new market entrants, competition for market share and short product cycles due to an accelerated rate of technological developments. Such competitive pressures may lead to limited earnings and/or falling profit margins. As a result, the value of their securities may fall or fail to rise. In addition, many communication services sector companies have limited operating histories and prices of these companies’ securities historically have been more volatile than other securities, especially over the short term. |
■ | Consumer Discretionary/Staples Sectors. The Fund is more susceptible to the particular risks that may affect companies in the consumer discretionary/staples sectors than if it were invested in a wider variety of companies in unrelated sectors. Companies in the consumer discretionary/staples sectors are subject to certain risks, including fluctuations in the performance of the overall domestic and international economies, interest rate changes, currency exchange rates, increased competition and consumer confidence. Performance of such companies may be affected by factors including reduced disposable household income, reduced consumer spending, and changing demographics and consumer tastes. |
Prospectus 2023 | 45 |
46 | Prospectus 2023 |
Prospectus 2023 | 47 |
48 | Prospectus 2023 |
Prospectus 2023 | 49 |
■ | India. The Fund is particularly susceptible to risks related to economic, political, regulatory or other events or conditions affecting issuers in India. Because the Fund invests predominantly in Indian securities, its NAV will be much more sensitive to changes in economic, political and other factors within India than would a fund that invested in a variety of countries. Special risks include, among others, political and legal uncertainty, persistent religious, ethnic and border disputes, greater government control over the economy, currency fluctuations or blockage and the risk of nationalization or expropriation of assets. Uncertainty regarding inflation and currency exchange rates, fiscal policy, credit ratings and the possibility that future harmful political actions will be taken by the Indian government, could negatively impact the Indian economy and securities markets, and thus adversely affect the Fund’s performance. The risks described under “Emerging Market Securities Risk” and “Foreign Securities Risk” may be more pronounced due to the Fund’s focus on investments in the region. |
50 | Prospectus 2023 |
■ | Small- and Mid-Cap Stock Risk. Securities of small- and mid-cap companies can, in certain circumstances, have a higher potential for gains than securities of larger companies but are more likely to have more risk than larger companies. For example, small- and mid-cap companies may be more vulnerable to market downturns and adverse business or economic events than larger companies because they may have more limited financial resources and business operations. Small- and mid-cap companies are also more likely than larger companies to have more limited product lines and operating histories and to depend on smaller and generally less experienced management teams. Securities of small- and mid-cap companies may trade less frequently and in smaller volumes and may be less liquid and fluctuate more sharply in value than securities of larger companies. When the Fund takes significant positions in small- and mid-cap companies with limited trading volumes, the liquidation of those positions, particularly in a distressed market, could be prolonged and result in Fund investment losses that would affect the value of your investment in the Fund. In addition, some small- and mid-cap companies may not be widely followed by the investment community, which can lower the demand for their stocks. |
■ | Large-Cap Stock Risk. Investments in larger companies may involve certain risks associated with their larger size. For instance, larger companies may be less able to respond quickly to new competitive challenges, such as changes in consumer tastes or innovation from smaller competitors. Also, larger companies are sometimes less able to achieve as high growth rates as successful smaller companies, especially during extended periods of economic expansion. |
Prospectus 2023 | 51 |
52 | Prospectus 2023 |
■ | Consumer Discretionary/Staples Sectors. The Fund is more susceptible to the particular risks that may affect companies in the consumer discretionary/staples sectors than if it were invested in a wider variety of companies in unrelated sectors. Companies in the consumer discretionary/staples sectors are subject to certain risks, including fluctuations in the performance of the overall domestic and international economies, interest rate changes, currency exchange rates, increased competition and consumer confidence. Performance of such companies may be affected by factors including reduced disposable household income, reduced consumer spending, and changing demographics and consumer tastes. |
Prospectus 2023 | 53 |
54 | Prospectus 2023 |
Prospectus 2023 | 55 |
56 | Prospectus 2023 |
Prospectus 2023 | 57 |
Columbia Emerging Markets Consumer ETF | 0.49% |
Columbia India Consumer ETF | 0.75% |
58 | Prospectus 2023 |
Investment advisory services fee for the fiscal year ended March 31, 2023 | |
Columbia EM Core ex-China ETF | 0.16% |
Columbia Emerging Markets Consumer ETF | 0.49% |
Columbia India Consumer ETF | 0.75% |
Portfolio Management | Title | Role with Fund | Managed Fund Since | |||
Christopher Lo, CFA | Senior Portfolio Manager | Lead Portfolio Manager | 2016 | |||
Henry Hom, CFA | Portfolio Manager | Portfolio Manager | 2021 |
Prospectus 2023 | 59 |
Fund | Index | Index Provider or Sponsor |
Columbia Emerging Markets Consumer ETF | Dow Jones Emerging Markets Consumer TitansTM Index | S&P DJI |
Columbia India Consumer ETF | Indxx India Consumer Index | Indxx |
■ | compensation and other benefits received by the Investment Manager and other Ameriprise Financial affiliates related to the management/administration of a Columbia Fund and the sale of its shares; |
■ | the allocation of, and competition for, investment opportunities among the Fund, other funds and accounts advised/managed by the Investment Manager and other Ameriprise Financial affiliates, or Ameriprise Financial itself and its affiliates; |
■ | separate and potentially divergent management of a Columbia Fund and other funds and accounts advised/managed by the Investment Manager and other Ameriprise Financial affiliates; |
■ | regulatory and other investment restrictions on investment activities of the Investment Manager and other Ameriprise Financial affiliates and accounts advised/managed by them; |
60 | Prospectus 2023 |
■ | insurance and other relationships of Ameriprise Financial affiliates with companies and other entities in which a Columbia Fund invests; and |
■ | regulatory and other restrictions relating to the sharing of information between Ameriprise Financial and its affiliates, including the Investment Manager, and a Columbia Fund. |
Prospectus 2023 | 61 |
Creation Unit Value | |
Columbia EM Core ex-China ETF | $1,416,683.34 |
Columbia Emerging Markets Consumer ETF | $1,035,948.60 |
Columbia India Consumer ETF | $2,599,484.31 |
Columbia EM Core ex-China ETF | XCEM |
Columbia Emerging Markets Consumer ETF | ECON |
Columbia India Consumer ETF | INCO |
62 | Prospectus 2023 |
Prospectus 2023 | 63 |
64 | Prospectus 2023 |
Prospectus 2023 | 65 |
■ | It can earn income on its investments. Examples of fund income are interest paid on money market instruments and dividends paid on common stocks. |
■ | A fund can also have capital gains if the value of its investments increases. While a fund continues to hold an investment, any gain is generally unrealized. If the fund sells an investment, it generally will realize a capital gain if it sells that investment for a higher price than its adjusted cost basis, and will generally realize a capital loss if it sells that investment for a lower price than its adjusted cost basis. Capital gains and losses are either short-term or long-term, depending on whether the fund holds the securities for one year or less (short-term) or more than one year (long-term). |
Declarations | Distributions | |
Columbia EM Core ex-China ETF | Annually | Annually |
Columbia Emerging Markets Consumer ETF | Annually | Annually |
Columbia India Consumer ETF | Annually | Annually |
66 | Prospectus 2023 |
■ | The Fund intends to qualify and to be eligible for treatment each year as a regulated investment company. A regulated investment company generally is not subject to tax at the fund level on income and gains from investments that are distributed to shareholders. However, the Fund's failure to qualify for treatment as a regulated investment company would result in Fund-level taxation, and consequently, a reduction in income available for distribution to you and in the NAV of your shares. Even if the Fund qualifies for treatment as a regulated investment company, the Fund may be subject to federal excise tax on certain undistributed income or gains. |
■ | Otherwise taxable distributions generally are taxable to you when paid, whether they are paid in cash or automatically reinvested in additional Fund shares. Dividends paid in January are deemed paid on December 31 of the prior year if the dividend was declared and payable to shareholders of record in October, November, or December of such prior year. |
■ | Distributions of the Fund's ordinary income and net short-term capital gain, if any, generally are taxable to you as ordinary income. Distributions of the Fund's net long-term capital gain, if any, generally are taxable to you as long-term capital gain. Whether capital gains are long-term or short-term is determined by how long the Fund has owned the investments that generated them, rather than how long you have owned your shares. Certain events may require the Fund to sell significant amounts of appreciated securities and make large dividends relative to the Fund’s NAV. Such events may include portfolio rebalancing or fund mergers. The Fund generally provides estimates of expected capital gain dividends (if any) prior to the distribution on columbiathreadneedleus.com/etfs. |
■ | From time to time, a distribution from the Fund could constitute a return of capital. A return of capital is a return of an amount of your original investment and is not a distribution of income or capital gain from the Fund. Therefore, a return of capital is not taxable to you so long as the amount of the distribution does not exceed your tax basis in your Fund shares. A return of capital reduces your tax basis in your Fund shares, with any amounts exceeding such basis generally taxable as capital gain. |
■ | If you are an individual and you meet certain holding period and other requirements for your Fund shares, a portion of your distributions may be treated as “qualified dividend income” taxable at the lower net long-term capital gain rates instead of the higher ordinary income rates. Qualified dividend income is income attributable to the Fund's dividends received from certain U.S. and foreign corporations, as long as the Fund meets certain holding period and other requirements for the stock producing such dividends. |
■ | Certain high-income individuals (as well as estates and trusts) are subject to a 3.8% tax on net investment income. For individuals, the 3.8% tax applies to the lesser of (1) the amount (if any) by which the taxpayer's modified adjusted gross income exceeds certain threshold amounts or (2) the taxpayer's “net investment income.” |
Net investment income generally includes for this purpose dividends, including any capital gain dividends, paid by the Fund, and net gains recognized on the sale, redemption or exchange of shares of the Fund. |
■ | Certain derivative instruments when held in the Fund's portfolio subject the Fund to special tax rules, the effect of which may be to, among other things, accelerate income to the Fund, defer Fund losses, cause adjustments in the holding periods of Fund portfolio securities, or convert capital gains into ordinary income, short-term capital losses into long-term capital losses or long-term capital gains into short-term capital gains. These rules could therefore affect the amount, timing and/or character of distributions to shareholders. |
■ | Generally, a Fund realizes a capital gain or loss on an option when the option expires, or when it is exercised, sold or otherwise terminated. However, if an option is a “section 1256 contract,” which includes most traded options on a broad-based index, and the Fund holds such option at the end of its taxable year, the Fund is deemed to sell such option at fair market value at such time and recognize any gain or loss thereon, which is generally deemed to be 60% long-term and 40% short-term capital gain or loss, as described further in the SAI. |
■ | Income and proceeds received by the Fund from sources within foreign countries may be subject to foreign taxes. If at the end of the taxable year more than 50% of the value of the Fund's assets consists of securities of foreign corporations, and the Fund makes a special election, you will generally be required to include in your income for |
Prospectus 2023 | 67 |
U.S. federal income tax purposes your share of the qualifying foreign income taxes paid by the Fund in respect of its foreign portfolio securities. You may be able to claim a foreign tax credit or deduction in respect of this amount, subject to certain limitations. There is no assurance that the Fund will make this election for a taxable year, even if it is eligible to do so. |
■ | A sale, redemption or exchange of Fund shares is a taxable event. This includes redemptions where you are paid in securities. Your sales, redemptions and exchanges of Fund shares, including those paid in securities or other instruments, usually will result in a taxable capital gain or loss to you, equal to the difference between the amount you receive for your shares (or are deemed to have received in the case of exchanges) and your adjusted tax basis in the shares, which is generally the amount you paid (or are deemed to have paid in the case of exchanges) for them. Any such capital gain or loss generally will be long-term capital gain or loss if you have held your Fund shares for more than one year at the time of sale or exchange. In certain circumstances, capital losses may be converted from short-term to long-term; in other circumstances, capital losses may be disallowed under the “wash sale” rules. |
■ | Your broker will be responsible for furnishing tax reporting information for Fund shares held in a nonqualified account, shareholder reports, and other communications from the Fund. For sales or exchanges of Fund shares acquired in a nonqualified account after 2011, your broker is required to report basis and holding period information to you and the IRS. Your broker may offer a choice of basis calculation methods. Contact your broker to determine which basis methods are available for your account. |
■ | The Fund or, in the case of sales of Fund shares in the secondary market, your broker, will generally be required by federal law to withhold tax on any distributions and proceeds paid to you if you have not provided a correct taxpayer identification number (TIN) or have not certified to the Fund or its agent, or your broker, as the case may be, that withholding does not apply. |
■ | For Authorized Participants Purchasing and Redeeming in Creation Units: An Authorized Participant that exchanges equity securities for one or more Creation Units will generally recognize a gain or a loss on the exchange. The gain or loss will be equal to the difference between (i) the market value of the Creation Unit(s) at the time and, (ii) the exchanger’s aggregate basis in the securities surrendered plus (or minus) the Cash Component paid (or received). A person who redeems one or more Creation Units for equity securities will generally recognize a gain or loss equal to the difference between (i) the exchanger’s basis in the Creation Unit(s) and, (ii) the aggregate market value of the securities received plus (or minus) the Cash Component received (or paid). The IRS, however, may assert that a loss realized upon an exchange of securities for Creation Unit(s) cannot be deducted currently under the rules governing “wash sales,” or on the basis that there has been no significant change in economic position. Persons exchanging securities should consult their own tax advisors with respect to whether wash sale rules apply and when a loss might be deductible. Any capital gain or loss realized upon a redemption of one or more Creation Units is generally treated as long-term capital gain or loss if the Creation Unit(s) have been held for more than one year and as short-term capital gain or loss if they have been held for one year or less. If you purchase or redeem Creation Units, you will be sent a confirmation statement showing how many shares you purchased or sold and at what price. |
68 | Prospectus 2023 |
Prospectus 2023 | 69 |
70 | Prospectus 2023 |
Web site information | |
Fund | Internet address |
Columbia EM Core ex-China ETF | https://www.columbiathreadneedleus.com/investment-products/details/?cusip=19762B202 |
Columbia Emerging Markets Consumer ETF | https://www.columbiathreadneedleus.com/investment-products/details/?cusip=19762B509 |
Columbia India Consumer ETF | https://www.columbiathreadneedleus.com/investment-products/details/?cusip=19762B707 |
Prospectus 2023 | 71 |
Year Ended March 31, | |||||
2023 | 2022 | 2021 | 2020 | 2019 | |
Per share data | |||||
Net asset value, beginning of year | $30.73 | $31.65 | $19.09 | $25.40 | $28.03 |
Income (loss) from investment operations: | |||||
Net investment income | 0.86 | 0.80 | 0.68 | 0.69 | 0.65 |
Net realized and unrealized gain (loss) | (4.01) | (1.10) | 12.37 | (6.41) | (2.51) |
Total from investment operations | (3.15) | (0.30) | 13.05 | (5.72) | (1.86) |
Less distributions to shareholders: | |||||
Net investment income | (0.62) | (0.58) | (0.49) | (0.59) | (0.62) |
Net realized gains | — | (0.04) | — | — | (0.15) |
Total distribution to shareholders | (0.62) | (0.62) | (0.49) | (0.59) | (0.77) |
Net asset value, end of year | $26.96 | $30.73 | $31.65 | $19.09 | $25.40 |
Total Return at NAV | (10.15)% | (0.96)% | 68.56% | (23.25)% | (6.38)% |
Total Return at Market | (9.43)% | (1.94)% | 69.09% | (23.43)% | (7.37)% |
Ratios to average net assets: | |||||
Total gross expenses(a) | 0.16%(b) | 0.16%(c) | 0.16% | 0.19%(d) | 0.47%(e) |
Total net expenses(a)(f) | 0.16%(b) | 0.16%(c) | 0.16% | 0.19%(d) | 0.35%(e) |
Net Investment income | 3.28% | 2.53% | 2.61% | 2.70% | 2.54% |
Supplemental data | |||||
Net assets, end of year (in thousands) | $173,900 | $95,264 | $30,070 | $14,321 | $11,431 |
Portfolio turnover | 19% | 13% | 19% | 14% | 24% |
(a) | In addition to the fees and expenses that the Fund bears directly, the Fund indirectly bears a pro rata share of the fees and expenses of any other funds in which it invests. Such indirect expenses are not included in the Fund's reported expense ratios. |
(b) | The ratio includes less than 0.01% for the year ended March 31, 2023 attributed to overdraft expense, which is outside the Unitary Fee (as defined in Note 3). |
(c) | The ratio includes less than 0.01% for the year ended March 31, 2022 attributed to overdraft expense, which is outside the Unitary Fee (as defined in Note 3). |
72 | Prospectus 2023 |
(d) | The ratio includes less than 0.01% for the year ended March 31, 2020 attributed to overdraft expense and tax expense, which is outside the Unitary Fee (as defined in Note 3). |
(e) | The ratio includes less than 0.01% for the year ended March 31, 2019 attributed to overdraft expense, which is outside the Unitary Fee (as defined in Note 3). |
(f) | Total net expenses include the impact of certain fee waivers/expense reimbursements made by the Investment Manager and certain of its affiliates, if applicable. |
Prospectus 2023 | 73 |
Year Ended March 31, | |||||
2023 | 2022 | 2021 | 2020 | 2019(a)(b) | |
Per share data | |||||
Net asset value, beginning of year | $21.33 | $27.73 | $19.65 | $22.67 | $26.34 |
Income (loss) from investment operations: | |||||
Net investment income | 0.35 | 0.33 | 0.29 | 0.27 | 0.25 |
Net realized and unrealized gain (loss) | (0.77) | (6.47) | 7.97 | (2.90) | (3.72) |
Total from investment operations | (0.42) | (6.14) | 8.26 | (2.63) | (3.47) |
Less distributions to shareholders: | |||||
Net investment income | (0.41) | (0.26) | (0.18) | (0.39) | (0.20) |
Net asset value, end of year | $20.50 | $21.33 | $27.73 | $19.65 | $22.67 |
Total Return at NAV | (1.93)% | (22.22)% | 42.02% | (11.87)% | (13.08)% |
Total Return at Market | (0.95)% | (23.46)% | 43.27% | (11.95)% | (13.90)% |
Ratios to average net assets: | |||||
Total gross expenses(c) | 0.49%(d) | 0.53%(e) | 0.59%(f) | 0.60%(g) | 0.61%(h) |
Total net expenses(c)(i) | 0.49%(d) | 0.53%(e) | 0.59%(f) | 0.60%(g) | 0.61%(h) |
Net Investment income | 1.71% | 1.28% | 1.14% | 1.20% | 1.07% |
Supplemental data | |||||
Net assets, end of year (in thousands) | $85,079 | $117,297 | $182,999 | $174,921 | $290,119 |
Portfolio turnover | 25% | 31% | 40% | 37% | 61% |
(a) | Consolidated. |
(b) | EG Shares Consumer Mauritius, the Fund's Subsidiary, was liquidated on November 30, 2018. |
(c) | In addition to the fees and expenses that the Fund bears directly, the Fund indirectly bears a pro rata share of the fees and expenses of any other funds in which it invests. Such indirect expenses are not included in the Fund's reported expense ratios. |
(d) | The total gross expense ratio includes less than 0.01% for the year ended March 31, 2023 attributed to overdraft expense, which is outside the Unitary Fee (as defined in Note 3). There is no impact to the total net expense ratio attributed to overdraft expense as the entire overdraft expense was waived for the year ended March 31, 2023. |
(e) | The total gross expense ratio includes less than 0.01% for the year ended March 31, 2022 attributed to overdraft expense and tax expense, which is outside the Unitary Fee (as defined in Note 3). There is no impact to the total net expense ratio attributed to overdraft expense, and tax expense, as the entire overdraft expense and tax expense were waived for the year ended March 31, 2022. |
74 | Prospectus 2023 |
(f) | The total gross expense ratio includes less than 0.01% for the year ended March 31, 2021 attributed to overdraft expense and tax expense, which is outside the Unitary Fee (as defined in Note 3). There is no impact to the total net expense ratio attributed to overdraft expense and tax expense, as the entire overdraft expense and tax expense were waived for the year ended March 31, 2021. |
(g) | The ratio includes 0.01% for the year ended March 31, 2020 attributed to overdraft expense and tax expense, which is outside the Unitary Fee (as defined in Note 3). |
(h) | The ratio includes 0.02% for the year ended March 31, 2019 attributed to overdraft expense and tax expense, which is outside the Unitary Fee (as defined in Note 3). |
(i) | Total net expenses include the impact of certain fee waivers/expense reimbursements made by the Investment Manager and certain of its affiliates, if applicable. |
Prospectus 2023 | 75 |
Year Ended March 31, | |||||
2023 | 2022 | 2021 | 2020 | 2019 | |
Per share data | |||||
Net asset value, beginning of year | $50.13 | $50.85 | $30.80 | $42.08 | $45.81 |
Income (loss) from investment operations: | |||||
Net investment income | 0.12 | 0.38 | 0.09 | 0.29 | 0.12 |
Net realized and unrealized gain (loss) | (1.07) | 2.27 | 20.12 | (11.45) | (3.80) |
Total from investment operations | (0.95) | 2.65 | 20.21 | (11.16) | (3.68) |
Less distributions to shareholders: | |||||
Net investment income | (0.11) | (0.08) | (0.16) | (0.12) | (0.05) |
Net realized gains | (4.69) | (3.29) | — | — | — |
Total distribution to shareholders | (4.80) | (3.37) | (0.16) | (0.12) | (0.05) |
Net asset value, end of year | $44.38 | $50.13 | $50.85 | $30.80 | $42.08 |
Total Return at NAV | (2.38)% | 5.22% | 65.67% | (26.60)% | (8.03)% |
Total Return at Market | (1.14)% | 3.17% | 69.58% | (28.00)% | (8.44)% |
Ratios to average net assets: | |||||
Total gross expenses(a) | 0.77%(b) | 0.77%(c) | 0.80%(d) | 0.81%(e) | 0.77%(f) |
Total net expenses(a)(g) | 0.75%(b) | 0.75%(c) | 0.75%(d) | 0.81%(e) | 0.77%(f) |
Net Investment income | 0.24% | 0.70% | 0.22% | 0.70% | 0.26% |
Supplemental data | |||||
Net assets, end of year (in thousands) | $71,007 | $77,709 | $91,532 | $67,764 | $130,436 |
Portfolio turnover | 22% | 31% | 16% | 11% | 15% |
(a) | In addition to the fees and expenses that the Fund bears directly, the Fund indirectly bears a pro rata share of the fees and expenses of any other funds in which it invests. Such indirect expenses are not included in the Fund's reported expense ratios. |
(b) | The total gross expense ratio includes 0.02% for the year ended March 31, 2023 attributed to overdraft expense and tax expense, which is outside the Unitary Fee (as defined in Note 3). There is no impact to the total net expense ratio attributed to overdraft expense, and tax expense, as the entire overdraft expense and tax expense were waived for the year ended March 31, 2023. |
76 | Prospectus 2023 |
(c) | The total gross expense ratio includes 0.02% for the year ended March 31, 2022 attributed to overdraft expense and tax expense, which is outside the Unitary Fee (as defined in Note 3). There is no impact to the total net expense ratio attributed to overdraft expense, and tax expense, as the entire overdraft expense and tax expense were waived for the year ended March 31, 2022. |
(d) | The total gross expense ratio includes 0.05% for the year ended March 31, 2021 attributed to overdraft expense and tax expense, which is outside the Unitary Fee (as defined in Note 3). The total net expense ratio includes less than 0.01% for the year ended March 31, 2021 attributed to overdraft expense. |
(e) | The ratio includes 0.06% for the year ended March 31, 2020 attributed to overdraft expense and tax expense, which is outside the Unitary Fee (as defined in Note 3). |
(f) | The ratio includes 0.02% for the year ended March 31, 2019 attributed to tax expense, which is outside the Unitary Fee (as defined in Note 3). |
(g) | Total net expenses include the impact of certain fee waivers/expense reimbursements made by the Investment Manager and certain of its affiliates, if applicable. |
Prospectus 2023 | 77 |
A-1 | Prospectus 2023 |
Prospectus 2023 | A-2 |
A-3 | Prospectus 2023 |
Columbia ETF Trust I |
Columbia Diversified Fixed Income Allocation ETF: DIAL |
Columbia International ESG Equity Income ETF: ESGN |
Columbia Multi-Sector Municipal Income ETF: MUST |
Columbia Research Enhanced Core ETF: RECS |
Columbia Research Enhanced Real Estate ETF: CRED |
Columbia Research Enhanced Value ETF: REVS |
Columbia Seligman Semiconductor and Technology ETF: SEMI* |
Columbia Short Duration Bond ETF: SBND |
Columbia U.S. ESG Equity Income ETF: ESGS |
Columbia ETF Trust II |
Columbia EM Core ex-China ETF: XCEM |
Columbia Emerging Markets Consumer ETF: ECON |
Columbia India Consumer ETF: INCO |
■ | You may have to pay more money to trade this ETF’s shares. This ETF will provide less information to traders, who tend to charge more for trades when they have less information. |
■ | The price you pay to buy this ETF shares on an exchange may not match the value of the ETF’s portfolio. The same is true when you sell shares. These price differences may be greater for this ETF compared to other ETFs because it provides less information to traders. |
■ | These additional risks may be even greater in bad or uncertain market conditions. |
■ | This ETF will publish on its website each day a “Tracking Basket” designed to help trading in shares of the ETF. While the Tracking Basket includes some of the ETF’s holdings, it is not the ETF’s actual portfolio. |
Trust, Fund Name and Fiscal Year End: | Shareholder Report: |
Columbia ETF Trust I - October 31 | Annual Report |
Columbia Diversified Fixed Income Allocation ETF Columbia International ESG Equity Income ETF Columbia Multi-Sector Municipal Income ETF Columbia Research Enhanced Core ETF Columbia Research Enhanced Value ETF Columbia Seligman Semiconductor and Technology ETF Columbia Short Duration Bond ETF Columbia U.S. ESG Equity Income ETF |
|
Columbia ETF Trust II - March 31 | Annual Report |
Columbia EM Core ex-China ETF Columbia Emerging Markets Consumer ETF Columbia India Consumer ETF |
2 | |
7 | |
10 | |
15 | |
15 | |
51 | |
86 | |
86 | |
87 | |
87 | |
92 | |
93 | |
94 | |
95 | |
95 | |
95 | |
96 | |
96 | |
102 | |
102 | |
103 | |
106 | |
106 | |
119 | |
123 | |
123 | |
126 | |
128 | |
128 | |
130 | |
130 | |
130 | |
135 | |
137 | |
137 | |
138 | |
140 | |
140 | |
147 | |
149 | |
150 | |
164 | |
168 | |
169 | |
169 | |
170 | |
A-1 | |
B-1 |
Statement of Additional Information – August 1, 2023 | 1 |
■ | the organization of each Trust (of which the Funds are series); |
■ | 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 |
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. |
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 |
Statement of Additional Information – August 1, 2023 | 2 |
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. A business day typically ends at the close of regular trading on the NYSE, usually at 4:00 p.m. Eastern time. If the NYSE is scheduled to close early, the business day will be considered to end as of the time of the NYSE’s scheduled close. The Fund will not treat an intraday unscheduled disruption in NYSE trading or an intraday unscheduled closing as a close of regular trading on the NYSE for these purposes and will price its shares as of the regularly scheduled closing time for that day (typically, 4:00 p.m. Eastern time). Notwithstanding the foregoing, the NAV of Fund shares may be determined at such other time or times (in addition to or in lieu of the time set forth above) as the Fund’s Board may approve or ratify. On holidays and other days when the NYSE is closed, the Fund's NAV is not calculated and the Fund does not accept buy or sell orders. However, the value of the Fund's assets may still be affected on such days to the extent that the Fund holds foreign securities that trade on days that foreign securities markets are open. |
Cash Component | An amount of cash, including a Transaction Fee, calculated in connection with creations |
Cash Redemption Amount | An amount of cash, including a Transaction Fee, calculated in connection with redemptions |
CEA | Commodity Exchange Act |
CFTC | The United States Commodity Futures Trading Commission |
Code | Internal Revenue Code of 1986, as amended |
Codes of Ethics | The codes of ethics adopted by the Funds, Columbia Management Investment Advisers, LLC (the Investment Manager), ALPS Distributors, Inc. and/or any sub-adviser, as applicable, pursuant to Rule 17j-1 under the 1940 Act |
CET I | Columbia ETF Trust I |
CET II | Columbia ETF Trust 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 |
Columbia Threadneedle Investments | The global brand name of the Columbia and Threadneedle group of companies |
Creation Unit | An aggregation or block of shares that each Fund issues and redeems on a continuous basis at NAV. Shares will not be issued or redeemed except in Creation Units, which can vary by size (number of Shares) from Fund to Fund. A Fund’s Creation Unit size is disclosed in its prospectus. |
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 |
Statement of Additional Information – August 1, 2023 | 3 |
FINRA | Financial Industry Regulatory Authority |
Fitch | Fitch Ratings, Inc. |
FNMA | Federal National Mortgage Association |
Foreign Funds | Collectively, Columbia International ESG 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 |
GICS | The Global Industry Classification Standard (GICS®). GICS was developed by and/or is the exclusive property of MSCI, Inc. (MSCI®) and S&P Global Market Intelligence Inc. (S&P Global Market Intelligence). GICS is a service mark of MSCI and S&P Global Market Intelligence and has been licensed for use by the Investment Manager. Neither GICS, MSCI, nor S&P Global Market Intelligence are affiliated with the Funds, the Investment Manager or any Columbia entity. |
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 or other instruments to be deposited to purchase Creation Units of a Fund |
In-Kind Redemption Basket | Basket of securities or other instruments received 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 an Index Fund’s prospectus, the performance of which the Fund seeks to track |
Index Fund(s) | Index-based ETFs that seek to track the performance of a specified index; each series of CET I and CET II are Index Funds other than Columbia Seligman Semiconductor and Technology ETF, which is a Semi-Transparent Fund |
Interested Trustee | A Trustee of the Board who is currently deemed to be an “interested person” (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 Inter-bank 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 |
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 |
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S&P | S&P Global Ratings, a division of S&P Global Inc. (“Standard & Poor’s” and “S&P” are trademarks of S&P Global Inc. and have been licensed for use by the Investment Manager. The Columbia Funds are not sponsored, endorsed, sold or promoted by S&P Global Ratings and S&P Global Ratings 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 |
Semi-Transparent Fund(s) | Funds that are actively managed (i.e., they do not seek to track the performance of an index) and do not disclose their complete portfolio holdings daily. Columbia Seligman Semiconductor and Technology ETF is a Semi-Transparent Fund. |
Shares | Shares of a Fund |
SOFR | Secured Overnight Financing Rate |
Subsidiary | EG Shares India Consumer Mauritius, a wholly-owned subsidiary of Columbia India Consumer ETF |
Threadneedle | Threadneedle International Limited |
Tracking Basket | (For Semi-Transparent Funds only) A Tracking Basket is designed to closely track the daily performance of a Semi-Transparent Fund but is not the Semi-Transparent Fund’s actual portfolio holdings. It is comprised of Strategy Components (select recently disclosed portfolio holdings and/or select securities from the universe from which the Fund’s investments are selected), Representative ETFs (liquid ETFs that convey information about the types of instruments (that are not otherwise fully represented by the Strategy Components) in which the Semi-Transparent Fund invests), and cash and cash equivalents. The Tracking Basket often may include a significant percentage of the securities held in the Semi-Transparent Fund’s portfolio, but it will exclude (or modify the weightings of) certain securities held in the Semi-Transparent Fund’s portfolio, such as those securities that the Semi-Transparent Fund’s portfolio managers are actively looking to purchase or sell. |
Tracking Basket Tracking Error | (For Semi-Transparent Funds only) Tracking Basket Tracking Error is the standard deviation over the past three months of the daily proxy spread (i.e., the difference, in percentage terms, between the Tracking Basket per share NAV and that of the Semi-Transparent Fund at the end of the trading day). |
Tracking Basket Weight Overlap | (For Semi-Transparent Funds only) Tracking Basket Weight Overlap is the percentage weight overlap between the prior business day’s Tracking Basket, compared to the portfolio holdings of the Semi-Transparent Fund that formed the basis for the Semi-Transparent Fund’s calculation of NAV at the end of the prior Business Day. |
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, which are the registered investment companies in the Columbia Funds Complex to which this SAI relates |
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Fund Name: | Referred to as: | |
Columbia Diversified Fixed Income Allocation ETF | Diversified Fixed Income Allocation ETF | |
Columbia EM Core ex-China ETF | EM Core ex-China ETF | |
Columbia Emerging Markets Consumer ETF | Emerging Markets Consumer ETF | |
Columbia India Consumer ETF | India Consumer ETF | |
Columbia International ESG Equity Income ETF | International ESG Equity Income ETF | |
Columbia Multi-Sector Municipal Income ETF | Multi-Sector Municipal Income ETF | |
Columbia Research Enhanced Core ETF | Research Enhanced Core ETF | |
Columbia Research Enhanced Real Estate ETF | Research Enhanced Real Estate ETF | |
Columbia Research Enhanced Value ETF | Research Enhanced Value ETF | |
Columbia Seligman Semiconductor and Technology ETF | Seligman Semiconductor and Technology ETF | |
Columbia Short Duration Bond ETF | Short Duration Bond ETF | |
Columbia U.S. ESG Equity Income ETF | U.S. ESG Equity Income ETF |
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Fund | Fiscal Year End | Prospectus Date | Date Began Operations | Diversified* | Fund Investment Category** |
Diversified Fixed Income Allocation ETF | October 31 | 3/1/2023 | 10/12/2017 | Yes | Fixed Income |
EM Core ex-China ETF | March 31 | 8/1/2023 | 9/2/2015 | No | Equity |
Emerging Markets Consumer ETF | March 31 | 8/1/2023 | 9/14/2010 | No*** | Equity |
India Consumer ETF | March 31 | 8/1/2023 | 8/10/2011 | No | Equity |
International ESG Equity Income ETF | October 31 | 3/1/2023 | 6/13/2016 | Yes | Equity |
Multi-Sector Municipal Income ETF | October 31 | 3/1/2023 | 10/10/2018 | Yes | Fixed Income |
Research Enhanced Core ETF | October 31 | 3/1/2023 | 9/25/2019 | Yes | Equity |
Research Enhanced Real Estate ETF | December 31 | 4/3/2023 | 4/26/2023 | No | Equity |
Research Enhanced Value ETF | October 31 | 3/1/2023 | 9/25/2019 | Yes | Equity |
Seligman Semiconductor and Technology ETF | October 31 | 3/1/2023 | 3/29/2022 | No | Equity |
Short Duration Bond ETF | October 31 | 3/1/2023 | 9/21/2021 | No | Fixed Income |
U.S. ESG Equity Income ETF | October 31 | 3/1/2023 | 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. |
*** | Emerging Markets Consumer ETF may operate as a “non-diversified” Fund while the Dow Jones Emerging Markets Consumer TitansTM Index is “non-diversified.” |
Fund | Effective Date of Name Change | Previous Fund Name |
International ESG Equity Income ETF | October 14, 2022 | Columbia Sustainable International Equity Income ETF |
U.S. ESG Equity Income ETF | October 14, 2022 | Columbia Sustainable U.S. Equity Income ETF |
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Fund | A Buy or sell real estate |
B Buy or sell commodities |
C Issuer Diversification |
D Concentrate in any one industry |
E Act as an underwriter |
F Lending |
G Borrowing |
H Issue senior securities |
Diversified Fixed Income Allocation ETF | A1 | B1 | C1 | D1 | E1 | F1 | G1 | H1 |
EM Core ex-China ETF | A2 | B2 | C2 | D2 | E2 | F2 | G2 | H2 |
Emerging Markets Consumer ETF | A2 | B2 | C2 | D2 | E2 | F2 | G2 | H2 |
India Consumer ETF | A2 | B2 | C2 | D2 | E2 | F2 | G2 | H2 |
International ESG Equity Income ETF | A1 | B1 | C1 | D1 | E1 | F1 | G1 | H1 |
Multi-Sector Municipal Income ETF | A1 | B1 | C1 | D3 | E1 | F1 | G1 | H1 |
Research Enhanced Core ETF | A1 | B1 | C1 | D3 | E1 | F1 | G1 | H1 |
Research Enhanced Real Estate ETF | A1 | B1 | C2 | D3 | E1 | F1 | G1 | H1 |
Research Enhanced Value ETF | A1 | B1 | C1 | D3 | E1 | F1 | G1 | H1 |
Seligman Semiconductor and Technology ETF | A1 | B1 | C2 | D4 | E1 | F1 | G1 | H1 |
Short Duration Bond ETF | A1 | B1 | C2 | D3 | E1 | F1 | G1 | H1 |
U.S. ESG Equity Income ETF | A1 | B1 | C1 | D1 | E1 | F1 | G1 | H1 |
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. |
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. |
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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 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. |
† | For purposes of applying the limitation set forth in its issuer diversification policy, under certain circumstances, a Fund may treat an investment, if any, in a municipal bond refunded with escrowed U.S. Government securities as an investment in U.S. Government securities. |
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, 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 will 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. |
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D4 – | The Fund may not purchase the securities of any issuer if, as a result, less than 25% of the Fund’s total assets would be invested in the securities of issuers principally engaged in the semiconductor and semiconductor equipment 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 applying the limitation set forth in its concentration policy above, a Fund will generally use the industry classifications provided by GICS for classification of issuers of equity securities and the classifications provided by the Bloomberg U.S. Aggregate Bond Index for classification of issues of fixed-income securities. A Fund considers the investments of any underlying funds in which it invests, and will consider the portfolio positions applying the Time of Purchase Standard, which in the case of unaffiliated underlying funds is based on portfolio information made publicly available by them. 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. |
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1. | Borrow an amount exceeding 10% of the value of its net assets and may borrow only on a temporary basis. |
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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 | • | • | |
Debt Obligations | •(a) | • |
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Type of Investment | Equity Funds* | Fixed Income Funds* | |
Depositary Receipts | • | • | |
Derivatives | • | • | |
Dollar Rolls | • | • | |
Exchange-Traded Notes | • | • | |
Foreign Currency Transactions | • | • | |
Foreign Securities | • | • | |
Guaranteed Investment Contracts (Funding Agreements) | • | • | |
High-Yield Securities | • | • | |
Illiquid Investments | • | • | |
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 | • | • |
* | Equity Funds and Fixed Income Funds that are Semi-Transparent Funds are permitted to invest only in other ETFs, exchange-traded notes, exchange-traded common stocks (other than “penny stocks,” as defined by Rule 3a51-1 under the Exchange Act), common stocks listed on a foreign exchange that trade on such exchange contemporaneously with the Shares, exchange-traded preferred stocks, exchange-traded American Depositary Receipts (ADRs), exchange-traded real estate investment trusts, exchange-traded commodity pools, exchange-traded metals trusts, exchange-traded currency trusts, and exchange-traded futures that trade contemporaneously with the Shares, as well as cash and cash equivalents (with cash equivalents being short-term U.S. Treasury securities, government money market funds, and repurchase agreements). |
(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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■ | Contingent Convertible Securities Risk. Contingent convertible securities, also known as contingent capital securities or “CoCos,” are hybrid securities that are typically issued by non-U.S. banks. CoCos have characteristics of both debt and equity instruments, although they are generally treated by the Funds as debt investments. If certain “trigger events” occur, CoCos either convert into equity or undergo a principal write-down or write-off. Trigger events, which are defined by the documents governing the CoCo, may include a decline in the issuer’s capital ratio below a specified trigger level, the share price of the issuer falling to a particular level for a certain period of time, other events indicating an increase in the issuer’s risk of insolvency, and/or certain regulatory events, including changes in regulatory capital requirements or regulatory actions related to the issuer’s solvency prospects. |
The value of CoCos may be influenced by the creditworthiness of the issuer and/or fluctuations in such issuer’s applicable capital ratios; supply and demand for CoCos; general market conditions and available liquidity; and economic, financial or political events impacting the issuer, its particular market or the financial markets more broadly. Due to the contingent conversion or principal write-down or write-off features, CoCos may have substantially greater risk than other securities in times of financial stress. The occurrence of an automatic conversion or write-down or write-off event may be unpredictable and the potential effects of such event could cause a Fund’s shares to lose value. The coupon payments offered by CoCos are discretionary and may be cancelled or adjusted downward by the issuer or at the request of the relevant regulatory authority at any point, for any reason, and for any length of time. As a result of the uncertainty with respect to coupon payments, the value of CoCos may be volatile and their price may decline rapidly if coupon payments are suspended. CoCos are typically structurally subordinated to traditional convertible bonds in the issuer’s capital structure. There may be circumstances under which investors in CoCos may suffer a capital loss ahead of equity holders or when equity holders do not. | |
Although one or more of the other risks described in this SAI may also apply, the risks typically associated with CoCos include: Convertible Securities Risk, Credit Risk, Foreign Securities Risk, High-Yield Investments Risk, Interest Rate Risk, Issuer Risk, and Market Risk. |
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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. |
■ | 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. |
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■ | 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 instruments, 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. |
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■ | 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 managers 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 (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 Fund may or may not hold an ELN until its maturity. ELNs also include participation notes. |
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■ | 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 (CFDs) are swap arrangements in which the parties agree that their return (or loss) will be based on the relative performance of two or more individual securities, different groups or baskets of securities or other instruments where the parties agree to exchange the difference in the settlement price between the open and closing trades on a particular asset(s). CFDs enable investors to speculate on whether a market will go up or down, and profit from the price movement without owning the underlying asset(s). CFDs essentially allow investors to trade the direction of securities, including over the very short term. CFDs are subject to the risks described above under Derivatives Risk – Swaps Risk. |
■ | 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 swap rates, treasury rates, foreign interest rates and other reference 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. |
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■ | Asia Pacific Region. A number of countries in the Asia Pacific region are considered underdeveloped or developing, including from a political, economic and/or social perspective, and may have relatively unstable governments and economies based on limited business, industries and/or natural resources or commodities. Events in any one country within the region may impact that country, other countries in the region or the region as a whole. As a result, events in the region will generally have a greater effect on the Fund than if the Fund were more geographically diversified in a region with more developed countries and economies. This could result in increased volatility in the value of the Fund’s investments and losses for the Fund. Continued growth of economies and securities markets in the region will require sustained economic and fiscal discipline, as well as continued commitment to governmental and regulatory reforms. Development also may be influenced by international economic conditions, including those in the United States and Japan, and by world demand for goods or natural resources produced in countries in the Asia Pacific region. Securities markets in the region are generally smaller and have a lower trading volume than those in the United States, which may result in the securities of some companies in the region being less liquid than U.S. or other foreign securities. Some currencies, inflation rates or interest rates in the Asia Pacific region are or can be volatile, and some countries in the region may restrict the flow of money in and out of the country. The risks described under “Emerging Market Securities Risk,” “Frontier Market Risk,” and “Foreign Securities Risk” may be more pronounced due to the Fund’s focus on investments in the region. |
■ | Europe. The Fund is particularly susceptible to risks related to economic, political, regulatory or other events or conditions, including acts of war or other conflicts in the region, affecting issuers and countries in Europe. Countries in Europe are often closely connected and interdependent, and events in one European country can have an adverse impact on, and potentially spread to, other European countries. Most developed countries in Western Europe are members of the European Union (EU), and many are also members of the European Economic and Monetary Union (EMU). European countries can be significantly affected by the tight fiscal and monetary controls that the EMU imposes on its members and with which candidates for EMU membership are required to comply. In addition, significant private or public debt problems in a single EU country can pose economic risks to the EU as a whole. Unemployment in Europe has historically been higher than in the United States and public deficits are an ongoing concern in many European countries. As a result, the Fund’s NAV may be more volatile than the NAV of a more geographically diversified fund. If securities of issuers in Europe fall out of favor, it may cause the Fund to underperform other funds that do not focus their investments in this region of the world. Any uncertainty caused by the departure of the United Kingdom (UK) from the EU, which occurred in January 2020, could have negative impacts on the UK and EU, as well as other European economies and the broader global economy. These could include negative impacts on currencies and financial markets as well as increased volatility and illiquidity, and potentially lower economic growth in |
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markets in the UK, Europe and globally, which could adversely affect the value of your investment in the Fund. Any attempt by the Fund to hedge against or otherwise protect its portfolio or to profit from such circumstances may fail and, accordingly, an investment in the Fund could lose money over short or long periods. |
■ | Greater China. The Greater China region consists of Hong Kong, The People's Republic of China and Taiwan, among other countries, and the Fund's investments in the region are particularly susceptible to risks in that region. The Hong Kong, Taiwanese, and Chinese economies are dependent on the economies of other countries and can be significantly affected by currency fluctuations and increasing competition from other emerging economies in Asia with lower costs. Adverse events in any one country within the region may impact the other countries in the region or Asia as a whole. As a result, adverse events in the region will generally have a greater effect on the Fund than if the Fund were more geographically diversified, which could result in greater volatility in the Fund’s NAV and losses. Markets in the Greater China region can experience significant volatility due to social, economic, regulatory and political uncertainties. Changes in Chinese government policy and economic growth rates could significantly affect local markets and the entire Greater China region. China has yet to develop comprehensive securities, corporate, or commercial laws, its market is relatively new and less developed, and its economy is experiencing a relative slowdown. Export growth continues to be a major driver of China’s economic growth. As a result, a reduction in spending on Chinese products and services, the institution of additional tariffs or other trade barriers, including as a result of heightened trade tensions between China and the United States, or a downturn in any of the economies of China’s key trading partners may have an adverse impact on the Chinese economy. The risks described under “Emerging Market Securities Risk,” “Frontier Market Risk,” and “Foreign Securities Risk” may be more pronounced due to the Fund’s focus on investments in the region. Many Chinese companies to which the Fund seeks investment exposure use a structure known as a variable interest entity (a VIE) to address Chinese restrictions on direct foreign investment in Chinese companies operating in certain sectors. The Fund’s investment exposure to VIEs may pose additional risks because the Fund’s investment is not made directly in the VIE (the actual Chinese operating company), but rather in a holding company domiciled outside of China (a Holding Company) whose interests in the business of the underlying Chinese operating company (the VIE) are established through contracts rather than through equity ownership. The VIE (which the Fund is restricted from owning under Chinese law) is generally owned by Chinese nationals, and the Holding Company (in which the Fund invests) holds only contractual rights (rather than equity ownership) relating to the VIE, typically including a contractual claim on the VIE's profits. Shares of the Holding Company, in turn, are traded on exchanges outside of China and are available to non-Chinese investors such as the Fund. The VIE structure is a longstanding practice in China that, until recently, was not acknowledged by the Chinese government, creating uncertainty over the possibility that the Chinese government might cease to tolerate VIE structures at any time or impose new restrictions on the structure. In such a scenario, the Chinese operating company could be subject to penalties, including revocation of its business and operating license, or the Holding Company could forfeit its interest in the business of the Chinese operating company. Further, in case of a dispute, the remedies and rights of the Fund may be limited, and such legal uncertainty may be exploited against the interests of the Fund. Control over a VIE may also be jeopardized if a natural person who holds the equity interest in the VIE breaches the terms of the contractual arrangements, is subject to legal proceedings, or if any physical instruments or property of the VIE, such as seals, business registration certificates, financial data and licensing arrangements (sometimes referred to as “chops”), are used without authorization. In the event of such an occurrence, the Fund, as a foreign investor, may have little or no legal recourse. In addition to the risk of government intervention, investments through a VIE structure are subject to the risk that the China-based company (or its officers, directors, or Chinese equity owners) may breach the contractual arrangements, that Chinese law changes in a way that adversely affects the enforceability of the arrangements, or that the contracts are otherwise not enforceable under Chinese law. In any of these cases, a Fund may suffer significant losses on its investments through a VIE structure with little or no recourse available. The Fund will typically have little or no ability to influence the VIE through proxy voting or other means because it is not a VIE owner/shareholder. Foreign companies listed on stock exchanges in the United States, including companies using the VIE structure, could also face delisting or other ramifications for failure to meet the expectations and/or requirements of the SEC, the Public Company Accounting Oversight Board, or other U.S. regulators. Recently, China has proposed the adoption of rules which would affirm that VIEs are legally permissible, though there remains significant uncertainty over how these rules will operate. Any of these risks could reduce the liquidity and value of the Fund’s investments in Holding Companies or render them valueless. |
■ | Japan. The Fund is particularly susceptible to the social, political, economic, regulatory and other conditions or events that may affect Japan’s economy. The Japanese economy is heavily dependent upon international trade, including, among other things, the export of finished goods and the import of oil and other commodities and raw materials. Because of its trade dependence, the Japanese economy is particularly exposed to the risks of currency fluctuation, foreign trade policy and regional and global economic disruption, including the risk of increased tariffs, embargoes, and other trade limitations or factors. Strained relationships between Japan and its neighboring countries, including China, South Korea and North Korea, based on historical grievances, territorial disputes, and defense concerns, may also cause uncertainty in Japanese markets. As a result, additional tariffs, other trade barriers, or boycotts may have an adverse impact on the Japanese economy. Japanese |
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government policy has been characterized by economic regulation, intervention, protectionism and large government deficits. The Japanese economy is also challenged by an unstable financial services sector, highly leveraged corporate balance sheets and extensive cross-ownership among major corporations. Structural social and labor market changes, including an aging workforce, population decline and traditional aversion to labor mobility may adversely affect Japan’s economic competitiveness and growth potential. The potential for natural disasters, such as earthquakes, volcanic eruptions, typhoons and tsunamis, could also have significant negative effects on Japan’s economy. A significant portion of Japan's trade is conducted with developing nations in East and Southeast Asia and its economy can be affected by conditions and currency fluctuations in these and other countries. For a number of years, Japan’s economic growth rate has remained relatively low, and it may remain low in the future. Securities in Japan are denominated and quoted in yen. As a result, the value of the Fund's Japanese securities as measured in U.S. dollars may be affected by fluctuations in the value of the Japanese yen relative to the U.S. dollar. Securities traded on Japanese stock exchanges have exhibited significant volatility in recent years. As a result of the Fund’s investment in Japanese securities, the Fund’s NAV may be more volatile than the NAV of a more geographically diversified fund. If securities of issuers in Japan fall out of favor, it may cause the Fund to underperform other funds that do not focus their investments in Japan. |
■ | Latin America Region. The Fund is particularly susceptible to risks related to economic, political, regulatory, legal, social or other events or conditions affecting issuers in, or those that have investment exposure to, the Latin America region. The economies of many Latin American countries have experienced elevated and volatile interest rates, inflation rates and unemployment rates. Currency devaluations and exchange rate volatility have also been common among Latin American economies. Relatively high dependence upon commodities, such as petroleum, minerals, metals and agricultural products, amongst others, may cause certain Latin American economies to be particularly sensitive to fluctuations in commodity prices. International economic conditions, trade arrangements and flow of international capital may have significant impact on Latin American economies due to their relatively heavy reliance upon international trade. Latin American economies may also be susceptible to adverse government regulatory and economic intervention and controls which may negatively impact economic growth. Limitations in the ability to repatriate investment income, capital or the proceeds of the sale of securities from Latin American countries could adversely affect the Fund. Other risks associated with investments in Latin American economies may include inadequate investor protections, less developed custody, settlement, regulatory, accounting, auditing and financial standards, unfavorable changes in laws or regulations, natural disasters, corruption and military activity. The risks described under “Emerging Market Securities Risk,” “Frontier Market Risk,” and “Foreign Securities Risk” may be more pronounced due to the Fund’s focus on investments in the region. |
■ | Middle East and North Africa Region. The Fund is particularly susceptible to risks related to economic, political, regulatory, legal, social or other events or conditions affecting issuers in, or those that have investment exposure to, the Middle East and North Africa region. The economies of many Middle Eastern and North African countries have experienced local and regional conflicts including terrorist activity, religious, ethnic and/or socio-economic unrest, acts of war or other conflicts in the region, as well as elevated and volatile interest rates, inflation rates and unemployment rates. Currency devaluations and exchange rate volatility have also been common among Middle Eastern and North African economies. Relatively high dependence upon commodities, such as petroleum and minerals amongst others, may cause certain Middle Eastern and North African economies to be particularly sensitive to fluctuations in commodity prices. International economic conditions, trade arrangements and flow of international capital may have a significant impact on Middle Eastern and North African economies due to their relatively heavy reliance upon international trade. Middle Eastern and North African economies may also be susceptible to adverse government regulatory and economic intervention and controls which may negatively impact economic growth. Limitations in the ability to repatriate investment income, capital or the proceeds of the sale of securities from Middle Eastern and North African countries could adversely affect the Fund. Other risks associated with investments in Middle Eastern and North African economies may include inadequate investor protections, less developed custody, settlement, regulatory, accounting, auditing and financial standards, unfavorable changes in laws or regulations, natural disasters, corruption and military activity. The risks described under “Emerging Market Securities Risk,” “Frontier Market Risk,” and “Foreign Securities Risk” may be more pronounced due to the Fund’s focus on investments in the region. |
■ | India. The Fund is particularly susceptible to risks related to economic, political, regulatory or other events or conditions affecting issuers in India. Because the Fund invests predominantly in Indian securities, its NAV will be much more sensitive to changes in economic, political and other factors within India than would a fund that invested in a variety of countries. Special risks include, among others, political and legal uncertainty, persistent religious, ethnic and border disputes, greater government control over the economy, currency fluctuations or blockage and the risk of nationalization or expropriation of assets. Uncertainty regarding inflation and currency exchange rates, fiscal policy, credit ratings and the possibility that future harmful political actions will be taken by the Indian government, could negatively impact the Indian economy and securities markets, and thus adversely affect the Fund’s performance. The risks described under “Emerging Market Securities Risk,” “Frontier Market Risk,” and “Foreign Securities Risk” may be more pronounced due to the Fund’s focus on investments in the region. |
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The Indian government has exercised, and continues to exercise, significant influence over many aspects of the economy, and the number of public sector enterprises in India is substantial. Accordingly, Indian government actions in the future could have a significant effect on the Indian economy, which could affect private sector companies, market conditions, and prices and yields of securities in the Fund’s portfolio. The Fund’s performance will also be affected by changes in value of the Indian rupee versus the U.S. dollar. For example, if the value of the U.S. dollar goes up compared to the Indian rupee, an investment traded in the rupee will go down in value because it will be worth fewer U.S. dollars. Furthermore, the Fund may incur costs in connection with conversions between U.S. dollars and rupees. | |
Indian issuers are subject to less regulation and scrutiny with regard to financial reporting, accounting and auditing than U.S. companies. Information regarding Indian corporations may be less reliable and all material information may not be available to the Fund. Securities laws in India are relatively new and unsettled and, consequently, there is a risk of rapid and unpredictable change in laws regarding foreign investment, securities regulation, title to securities and shareholder rights. Accordingly, foreign investors may be adversely affected by new or amended laws and regulations. In addition, it may be difficult to obtain and enforce a judgment in a court in India. It may not be possible for the Fund to effect service of process in India, and if the Fund obtains a judgment in a U.S. court, it may be difficult to enforce such judgment in India. The stock markets in the region are undergoing a period of growth and change, which may result in trading or price volatility and difficulties in the settlement and recording of transactions, and in interpreting and applying the relevant laws and regulations. The securities industries in India are comparatively underdeveloped, and stockbrokers and other intermediaries may not perform as well as their counterparts in the United States and other more developed securities markets and which may impose additional costs on investment. | |
The Indian population is comprised of diverse religious, linguistic, ethnic and religious groups. India has, from time to time, experienced civil unrest and hostility with neighboring countries such as Pakistan. Violence and disruption associated with these tensions could have a negative effect on the economy and, consequently, adversely affect the Fund. Agriculture occupies a prominent position in the Indian economy, alongside India’s service and industrial sectors. Adverse changes in weather, including monsoons, and other natural disasters in India and surrounding regions can have a significant adverse effect on the Indian economy, which could adversely affect the Fund. |
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■ | Large-Cap Stock Risk. Investments in larger, more established companies (larger companies) may involve certain risks associated with their larger size. For instance, larger companies may be less able to respond quickly to new competitive challenges, such as changes in consumer tastes or innovation from smaller competitors. Also, larger companies are sometimes less able to achieve as high growth rates as successful smaller companies, especially during extended periods of economic expansion. |
■ | Small- and Mid-Cap Stock Risk. Securities of small- and mid-cap companies can, in certain circumstances, have a higher potential for gains than securities of larger companies but are more likely to have more risk than larger companies. For example, small- and mid-cap companies may be more vulnerable to market downturns and adverse business or economic events than larger companies because they may have more limited financial resources and business operations. Small- and mid-cap companies are also more likely than larger companies to have more limited product lines and operating histories and to depend on smaller and generally less experienced management teams. Securities of small- and mid-cap companies may trade less frequently and in smaller volumes and may be less liquid and fluctuate more sharply in value than securities of larger companies. When the Fund takes significant positions in small- and mid-cap companies with limited trading volumes, the liquidation of those positions, particularly in a distressed market, could be prolonged and result in Fund investment losses that would affect the value of your investment in the Fund. In addition, some small- and mid-cap companies may not be widely followed by the investment community, which can lower the demand for their stocks. |
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Fund | Assets (in millions) |
Annual rate at each asset level |
Diversified Fixed Income Allocation ETF(a) | All assets | 0.28% |
EM Core ex-China ETF(b) | All assets | 0.16% |
Emerging Markets Consumer ETF(b) | All assets | 0.49% |
India Consumer ETF(b) | All assets | 0.75% |
International ESG Equity Income ETF(a) | All assets | 0.45% |
Multi-Sector Municipal Income ETF(a) | All assets | 0.23% |
Research Enhanced Core ETF(a) | All assets | 0.15% |
Research Enhanced Real Estate ETF(a) | All assets | 0.33% |
Research Enhanced Value ETF(a) | All assets | 0.19% |
Seligman Semiconductor and Technology ETF(a) | All assets | 0.75% |
Short Duration Bond ETF(a) | All assets | 0.25% |
U.S. ESG Equity Income ETF(a) | All assets | 0.35% |
(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.” |
(b) | 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: the management fee set forth above; taxes; interest incurred on borrowing by the Fund (including but not limited to overdraft fees), if any; brokerage expenses, fees, commissions and other portfolio transaction expenses (including but not limited to service fees charged by custodians of depositary receipts and scrip fees related to registrations on foreign exchanges); interest and fee expense related to the Fund’s participation in inverse floater structures; infrequent and/or unusual expenses, including without limitation litigation expenses (including but not limited to arbitrations and indemnification expenses); distribution and/or service fees; expenses incurred in connection with lending securities; and any other infrequent and/or unusual expenses approved by the Board. Throughout this SAI, this fee is referred to as a “Unified Fee.” |
Investment Advisory Services Fees | |||
2023 | 2022 | 2021 | |
For Funds with fiscal period ending March 31 | |||
EM Core ex-China ETF | $187,924 | $80,982 | $35,181 |
Emerging Markets Consumer ETF | 472,770 | 800,775 | 1,037,927 |
India Consumer ETF | 577,359 | 709,377 | 596,864 |
2022 | 2021 | 2020 | |
For Funds with fiscal period ending October 31 | |||
Diversified Fixed Income Allocation ETF | 2,559,232 | 2,772,311 | 926,800 |
International ESG Equity Income ETF | 23,648 | 24,201 | 20,490 |
Multi-Sector Municipal Income ETF | 435,109 | 216,791 | 87,706 |
Research Enhanced Core ETF | 63,900 | 85,594 | 50,913 |
Research Enhanced Value ETF | 42,563 | 9,030 | 8,277 |
Seligman Semiconductor and Technology ETF | 43,546(a) | N/A | N/A |
Short Duration Bond ETF | 104,781 | 5,453(b) | N/A |
U.S. ESG Equity Income ETF | 93,242 | 20,806 | 18,081 |
For Funds with fiscal period ending December 31 |
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Investment Advisory Services Fees | |||
2022 | 2021 | 2020 | |
Research Enhanced Real Estate ETF(c) | N/A | N/A | N/A |
(a) | For the period from March 29, 2022 (commencement of operations) to October 31, 2022. |
(b) | For the period from September 21, 2021 (commencement of operations) to October 31, 2021. |
(c) | No historical information is given for the Fund because the Fund commenced operations on April 26, 2023. |
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, 2023, unless otherwise noted | |||||
EM Core ex-China ETF | Henry Hom | 2 RICs 8 other accounts |
$156.20 million $0.50 million |
None | None |
Christopher Lo | 11 RICs 20 other accounts |
$10.74 billion $1.69 billion |
None | None | |
Emerging Markets Consumer ETF | Henry Hom | 2 RICs 8 other accounts |
$245.02 million $0.50 million |
None | None |
Christopher Lo | 11 RICs 20 other accounts |
$10.83 billion $1.69 billion |
None | None | |
India Consumer ETF | Henry Hom | 2 RICs 8 other accounts |
$258.98 million $0.50 million |
None | None |
Christopher Lo | 11 RICs 20 other accounts |
$10.85 billion $1.69 billion |
None | None |
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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 October 31 – Information is as of October 31, 2022, unless otherwise noted | |||||
Diversified Fixed Income Allocation ETF | David Janssen | 2 RICs 62 other accounts |
$126.93 million $15.99 million |
None | $10,001– $50,000(a) |
Gene Tannuzzo | 7 RICs 2 PIVs 14 other accounts |
$12.93 billion $174.45 million $1.47 billion |
None | $50,001– $100,000(a) | |
International ESG Equity Income ETF | Henry Hom(c) | 4 RICs 8 other accounts |
$397.00 million $0.63 million |
None | None |
Christopher Lo | 11 RICs 1 PIV 16 other accounts |
$10.94 billion $9.38 million $1.65 billion |
None | None | |
Multi-Sector Municipal Income ETF | William Callagy | 179 other accounts | $292.51 million | None | $1– $10,000(a) |
Douglas Rangel | 11 RICs 5 other accounts |
$3.78 billion $71.80 million |
None | None | |
Catherine Stienstra | 9 RICs 3 other accounts |
$6.56 billion $1.54 million |
None | $50,001– $100,000(a) | |
Research Enhanced Core ETF | Henry Hom(c) | 4 RICs 8 other accounts |
$397.00 million $0.63 million |
None | $1– $10,000(a) |
Christopher Lo | 11 RICs 1 PIV 16 other accounts |
$10.86 billion $9.38 million $1.65 billion |
None | None | |
Jason Wang | 1 RIC 3 other accounts |
$17.28 million $1.62 million |
None | None | |
Research Enhanced Value ETF | Henry Hom(c) | 4 RICs 8 other accounts |
$397.00 million $0.63 million |
None | None |
Christopher Lo | 11 RICs 1 PIV 16 other accounts |
$10.93 billion $9.38 million $1.65 billion |
None | None | |
Jason Wang | 1 RIC 3 other accounts |
$78.70 million $1.62 million |
None | None | |
Seligman Semiconductor and Technology ETF | Sanjay Devgan(b) | 3 RICs 4 other accounts |
$9.63 billion $6.06 million |
None | $100,001– $500,000(a) |
Christopher Lo | 11 RICs 1 PIV 16 other accounts |
$10.93 billion $9.38 million $1.65 billion |
None | None | |
Shekhar Pramanick(b) | 4 RICs 6 other accounts |
$10.02 billion $12.07 million |
None | $50,001– $100,000(a) | |
Paul Wick(b) | 4 RICs 3 PIVs 7 other accounts |
$10.02 billion $1.78 billion $516.40 million |
2 PIVs ($1.23 B) 1 other account ($134.38 M) |
None | |
Short Duration Bond ETF | David Janssen | 2 RICs 62 other accounts |
$651.27 million $15.99 million |
None | $1– $10,000(a) |
Gregory Liechty | 6 RICs 8 PIVs 56 other accounts |
$6.76 billion $1.97 billion $4.54 billion |
None | $10,001– $50,000(a) | |
Ronald Stahl | 6 RICs 8 PIVs 59 other accounts |
$6.76 billion $1.97 billion $4.82 billion |
None | None |
Statement of Additional Information – August 1, 2023 | 91 |
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 |
U.S. ESG Equity Income ETF | Henry Hom(c) | 4 RICs 8 other accounts |
$397.00 million $0.63 million |
None | $1– $10,000(a) |
Christopher Lo | 11 RICs 1 PIV 16 other accounts |
$10.90 billion $9.38 million $1.65 billion |
None | None | |
For Funds with fiscal year ending December 31 – Information is as of December 31, 2022, unless otherwise noted | |||||
Research Enhanced Real Estate ETF | Henry Hom(d) | 3 RICs 7 other accounts |
$323.43 million $0.41 million |
None | None |
Christopher Lo(d) | 12 RICs 20 other accounts |
$11.25 billion $1.76 billion |
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) | See Columbia Management – Tech Team below for information regarding the structure of, and the method used to determine, the compensation of each Portfolio Manager with respect to the Fund. |
(c) | The portfolio manager began managing the Fund after its last fiscal year end; reporting information is provided as of June 30, 2023. |
(d) | The Fund commenced operations on April 26, 2023; reporting information is provided as of February 28, 2023. |
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 funds or other accounts with different advisory fee rates and/or fee structures, including accounts, such as the Investment Manager’s hedge funds, 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 accounts that pay higher fees, including performance fee accounts, such that the portfolio manager may have an incentive to allocate attractive investments disproportionately to performance fee accounts. | |
Similar 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. When the Investment Manager determines it necessary or appropriate in order to ensure compliance with restrictions on joint transactions under the 1940 Act, a Fund may not be able to invest in privately-placed securities in which other accounts advised by the Investment Manager using a similar style, including performance fee accounts, are able to invest, even when the Investment Manager believes such securities would otherwise represent attractive investment opportunities. As a general matter and subject to the Investment Manager’s Code of Ethics and certain limited exceptions, including for investments in the Investment Manager’s hedge funds, 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 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 |
Statement of Additional Information – August 1, 2023 | 92 |
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. | |
“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 – August 1, 2023 | 93 |
Statement of Additional Information – August 1, 2023 | 94 |
Statement of Additional Information – August 1, 2023 | 95 |
Amounts Reimbursed | |||
2023 | 2022 | 2021 | |
For Funds with fiscal period ending March 31 | |||
EM Core ex-China ETF | $0 | $0 | $0 |
Emerging Markets Consumer ETF | 2,033 | 2,594 | 2,727 |
India Consumer ETF | 15,895 | 16,614 | 40,924 |
2022 | 2021 | 2020 | |
For Funds with fiscal period ending October 31 | |||
Diversified Fixed Income Allocation ETF | 0 | 0 | 0 |
International ESG Equity Income ETF | 0 | 0 | 0 |
Multi-Sector Municipal Income ETF | 0 | 0 | 0 |
Research Enhanced Core ETF | 0 | 0 | 0 |
Research Enhanced Value ETF | 0 | 0 | 0 |
Seligman Semiconductor and Technology ETF | 0(a) | N/A | N/A |
Short Duration Bond ETF | 0 | 0(b) | N/A |
U.S. ESG Equity Income ETF | 0 | 0 | 0 |
For Funds with fiscal period ending December 31 | |||
Research Enhanced Real Estate ETF(c) | N/A | N/A | N/A |
(a) | For the period from March 29, 2022 (commencement of operations) to October 31, 2022. |
(b) | For the period from September 21, 2021 (commencement of operations) to October 31, 2021. |
(c) | No historical information is given for the Fund because the Fund commenced operations on April 26, 2023. |
Statement of Additional Information – August 1, 2023 | 96 |
Statement of Additional Information – August 1, 2023 | 97 |
Statement of Additional Information – August 1, 2023 | 98 |
Statement of Additional Information – August 1, 2023 | 99 |
Statement of Additional Information – August 1, 2023 | 100 |
Statement of Additional Information – August 1, 2023 | 101 |
Statement of Additional Information – August 1, 2023 | 102 |
Statement of Additional Information – August 1, 2023 | 103 |
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 – August 1, 2023 | 104 |
Statement of Additional Information – August 1, 2023 | 105 |
Name, Address, Year of Birth | Position Held with the Columbia Funds 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 and Other Relevant Board Experience |
Committee Assignments |
George S. Batejan c/o Columbia Management Investment Advisers, LLC, 290 Congress Street Boston, MA 02210 1954 |
Trustee since 2017 |
Executive Vice President, Global Head of Technology and Operations, Janus Capital Group, Inc., 2010-2016 | 174 | 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; former Advisory Board Member, University of Colorado Business School, 2015-2018; former Board Member, Chase Bank International, 1993-1994 | Compliance, Contracts, Investment Review Committee |
Statement of Additional Information – August 1, 2023 | 106 |
Name, Address, Year of Birth | Position Held with the Columbia Funds 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 and Other Relevant Board Experience |
Committee Assignments |
Kathleen Blatz c/o Columbia Management Investment Advisers, LLC, 290 Congress Street Boston, MA 02210 1954 |
Trustee since 2006 |
Attorney, specializing in arbitration and mediation; 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; Member and Interim Chair, Minnesota Sports Facilities Authority, January-July 2017; Interim President and Chief Executive Officer, Blue Cross Blue Shield of Minnesota (health care insurance), February-July 2018, April-October 2021 | 174 | Former Trustee, Blue Cross and Blue Shield of Minnesota, 2009-2021 (Chair of the Business Development Committee, 2014-2017; Chair of the Governance Committee, 2017-2019); former Member and Chair of the Board, Minnesota Sports Facilities Authority, January 2017-July 2017; former Director, Robina Foundation, 2009-2020 (Chair, 2014-2020); Director, Richard M. Schulze Family Foundation, since 2021 | Compliance, Contracts, Investment Review Committee |
Pamela G. Carlton c/o Columbia Management Investment Advisers, LLC, 290 Congress Street Boston, MA 02210 1954 |
Chair since 2023; Trustee since 2007 | 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, 1982-1991, Morgan Stanley; Attorney, Cleary Gottlieb Steen & Hamilton LLP, 1980-1982 | 174 | Trustee, New York Presbyterian Hospital Board, since 1996; Director, DR Bank (Audit Committee), since 2017; Director, Evercore Inc. (Audit Committee, Nominating and Governance Committee) (financial services), since 2019; Director, Apollo Commercial Real Estate Finance, Inc. (Chair, Nominating and Governance Committee), since 2021; the Governing Council of the Independent Directors Council (IDC), since 2021 | Contracts, Board Governance, Investment Review Committee |
Janet Langford Carrig c/o Columbia Management Investment Advisers, LLC, 290 Congress Street Boston, MA 02210 1957 |
Trustee since 1996 |
Senior Vice President, General Counsel and Corporate Secretary, ConocoPhillips (independent energy company), September 2007-October 2018 | 174 | Director, EQT Corporation (natural gas producer), since 2019; former Director, Whiting Petroleum Corporation (independent oil and gas company), 2020-2022 | Contracts, Board Governance, Investment Review Committee |
Statement of Additional Information – August 1, 2023 | 107 |
Name, Address, Year of Birth | Position Held with the Columbia Funds 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 and Other Relevant Board Experience |
Committee Assignments |
J. Kevin Connaughton c/o Columbia Management Investment Advisers, LLC, 290 Congress Street Boston, MA 02210 1964 |
Trustee since 2020 |
CEO and President, RhodeWay Financial (non-profit financial planning firm), since December 2022; Member, FINRA National Adjudicatory Council since January 2020; Adjunct Professor of Finance, Bentley University, since January 2018; Consultant to Independent Trustees of CFVIT and CFST I from March 2016 to June 2020 with respect to CFVIT and to December 2020 with respect to CFST I; Managing Director and General Manager of Mutual Fund Products, Columbia Management Investment Advisers, LLC, May 2010-February 2015; President, Columbia Funds, 2008-2015; and senior officer of Columbia Funds and affiliated funds, 2003-2015 | 172 | Former Director, The Autism Project, March 2015-December 2021; former Member of the Investment Committee, St. Michael’s College, November 2015-February 2020; former Trustee, St. Michael’s College, June 2017-September 2019; former Trustee, New Century Portfolios (former mutual fund complex), January 2015-December 2017 | Audit, Contracts, Investment Review Committee |
Olive M. Darragh c/o Columbia Management Investment Advisers, LLC, 290 Congress Street Boston, MA 02210 1962 |
Trustee since 2020 |
Managing Director of Darragh Inc. (strategy and talent management consulting firm), since 2010; Founder and CEO, Zolio, Inc. (investment management talent identification platform), since 2004; Consultant to Independent Trustees of CFVIT and CFST I from June 2019 to June 2020 with respect to CFVIT and to December 2020 with respect to CFST I; Partner, Tudor Investments, 2004-2010; Senior Partner, McKinsey & Company (consulting), 1990-2004; Touche Ross CPA, 1985-1988 | 172 | Treasurer, Edinburgh University US Trust Board, since January 2023; Member, HBS Community Action Partners Board, since September 2022; former Director, University of Edinburgh Business School (Member of US Board), 2004-2019; former Director, Boston Public Library Foundation, 2008-2017 | Compliance, Contracts, Investment Review Committee |
Patricia M. Flynn c/o Columbia Management Investment Advisers, LLC, 290 Congress Street Boston, MA 02210 1950 |
Trustee since 2004 |
Professor of Economics and Management, Bentley University, since 2002; Dean, McCallum Graduate School of Business, Bentley University, 1992-2002 | 174 | Former Trustee, MA Taxpayers Foundation,1997-2022; former Director, The MA Business Roundtable, 2003-2019; former Chairperson, Innovation Index Advisory Committee, MA Technology Collaborative, 1997-2020 | Audit, Contracts, Investment Review Committee |
Brian J. Gallagher c/o Columbia Management Investment Advisers, LLC, 290 Congress Street Boston, MA 02210 1954 |
Trustee since 2017 |
Retired; Partner with Deloitte & Touche LLP and its predecessors, 1977-2016 | 174 | Trustee, Catholic Schools Foundation, since 2004 | Audit, Contracts, Investment Review Committee |
Statement of Additional Information – August 1, 2023 | 108 |
Name, Address, Year of Birth | Position Held with the Columbia Funds 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 and Other Relevant Board Experience |
Committee Assignments |
Douglas A. Hacker c/o Columbia Management Investment Advisers, LLC, 290 Congress Street Boston, MA 02210 1955 |
Trustee since 1996 |
Independent business executive, since May 2006; Executive Vice President – Strategy of United Airlines, December 2002-May 2006; President of UAL Loyalty Services (airline marketing company), September 2001-December 2002; Executive Vice President and Chief Financial Officer of United Airlines, July 1999-September 2001 | 174 | Director, SpartanNash Company since November 2013 (Chair of the Board since May 2021) (food distributor); Director, Aircastle Limited (Chair of Audit Committee) (aircraft leasing), since August 2006; former Director, Nash Finch Company (food distributor), 2005-2013; former Director, SeaCube Container Leasing Ltd. (container leasing), 2010-2013; and former Director, Travelport Worldwide Limited (travel information technology), 2014-2019 | Audit, Contracts, Board Governance, Investment Review Committee |
Nancy T. Lukitsh c/o Columbia Management Investment Advisers, LLC, 290 Congress Street Boston, MA 02210 1956 |
Trustee since 2011 |
Senior Vice President, Partner and Director of Marketing, Wellington Management Company, LLP (investment adviser), 1997-2010; Chair, Wellington Management Portfolios (commingled non-U.S. investment pools), 2007 -2010; Director, Wellington Trust Company, NA and other Wellington affiliates, 1997-2010 | 172 | None | Contracts, Board Governance, Investment Review Committee |
David M. Moffett c/o Columbia Management Investment Advisers, LLC, 290 Congress Street Boston, MA 02210 1952 |
Trustee since 2011 |
Retired; former Chief Executive Officer of Freddie Mac and Chief Financial Officer of U.S. Bank | 172 | Director, CSX Corporation (transportation suppliers); Director, PayPal Holdings Inc. (payment and data processing services); Trustee, University of Oklahoma Foundation; former Director, eBay Inc. (online trading community), 2007-2015; and former Director, CIT Bank, CIT Group Inc. (commercial and consumer finance), 2010-2016; former Senior Adviser to The Carlyle Group (financial services), March 2008-September 2008; former Governance Consultant to Bridgewater Associates (investment company), January 2013-December 2015 | Audit, Contracts, Investment Review Committee |
Statement of Additional Information – August 1, 2023 | 109 |
Name, Address, Year of Birth | Position Held with the Columbia Funds 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 and Other Relevant Board Experience |
Committee Assignments |
Catherine James Paglia c/o Columbia Management Investment Advisers, LLC, 290 Congress Street Boston, MA 02210 1952 |
Trustee since 2004 |
Director, Enterprise Asset Management, Inc. (private real estate and asset management company), since September 1998; Managing Director and Partner, Interlaken Capital, Inc., 1989-1997; Vice President, 1982-1985, Principal, 1985-1987, Managing Director, 1987-1989, Morgan Stanley; Vice President, Investment Banking, 1980-1982, Associate, Investment Banking, 1976-1980, Dean Witter Reynolds, Inc. | 174 | Director, Valmont Industries, Inc. (irrigation systems manufacturer), since 2012; Trustee, Carleton College (on the Investment Committee), since 1987; Trustee, Carnegie Endowment for International Peace (on the Investment Committee), since 2009 | Compliance, Contracts, Board Governance, Investment Review Committee |
Natalie A. Trunow c/o Columbia Management Investment Advisers, LLC, 290 Congress Street Boston, MA 02210 1967 |
Trustee since 2020 |
Chief Executive Officer, Millennial Portfolio Solutions LLC (asset management and consulting services) January 2016-January 2021; Non-executive Member of the Investment Committee and Valuation Committee, Sarona Asset Management Inc. (private equity firm) since September 2019; Advisor, Horizon Investments (asset management and consulting services), August 2018-January 2022; Advisor, Paradigm Asset Management, November 2016-January 2022; Consultant to Independent Trustees of CFVIT and CFST I from September 2016 to June 2020 with respect to CFVIT and to December 2020 with respect to CFST I; Director of Investments/Consultant, Casey Family Programs, April 2016-November 2016; Senior Vice President and Chief Investment Officer, Calvert Investments, August 2008-January 2016; Section Head and Portfolio Manager, General Motors Asset Management, June 1997-August 2008 | 172 | Independent Director, (Investment Committee), Health Services for Children with Special Needs, Inc., 2010-2021; Independent Director, (Executive Committee and Chair, Audit Committee), Consumer Credit Counseling Services (formerly Guidewell Financial Solutions), since 2016; Independent Director (Investment Committee), Sarona Asset Management, since 2019 | Compliance, Contracts, Investment Review Committee |
Sandra L. Yeager c/o Columbia Management Investment Advisers, LLC, 290 Congress Street Boston, MA 02210 1964 |
Trustee since 2017 |
Retired; President and founder, Hanoverian Capital, LLC (SEC registered investment advisor firm), 2008-2016; Managing Director, DuPont Capital, 2006-2008; Managing Director, Morgan Stanley Investment Management, 2004-2006; Senior Vice President, Alliance Bernstein, 1990-2004 | 174 | Former Director, NAPE (National Alliance for Partnerships in Equity) Education Foundation, October 2016-October 2020; Advisory Board, Jennersville YMCA, since 2022 | Audit, Contracts, Investment Review Committee |
Statement of Additional Information – August 1, 2023 | 110 |
Name, Address, Year of Birth |
Position Held with the Columbia Funds 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 and Other Relevant Board Experience | Committee Assignments |
Daniel J. Beckman c/o Columbia Management Investment Advisers, LLC 290 Congress Street Boston, MA 02210 1962 |
Trustee since November 2021 and President since June 2021 | Vice President – Head of North America Product, Columbia Management Investment Advisers, LLC, since April 2015; President and Principal Executive Officer of the Columbia Funds, since June 2021; officer of Columbia Funds and affiliated funds, 2020-2021 | 174 | Director, Ameriprise Trust Company, since October 2016; Director, Columbia Management Investment Distributors, Inc. since November 2018; Board of Governors, Columbia Wanger Asset Management, LLC since January 2022; Director, Columbia Threadneedle Canada, Inc., since December 2022 | None |
* | The term “Columbia Funds Complex” as used herein includes Columbia Seligman Premium Technology Growth Fund, Tri-Continental Corporation and each series of Columbia Funds Series Trust (CFST), Columbia Funds Series Trust I (CFST I), Columbia Funds Series Trust II (CFST II), Columbia ETF Trust I (CET I), Columbia ETF Trust II (CET II), Columbia Funds Variable Insurance Trust (CFVIT) and Columbia Funds Variable Series Trust II (CFVST II). Messrs. Batejan, Beckman, Gallagher and Hacker and Mses. Blatz, Carlton, Carrig, Flynn, Paglia and Yeager serve as directors of Columbia Seligman Premium Technology Growth Fund and Tri-Continental Corporation. |
** | 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. |
Name, Address and Year of Birth |
Position and Year First Appointed to Position for any Fund in the Columbia Funds Complex or a Predecessor Thereof |
Principal Occupation(s) During Past Five Years |
Michael G. Clarke 290 Congress Street Boston, MA 02210 1969 |
Chief Financial Officer and Principal Financial Officer (2009) and Senior Vice President (2019) | Senior Vice President and North America Head of Operations & Investor Services, Columbia Management Investment Advisers, LLC, since June 2023 (previously Senior Vice President and Head of Global Operations & Investor Services, March 2022 - June 2023, Vice President, Head of North America Operations, and Co-Head of Global Operations, June 2019 - February 2022 and Vice President – Accounting and Tax, May 2010 - May 2019); senior officer of Columbia Funds and affiliated funds, since 2002. Director, Ameriprise Trust Company, since June 2023. |
Joseph Beranek 5890 Ameriprise Financial Center Minneapolis, MN 55474 1965 |
Treasurer and Chief Accounting Officer (Principal Accounting Officer) (2019) and Principal Financial Officer (2020), CFST, CFST I, CFST II, CFVIT and CFVST II; Assistant Treasurer, CET I and CET II | Vice President – Mutual Fund Accounting and Financial Reporting, Columbia Management Investment Advisers, LLC, since December 2018 and March 2017, respectively. |
Statement of Additional Information – August 1, 2023 | 111 |
Name, Address and Year of Birth |
Position and Year First Appointed to Position for any Fund in the Columbia Funds Complex or a Predecessor Thereof |
Principal Occupation(s) During Past Five Years |
Marybeth Pilat 290 Congress Street Boston, MA 02210 1968 |
Treasurer and Chief Accounting Officer (Principal Accounting Officer) and Principal Financial Officer (2020) for CET I and CET II; Assistant Treasurer, CFST, CFST I, CFST II, CFVIT and CFVST II | Vice President – Product Pricing and Administration, Columbia Management Investment Advisers, LLC, since May 2017. |
William F. Truscott 290 Congress Street Boston, MA 02210 1960 |
Senior Vice President (2001) | Formerly, Trustee/Director of Columbia Funds Complex or legacy funds, November 2001 - January 1, 2021; Chief Executive Officer, Global Asset Management, Ameriprise Financial, Inc., since September 2012; Chairman of the Board and President, Columbia Management Investment Advisers, LLC, since July 2004 and February 2012, respectively; Chairman of the Board and Chief Executive Officer, Columbia Management Investment Distributors, Inc., since November 2008 and February 2012, respectively; Chairman of the Board and Director, Threadneedle Asset Management Holdings, Sàrl, since March 2013 and December 2008, respectively; senior executive of various entities affiliated with Columbia Threadneedle Investments. |
Christopher O. Petersen 5228 Ameriprise Financial Center Minneapolis, MN 55474 1970 |
Senior Vice President and Assistant Secretary (2021) | Formerly, Trustee/Director of funds within the Columbia Funds Complex, July 1, 2020 - November 22, 2021; Senior Vice President and Assistant General Counsel, Ameriprise Financial, Inc., since September 2021 (previously Vice President and Lead Chief Counsel, January 2015 - September 2021); formerly, President and Principal Executive Officer of the Columbia Funds 2015 - 2021; officer of Columbia Funds and affiliated funds, since 2007. |
Thomas P. McGuire 290 Congress Street Boston, MA 02210 1972 |
Senior Vice President and Chief Compliance Officer (2012) | Vice President – Asset Management Compliance, Ameriprise Financial, Inc., since May 2010; Chief Compliance Officer, Columbia Acorn/Wanger Funds, since December 2015; formerly, Chief Compliance Officer, Ameriprise Certificate Company, September 2010 - September 2020. |
Ryan C. Larrenaga 290 Congress Street Boston, MA 02210 1970 |
Senior Vice President (2017), Chief Legal Officer (2017) and Secretary (2015) | Vice President and Chief Counsel, Ameriprise Financial, Inc. since August 2018 (previously Vice President and Group Counsel, August 2011 - August 2018); Chief Legal Officer, Columbia Acorn/Wanger Funds, since September 2020; officer of Columbia Funds and affiliated funds since 2005. |
Michael E. DeFao 290 Congress Street Boston, MA 02210 1968 |
Vice President (2011) and Assistant Secretary (2010) | Vice President and Chief Counsel, Ameriprise Financial, Inc., since May 2010; Vice President, Chief Legal Officer and Assistant Secretary, Columbia Management Investment Advisers, LLC, since October 2021 (previously Vice President and Assistant Secretary, May 2010 - September 2021). |
Lyn Kephart-Strong 5903 Ameriprise Financial Center Minneapolis, MN 55474 1960 |
Vice President (2015) | Vice President, Global Investment Operations Services, Columbia Management Investment Advisers, LLC, since 2010; Director (since January 2007) and President (since October 2014), Columbia Management Investment Services Corp.; Director (since December 2017) and President (since January 2017), Ameriprise Trust Company. |
Statement of Additional Information – August 1, 2023 | 112 |
Statement of Additional Information – August 1, 2023 | 113 |
Statement of Additional Information – August 1, 2023 | 114 |
Statement of Additional Information – August 1, 2023 | 115 |
Statement of Additional Information – August 1, 2023 | 116 |
Fiscal Period | Audit Committee |
Compliance Committee |
Contracts Committee |
Board Governance Committee |
Investment Review Committee |
For the fiscal year ending March 31, 2023 |
4 | 4 | 6 | 7 | 5 |
For the fiscal year ending October 31, 2022 |
6 | 5 | 6 | 5 | 4 |
Statement of Additional Information – August 1, 2023 | 117 |
Batejan | Blatz | Carlton | Carrig | Connaughton | Darragh | Flynn | |
Diversified Fixed Income Allocation ETF | A | A | A | A | D | A | A |
EM Core ex-China ETF | A | A | A | A | A | A | A |
Emerging Markets Consumer ETF | D | A | A | A | A | A | A |
India Consumer ETF | A | A | A | A | A | A | A |
International ESG Equity Income ETF | A | A | A | A | A | A | A |
Multi-Sector Municipal Income ETF | A | A | A | A | A | A | A |
Research Enhanced Core ETF | A | A | A | A | A | A | A |
Research Enhanced Real Estate ETF | A | A | A | A | A | A | A |
Research Enhanced Value ETF | A | A | A | A | A | A | A |
Seligman Semiconductor and Technology ETF | A | A | A | A | C | A | A |
Short Duration Bond ETF | A | A | A | A | A | A | A |
U.S. ESG Equity Income ETF | A | A | A | A | A | A | A |
Aggregate Dollar Range of Equity Securities in all Funds in the Columbia Funds Complex Overseen by the Trustee | E(a) | E | E(a) | E(a) | E | E(a) | E(a) |
(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. |
Gallagher | Hacker | Lukitsh | Moffett | Paglia | Trunow | Yeager | |
Diversified Fixed Income Allocation ETF | A | A | A | A | A | A | A |
EM Core ex-China ETF | A | A | A | A | A | A | A |
Emerging Markets Consumer ETF | A | A | A | A | A | A | A |
India Consumer ETF | A | A | A | A | A | A | A |
International ESG Equity Income ETF | A | A | A | A | A | A | A |
Multi-Sector Municipal Income ETF | A | A | A | A | A | A | A |
Research Enhanced Core ETF | A | A | A | A | A | A | A |
Research Enhanced Real Estate ETF | A | A | A | A | A | A | A |
Research Enhanced Value ETF | A | A | A | A | A | A | A |
Seligman Semiconductor and Technology ETF | A | A | A | A | A | A | A |
Short Duration Bond ETF | A | A | A | A | A | A | A |
U.S. ESG Equity Income ETF | A | A | A | A | A | A | A |
Aggregate Dollar Range of Equity Securities in all Funds in the Columbia Funds Complex Overseen by the Trustee | E(a) | E | E | E(a) | E(a) | E(a) | E(a) |
(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 – August 1, 2023 | 118 |
Board Member | Aggregate Dollar Range of Equity Securities in all Funds in the Columbia Funds Complex Overseen by the Trustee |
Beckman | |
Diversified Fixed Income Allocation ETF | B |
EM Core ex-China ETF | A |
Emerging Markets Consumer ETF | A |
India Consumer ETF | A |
International ESG Equity Income ETF | B |
Multi-Sector Municipal Income ETF | A |
Research Enhanced Core ETF | B |
Research Enhanced Real Estate ETF | A |
Research Enhanced Value ETF | C |
Seligman Semiconductor and Technology ETF | C |
Short Duration Bond ETF | A |
U.S. ESG Equity Income ETF | C |
Aggregate Dollar Range of Equity Securities in all Funds in the Columbia Funds Complex Overseen by the Trustee |
E(a) |
(a) | With respect to Mr. Beckman, this amount includes compensation payable under a Deferred Compensation Plan administered by Ameriprise Financial. |
Trustees | Total Cash Compensation from the Columbia Funds Complex Paid to Trustee(a) |
Amount Deferred from Total Compensation(b) |
George S. Batejan | $487,000 | $24,350 |
Kathleen Blatz | $470,500 | $0 |
Pamela G. Carlton | $521,000 | $38,350 |
Janet Langford Carrig | $504,000 | $504,000 |
J. Kevin Connaughton | $507,000 | $0 |
Olive M. Darragh | $492,000 | $208,875 |
Patricia M. Flynn | $463,000 | $0 |
Brian J. Gallagher | $499,000 | $249,500 |
Douglas A. Hacker | $520,750 | $0 |
Nancy T. Lukitsh | $477,000 | $0 |
David M. Moffett | $453,750 | $339,000 |
Catherine James Paglia | $520,750 | $201,875 |
Minor M. Shaw(c) | $360,250 | $180,125 |
Statement of Additional Information – August 1, 2023 | 119 |
Trustees | Total Cash Compensation from the Columbia Funds Complex Paid to Trustee(a) |
Amount Deferred from Total Compensation(b) |
Natalie A. Trunow | $468,000 | $332,910 |
Sandra L. Yeager | $502,000 | $251,000 |
(a) | Includes any portion of cash compensation Trustees elected to defer during the fiscal period. Research Enhanced Real Estate ETF, which commenced operations on April 26, 2023, has not yet completed its first fiscal year (which will end December 31, 2023). For the fiscal year ending December 31, 2023, when including Research Enhanced Real Estate ETF, the estimated total cash compensation from the Columbia Funds Complex to be paid to the trustees is as follows: |
Trustees | Estimated Total Cash Compensation from the Columbia Funds Complex To Be Paid to Trustee for Fiscal Year Ended 2023 | Estimated Amount to be Deferred from Total Compensation |
George S. Batejan | $278,000 | $13,900 |
Kathleen Blatz | $298,000 | $0 |
Pamela G. Carlton | $366,667 | $0 |
Janet Langford Carrig | $301,000 | $301,000 |
J. Kevin Connaughton | $298,000 | $0 |
Olive M. Darragh | $288,000 | $57,600 |
Patricia M. Flynn | $278,000 | $0 |
Brian J. Gallagher | $298,000 | $149,000 |
Douglas A. Hacker | $287,000 | $0 |
Nancy T. Lukitsh | $301,000 | $0 |
David M. Moffett | $288,000 | $0 |
Catherine James Paglia | $287,000 | $0 |
Natalie A. Trunow | $288,000 | $144,000 |
Sandra L. Yeager | $288,000 | $144,000 |
(b) | The Trustees may elect to defer a portion of the total cash compensation payable. Additional information regarding the Deferred Compensation Plan is described below. |
(c) | Ms. Shaw served as Trustee until December 31, 2022, and stopped receiving compensation from the Funds and the Columbia Funds Complex as of such date. |
Statement of Additional Information – August 1, 2023 | 120 |
Fund | Aggregate Compensation from Fund Independent Trustees | |||||||
Batejan(a) | Blatz | Carlton(b) | Carrig(c) | Connaughton | Darragh(d) | Flynn(e) | Gallagher(f) | |
For Funds with fiscal period ending March 31 | ||||||||
EM Core ex-China ETF | $1,025 | $990 | $1,099 | $1,083 | $1,089 | $1,057 | $973 | $1,052 |
Amount Deferred | $51 | $0 | $79 | $1,083 | $0 | $445 | $0 | $526 |
Emerging Markets Consumer ETF | $1,011 | $976 | $1,082 | $1,068 | $1,074 | $1,043 | $960 | $1,036 |
Amount Deferred | $51 | $0 | $79 | $1,068 | $0 | $443 | $0 | $518 |
India Consumer ETF | $991 | $956 | $1,061 | $1,047 | $1,053 | $1,022 | $941 | $1,016 |
Amount Deferred | $50 | $0 | $78 | $1,047 | $0 | $434 | $0 | $508 |
For Funds with fiscal period ending October 31 | ||||||||
Diversified Fixed Income Allocation ETF | $1,731 | $1,621 | $1,745 | $1,800 | $1,823 | $1,760 | $1,642 | $1,723 |
Amount Deferred | $70 | $0 | $273 | $1,800 | $0 | $880 | $330 | $862 |
Multi-Sector Municipal Income ETF | $1,062 | $996 | $1,071 | $1,105 | $1,119 | $1,081 | $1,007 | $1,057 |
Amount Deferred | $44 | $0 | $161 | $1,105 | $0 | $541 | $179 | $529 |
Research Enhanced Core ETF | $933 | $875 | $941 | $971 | $983 | $950 | $885 | $929 |
Amount Deferred | $38 | $0 | $143 | $971 | $0 | $475 | $163 | $465 |
Research Enhanced Value ETF | $918 | $861 | $926 | $955 | $967 | $934 | $871 | $914 |
Amount Deferred | $38 | $0 | $141 | $955 | $0 | $467 | $161 | $457 |
International ESG Equity Income ETF | $903 | $847 | $911 | $940 | $951 | $919 | $857 | $899 |
Amount Deferred | $37 | $0 | $139 | $940 | $0 | $459 | $160 | $450 |
U.S. ESG Equity Income ETF | $920 | $863 | $928 | $957 | $969 | $936 | $873 | $916 |
Amount Deferred | $38 | $0 | $141 | $957 | $0 | $468 | $160 | $458 |
Short Duration Bond ETF | $934 | $876 | $942 | $972 | $984 | $951 | $886 | $930 |
Amount Deferred | $39 | $0 | $143 | $972 | $0 | $475 | $162 | $465 |
Seligman Semiconductor and Technology ETF | $524 | $495 | $535 | $552 | $558 | $541 | $495 | $523 |
Amount Deferred | $26 | $0 | $53 | $552 | $0 | $271 | $0 | $262 |
For Funds with fiscal period ending December 31 | ||||||||
Research Enhanced Real Estate ETF(g) | $542 | $581 | $714 | $586 | $581 | $561 | $542 | $581 |
Amount Deferred(g) | $27 | $0 | $0 | $586 | $0 | $112 | $0 | $290 |
(a) | As of January 1, 2022, Mr. Batejan has elected to defer receipt of a portion of his compensation pursuant to the Deferred Compensation Plan. As of June 30, 2023, the value of Mr. Batejan’s account under the Deferred Compensation Plan was $40,140. |
(b) | As of June 30, 2023, the value of Ms. Carlton’s account under the Deferred Compensation Plan was $1,344,314. |
(c) | As of June 30, 2023, the value of Ms. Carrig’s account under the Deferred Compensation Plan was $5,338,802. |
(d) | As of June 30, 2023, the value of Ms. Darragh’s account under the Deferred Compensation Plan was $511,443. |
(e) | As of June 30, 2023, the value of Ms. Flynn’s account under the Deferred Compensation Plan was $3,319,641. |
(f) | As of June 30, 2023, the value of Mr. Gallagher’s account under the Deferred Compensation Plan was $1,155,916. |
(g) | 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 April 26, 2023 (commencement of Fund operations) to December 31, 2023. |
Statement of Additional Information – August 1, 2023 | 121 |
Fund | Aggregate Compensation from Fund Independent Trustees | |||||||
Hacker | Lukitsh | Moffett(a) | Paglia(b) | Santomero(c) | Shaw(d) | Trunow(e) | Yeager(f) | |
For Funds with fiscal period ending March 31 | ||||||||
EM Core ex-China ETF | $1,096 | $1,024 | $975 | $1,096 | N/A | $742 | $1,005 | $1,057 |
Amount Deferred | $0 | $0 | $718 | $417 | N/A | $371 | $712 | $529 |
Emerging Markets Consumer ETF | $1,083 | $1,011 | $961 | $1,083 | N/A | $744 | $992 | $1,043 |
Amount Deferred | $0 | $0 | $720 | $419 | N/A | $372 | $706 | $521 |
India Consumer ETF | $1,061 | $991 | $942 | $1,061 | N/A | $728 | $972 | $1,022 |
Amount Deferred | $0 | $0 | $705 | $409 | N/A | $364 | $692 | $511 |
For Funds with fiscal period ending October 31 | ||||||||
Diversified Fixed Income Allocation ETF | $1,939 | $1,735 | $1,620 | $1,939 | $313 | $1,678 | $1,671 | $1,760 |
Amount Deferred | $0 | $0 | $1,620 | $970 | $0 | $839 | $1,231 | $880 |
Multi-Sector Municipal Income ETF | $1,186 | $1,064 | $993 | $1,186 | $170 | $1,028 | $1,026 | $1,081 |
Amount Deferred | $0 | $0 | $993 | $593 | $0 | $514 | $761 | $541 |
Research Enhanced Core ETF | $1,044 | $935 | $873 | $1,044 | $155 | $904 | $902 | $950 |
Amount Deferred | $0 | $0 | $873 | $522 | $0 | $452 | $668 | $475 |
Research Enhanced Value ETF | $1,026 | $920 | $859 | $1,026 | $153 | $889 | $887 | $934 |
Amount Deferred | $0 | $0 | $859 | $513 | $0 | $445 | $657 | $467 |
International ESG Equity Income ETF | $1,010 | $905 | $845 | $1,010 | $152 | $875 | $872 | $919 |
Amount Deferred | $0 | $0 | $845 | $505 | $0 | $437 | $646 | $459 |
U.S. ESG Equity Income ETF | $1,029 | $922 | $861 | $1,029 | $152 | $891 | $889 | $936 |
Amount Deferred | $0 | $0 | $861 | $514 | $0 | $446 | $658 | $468 |
Short Duration Bond ETF | $1,044 | $936 | $874 | $1,044 | $154 | $905 | $903 | $951 |
Amount Deferred | $0 | $0 | $874 | $522 | $0 | $452 | $669 | $475 |
Seligman Semiconductor and Technology ETF | $592 | $529 | $489 | $592 | N/A | $506 | $512 | $541 |
Amount Deferred | $0 | $0 | $489 | $296 | N/A | $253 | $400 | $271 |
For Funds with fiscal period ending December 31 | ||||||||
Research Enhanced Real Estate ETF(g) | $559 | $586 | $561 | $559 | N/A | N/A | $561 | $561 |
Amount Deferred(g) | $0 | $0 | $0 | $0 | N/A | N/A | $281 | $281 |
(a) | As of June 30, 2023, the value of Mr. Moffett’s account under the Deferred Compensation Plan was $4,131,083. |
(b) | As of June 30, 2023, the value of Ms. Paglia’s account under the Deferred Compensation Plan was $5,494,958. |
(c) | As of June 30, 2023, the value of Mr. Santomero’s account under the Deferred Compensation Plan was $140,843. Mr. Santomero served as Trustee until December 31, 2021, and stopped receiving compensation from the Funds and the Columbia Funds Complex as of such date. |
(d) | As of June 30, 2023, the value of Ms. Shaw’s account under the Deferred Compensation Plan was $4,427,600. Ms. Shaw served as Trustee until December 31, 2022, and stopped receiving compensation from the Funds and the Columbia Funds Complex as of such date. |
(e) | As of June 30, 2023, the value of Ms. Trunow’s account under the Deferred Compensation Plan was $1,406,228. |
(f) | As of June 30, 2023, the value of Ms. Yeager’s account under the Deferred Compensation Plan was $1,180,863. |
(g) | 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 April 26, 2023 (commencement of Fund operations) to December 31, 2023. |
Statement of Additional Information – August 1, 2023 | 122 |
Statement of Additional Information – August 1, 2023 | 123 |
Statement of Additional Information – August 1, 2023 | 124 |
Statement of Additional Information – August 1, 2023 | 125 |
Total Brokerage Commissions | |||
Fund | 2023 | 2022 | 2021 |
For Funds with fiscal period ending March 31 | |||
EM Core ex-China ETF | $36,484 | $19,373 | $4,397 |
Emerging Markets Consumer ETF | 28,840 | 45,911 | 48,802 |
India Consumer ETF | 12,208 | 24,012 | 12,279 |
Fund | 2022 | 2021 | 2020 |
For Funds with fiscal period ending October 31 | |||
Diversified Fixed Income Allocation ETF | 0 | 0 | 0 |
Statement of Additional Information – August 1, 2023 | 126 |
Total Brokerage Commissions | |||
Fund | 2022 | 2021 | 2020 |
International ESG Equity Income ETF | $4,856 | $2,521 | $2,561 |
Multi-Sector Municipal Income ETF | 0 | 0 | 0 |
Research Enhanced Core ETF | 4,825 | 7,483 | 4,629 |
Research Enhanced Value ETF | 3,313 | 1,145 | 1,417 |
Seligman Semiconductor and Technology ETF | 1,269(a) | N/A | N/A |
Short Duration Bond ETF | 0 | 0(b) | N/A |
U.S. ESG Equity Income ETF | 14,504 | 1,821 | 1,838 |
For Funds with fiscal period ending December 31 | |||
Research Enhanced Real Estate ETF(c) | N/A | N/A | N/A |
(a) | For the period from March 29, 2022 (commencement of operations) to October 31, 2022. |
(b) | For the period from September 21, 2021 (commencement of operations) to October 31, 2021. |
(c) | No historical information is given for the Fund because the Fund commenced operations on April 26, 2023. |
Statement of Additional Information – August 1, 2023 | 127 |
Brokerage directed for research | ||
Fund | Amount of Transactions | Amount of Commissions Imputed or Paid |
For Funds with fiscal period ending March 31 | ||
EM Core ex-China ETF | $0 | $0 |
Emerging Markets Consumer ETF | 0 | 0 |
India Consumer ETF | 0 | 0 |
For Funds with fiscal period ending October 31 | ||
Diversified Fixed Income Allocation ETF | 0 | 0 |
International ESG Equity Income ETF | 0 | 0 |
Multi-Sector Municipal Income ETF | 0 | 0 |
Research Enhanced Core ETF | 0 | 0 |
Research Enhanced Value ETF | 0 | 0 |
Seligman Semiconductor and Technology ETF | 0(a) | 0(a) |
Short Duration Bond ETF | 0 | 0 |
U.S. ESG Equity Income ETF | 0 | 0 |
For Funds with fiscal period ending December 31 | ||
Research Enhanced Real Estate ETF(b) | N/A | N/A |
(a) | For the period from March 29, 2022 (commencement of operations) to October 31, 2022. |
(b) | No historical information is given for the Fund because the Fund commenced operations on April 26, 2023. |
Fund | Issuer | Value of securities owned at end of fiscal period |
For Funds with fiscal period ending March 31, 2023 | ||
EM Core ex-China ETF | None | N/A |
Emerging Markets Consumer ETF | None | N/A |
India Consumer ETF | None | N/A |
Statement of Additional Information – August 1, 2023 | 128 |
Fund | Issuer | Value of securities owned at end of fiscal period |
For Funds with fiscal period ending October 31, 2022 | ||
Diversified Fixed Income Allocation ETF | Bank of America Corp. | $571,451 |
Barclays PLC | $355,232 | |
HSBC Securities Inc. | $397,450 | |
Morgan Stanley | $880,732 | |
Nomura Holdings Inc. | $385,003 | |
International ESG Equity Income ETF | UBS Group AG | $141,106 |
Multi-Sector Municipal Income ETF | None | N/A |
Research Enhanced Core ETF | Morgan Stanley | $858,183 |
Virtu Financial, Inc. | $17,770 | |
Wells Fargo & Co. | $1,403,799 | |
Research Enhanced Value ETF | Morgan Stanley | $401,893 |
Virtu Financial, Inc. | $8,281 | |
Wells Fargo & Co. | $657,059 | |
Seligman Semiconductor and Technology ETF | None | N/A |
Short Duration Bond ETF | Bank of America Corp. | $114,916 |
Barclays Plc | $185,735 | |
Citigroup, Inc. | $187,269 | |
Goldman Sachs Group, Inc. (The) | $80,736 | |
HSBC Securities Inc. | $190,010 | |
Morgan Stanley | $118,074 | |
U.S. ESG Equity Income ETF | None | N/A |
For Funds with fiscal period ending December 31, 2022 | ||
Research Enhanced Real Estate ETF(a) | N/A | N/A |
(a) | No historical information is given for the Fund because the Fund commenced operations on April 26, 2023. |
Statement of Additional Information – August 1, 2023 | 129 |
Statement of Additional Information – August 1, 2023 | 130 |
Statement of Additional Information – August 1, 2023 | 131 |
Identity of Recipient | Conditions/restrictions on use of information | Frequency of Disclosure | ||
Recipients under arrangements with the Funds or Investment Manager: | ||||
Abel Noser | Used for evaluating and assessing trading activity, execution and practices. | Quarterly | ||
Allvue Systems Company | Used for front office trading, bank loan analytics, and compliance. | Daily | ||
Axioma Inc. | Used as a hosted risk analytics platform designed for research, portfolio holdings, investment oversight and strategy development. | Daily | ||
Bank of New York Mellon | Used as the accounting system of record for ETFs. | Daily | ||
BlackRock, Inc. | Used for front office trading and analytics, back office settlements, portfolio accounting and reconciliations, collateral management, portfolio risk oversight, compliance mandate monitoring and portfolio performance calculations. | Daily | ||
Bloomberg Finance L.P. | Used for portfolio analytics, statistical analysis and independent research. Used for executing cleared swaps electronically. Used for executing fixed income trades. Used for evaluating and assessing trading activity, execution and practices in respect of market abuse regulatory requirements. | Daily | ||
Bolger, Inc. | Used for commercial printing. | As Needed | ||
Bond Connect Company Limited | Used for executing Chinese fixed income trades. | Daily | ||
Boston Investors Communications Group, LLC | Used for writing services that require disclosing portfolio holdings in advance of their dissemination to the general public. | As Needed | ||
Capital Markets Services Group | Used for intraday post-trade information when equity exposures (either via futures or options trades) are modified beyond certain limits for certain Funds. | As Needed | ||
Castine LLC | Used for facilitating the evaluation of commission rates and providing flexible commission reporting. | Daily | ||
Catapult ME, Inc. | Used for commercial printing. | As Needed | ||
Citigroup, Inc. | Used for mortgage decision support. | Daily |
Statement of Additional Information – August 1, 2023 | 132 |
Identity of Recipient | Conditions/restrictions on use of information | Frequency of Disclosure | ||
Compliance Solutions Strategies LLC | Used for reporting returns and analytics to client facing materials. Used for data storage and as a transformation solution to support Enhanced Client Regulatory Reporting and Fund Detail reporting. Used as a form reporting solution to support the Alternative Investment Fund Managers Directive and Money Market Funds Regulation quarterly reporting obligations. Used as a data dissemination service to support the dissemination of industry standard templates to entities authorized by Columbia Threadneedle Investments. | Monthly or Quarterly | ||
Deloitte Haskins & Sells, LLP | Used for calculating foreign capital gains tax accruals irrespective of the tax lot relief method. | Weekly | ||
Donnelley Financial Solutions | Used for providing EDGAR filing and typesetting services, and printing of prospectuses, factsheets, annual and semi-annual reports. | As Needed | ||
DS Graphics, Inc. | Used for printing of prospectuses, factsheets, annual and semi-annual reports. | As Needed | ||
Depository Trust & Clearing Corporation | Used for providing trade allocation and acceptance services. | Daily | ||
Elevation Exhibits & Events | Used for trade show exhibits. | As Needed | ||
Equifax, Inc. | Used for ensuring Columbia Management does not violate the Office of Foreign Assets Control sanction requirements. | Daily | ||
Ernst & Young, LLP | Used for analyzing passive foreign investment company investments. | Monthly | ||
FactSet Research Systems, Inc. | Used for calculating portfolio performance attribution, portfolio analytics, data for fundamental research, and general market news and analysis. Used for executing equity and convertible trades. | Daily | ||
Fidelity National Information Services, Inc. | Used as a portfolio accounting system. | Daily | ||
Harte-Hanks, Inc. | Used for printing of prospectuses, factsheets, annual and semi-annual reports. | As Needed | ||
ICE Data Indices, LLC | Used for calculation and dissemination of ETF IIVs. | Daily | ||
IHS Markit, Ltd. | Used as an asset database for analytics and investor reporting. | As Needed | ||
Institutional Shareholder Services Inc. | Used for proxy voting administration and research on proxy matters. | Daily | ||
Intex Solutions Inc. | Used for providing mortgage analytics. | As Needed | ||
Investment Company Institute | Disclosure of Form N-PORT data. | As Needed | ||
Investortools, Inc. | Used for municipal bond analytics, research, and decision support. | As Needed |
Statement of Additional Information – August 1, 2023 | 133 |
Identity of Recipient | Conditions/restrictions on use of information | Frequency of Disclosure | ||
JDP Marketing Services | Used for writing Columbia Funds shareholder reports, quarterly fund commentaries and communications, including shareholder letters and management’s discussion of Columbia Funds’ performance. | As Needed | ||
John Roberts, Inc. | Used for commercial printing. | As Needed | ||
Kessler Topaz Meltzer & Check, LLP | Used for monitoring eligibility to participate in global litigation matters. | Monthly | ||
Kynex, Inc. | Used for providing portfolio attribution reports for Convertible Securities Fund. Used for portfolio analytics. | Daily | ||
MarketAxess | Used for executing fixed income trades. | Daily | ||
Merrill Corporation | Used for printing of prospectuses, factsheets, annual and semi-annual reports. | As Needed | ||
Morningstar Investment Services, LLC | Used for independent research and ranking of funds. Used for statistical analysis. | As Needed | ||
R. R. Donnelley & Sons Co. | Used for printing of prospectuses, factsheets, annual and semi-annual reports. Used for commercial printing. | As Needed | ||
Refinitiv | Used for executing foreign currency exchange orders. Used for executing fixed income trades. | Daily | ||
RegEd, Inc. | Used for reviewing external and certain internal communications prior to dissemination. | Daily | ||
SIX Group Services Ltd. | Used as a trade repository authorized by the Swiss regulator to submit holdings supporting the SIX Financial Market Infrastructure Act derivative reporting requirement. | Daily | ||
Sky Road LLC | Used for front office bank loan portfolio management and trading optimization. | Daily | ||
Sustainalytics US, Inc. | Used for: 1) validating the social impact score the Columbia Management analysts assign to each municipal investment and 2) providing ESG risk ratings and other related information for each corporate bond issuer. | Quarterly | ||
S.W.I.F.T. Scrl. | Used for sending trade messages via SWIFT to custodian. | Daily | ||
Taylor Impressions | Used for commercial printing. | As Needed | ||
TC ICAP | Used for executing equity and fixed income trades. | Daily | ||
Thomson Reuters Corp. | Used for statistical analysis. | As Needed | ||
Trepp, Inc. | Used for insights about commercial mortgage-backed securities mortgage bonds. | Daily | ||
Trumid Holdings, LLC | Used for executing fixed income trades. | Daily | ||
Virtu Financial | Used for executing equity trades. | Daily | ||
Visions, Inc. | Used for commercial printing. | As Needed | ||
Wilshire Associates, Inc. | Used for providing performance attribution reporting. | Daily |
Statement of Additional Information – August 1, 2023 | 134 |
Statement of Additional Information – August 1, 2023 | 135 |
Statement of Additional Information – August 1, 2023 | 136 |
Statement of Additional Information – August 1, 2023 | 137 |
Statement of Additional Information – August 1, 2023 | 138 |
Statement of Additional Information – August 1, 2023 | 139 |
Statement of Additional Information – August 1, 2023 | 140 |
Statement of Additional Information – August 1, 2023 | 141 |
Statement of Additional Information – August 1, 2023 | 142 |
Statement of Additional Information – August 1, 2023 | 143 |
Fund | Standard Transaction Fee |
Maximum Transaction Fee |
Variable Charge |
Diversified Fixed Income Allocation ETF | $500 | $2,000 | Up to 2% |
EM Core ex-China ETF | $2,000 | $2,000 | None |
Emerging Markets Consumer ETF | $1,000 | $1,000 | None |
India Consumer ETF | $1,000 | $1,000 | Fixed $425 (Redemptions Only) |
International ESG Equity Income ETF | $2,000 | $8,000 | None |
Multi-Sector Municipal Income ETF | $500 | $2,000 | Up to 2% |
Research Enhanced Core ETF | $900 | $2,000 | None |
Research Enhanced Real Estate ETF | $500 | $2,000 | None |
Research Enhanced Value ETF | $650 | $2,000 | None |
Seligman Semiconductor and Technology ETF | $500 | $2,000 | None |
Short Duration Bond ETF | $500 | $2,000 | Up to 2% |
U.S. ESG Equity Income ETF | $500 | $2,000 | None |
Statement of Additional Information – August 1, 2023 | 144 |
Statement of Additional Information – August 1, 2023 | 145 |
Statement of Additional Information – August 1, 2023 | 146 |
Statement of Additional Information – August 1, 2023 | 147 |
Statement of Additional Information – August 1, 2023 | 148 |
Statement of Additional Information – August 1, 2023 | 149 |
Statement of Additional Information – August 1, 2023 | 150 |
Statement of Additional Information – August 1, 2023 | 151 |
Fund | Total Capital Loss Carryovers |
Amount not Expiring | |
Short-term | Long-term | ||
For Funds with fiscal period ending March 31 | |||
EM Core ex-China ETF | $4,539,920 | $3,222,020 | $1,317,900 |
Emerging Markets Consumer ETF | $222,280,563 | $5,070,768 | $217,209,795 |
For Funds with fiscal period ending October 31 | |||
Diversified Fixed Income Allocation ETF | $67,780,317 | $48,764,474 | $19,015,843 |
International ESG Equity Income ETF | $1,812,813 | $717,900 | $1,094,913 |
Multi-Sector Municipal Income ETF | $748,184 | $594,885 | $153,299 |
Research Enhanced Core ETF | $54,769 | $54,769 | $0 |
Research Enhanced Value ETF | $1,468,205 | $1,343,366 | $124,839 |
Seligman Semiconductor and Technology ETF | $127,556 | $127,556 | $0 |
Short Duration Bond ETF | $1,459,762 | $1,446,692 | $13,070 |
U.S. ESG Equity Income ETF | $1,582,778 | $1,582,778 | $0 |
Statement of Additional Information – August 1, 2023 | 152 |
Statement of Additional Information – August 1, 2023 | 153 |
Statement of Additional Information – August 1, 2023 | 154 |
Statement of Additional Information – August 1, 2023 | 155 |
Statement of Additional Information – August 1, 2023 | 156 |
Statement of Additional Information – August 1, 2023 | 157 |
Statement of Additional Information – August 1, 2023 | 158 |
Statement of Additional Information – August 1, 2023 | 159 |
Statement of Additional Information – August 1, 2023 | 160 |
Statement of Additional Information – August 1, 2023 | 161 |
Statement of Additional Information – August 1, 2023 | 162 |
Statement of Additional Information – August 1, 2023 | 163 |
Name and Address | Percentage |
NATIONAL FINANCIAL SERVICES LLC 499 WASHINGTON BLVD. JERSEY CITY, NJ 07310 |
19.30% |
CHARLES SCHWAB & CO., INC. 2423 E LINCOLN DRIVE PHOENIX, AZ 85016-1215 |
27.31% |
TD AMERITRADE CLEARING, INC. 4700 ALLIANCE GATEWAY FREEWAY FORT WORTH, TX 76177 |
12.96% |
MORGAN STANLEY SMITH BARNEY LLC 1300 THAMES ST 6TH FLOOR BALTIMORE, MD 21231 |
7.69% |
Name and Address | Percentage |
MERRILL LYNCH, PIERCE, FENNER & SMITH INCORPORATED 4804 DEERLAKE DR. E. JACKSONVILLE FL, 32246 |
15.21% |
MORGAN STANLEY SMITH BARNEY LLC 1300 THAMES ST 6TH FLOOR BALTIMORE, MD 21231 |
19.51% |
CHARLES SCHWAB & CO., INC. 2423 E LINCOLN DRIVE PHOENIX, AZ 85016-1215 |
8.42% |
UBS FINANCIAL SERVICES INC. 1000 HARBOR BLVD WEEHAWKEN, NJ 07086 |
14.26% |
BANK OF AMERICA, NA/GWIM TRUST OPERA 1201 MAIN STREET 9TH FLOOR DALLAS, TX 75202 |
5.83% |
NATIONAL FINANCIAL SERVICES LLC 499 WASHINGTON BLVD. JERSEY CITY, NJ 07310 |
8.00% |
Statement of Additional Information – August 1, 2023 | 164 |
Name and Address | Percentage |
CHARLES SCHWAB & CO., INC. 2423 E LINCOLN DRIVE PHOENIX, AZ 85016-1215 |
27.54% |
NATIONAL FINANCIAL SERVICES LLC 499 WASHINGTON BLVD. JERSEY CITY, NJ 07310 |
9.16% |
MORGAN STANLEY SMITH BARNEY LLC 1300 THAMES ST 6TH FLOOR BALTIMORE, MD 21231 |
17.05% |
PERSHING LLC ONE PERSHING PLAZA JERSEY CITY, NJ 07399 |
5.21% |
AMERICAN ENTERPRISE INVESTMENT SERVICES 901 3RD AVE SOUTH MINNEAPOLIS, MN 55474 |
5.69% |
Name and Address | Percentage |
JPMORGAN CHASE BANK, NATIONAL ASSOCIATION 14201 DALLAS PKWY FLOOR 12 - CORP ACTIONS DEPT DALLAS, TX 75254 |
26.86% |
AMERICAN ENTERPRISE INVESTMENT SERVICES 901 3RD AVE SOUTH MINNEAPOLIS, MN 55474 |
21.99% |
CHARLES SCHWAB & CO., INC. 2423 E LINCOLN DRIVE PHOENIX, AZ 85016-1215 |
13.63% |
TD AMERITRADE CLEARING, INC. 4700 ALLIANCE GATEWAY FREEWAY FORT WORTH, TX 76177 |
10.25% |
Name and Address | Percentage |
LPL FINANCIAL CORPORATION 9785 TOWNE CENTRE DRIVE SAN DIEGO, CA 92121-1968 |
23.37% |
MERRILL LYNCH, PIERCE, FENNER & SMITH 4804 DEAR LAKE DR E JACKSONVILLE, FL 32246 |
15.66% |
J.P. MORGAN CLEARING CORP. CORPORATE ACTIONS DEPT 14201 DALLAS PARKWAY, 12TH FL DALLAS, TX 75254 |
13.36% |
NATIONAL FINANCIAL SERVICES LLC 499 WASHINGTON BLVD. JERSEY CITY, NJ 07310 |
10.99% |
CHARLES SCHWAB & CO., INC. 2423 E LINCOLN DRIVE PHOENIX, AZ 85016-1215 |
10.80% |
Statement of Additional Information – August 1, 2023 | 165 |
Name and Address | Percentage |
GOLDMAN, SACHS & CO. 30 HUDSON STREET PROXY DEPARTMENT JERSEY CITY, NJ 07302 |
7.98% |
Name and Address | Percentage |
AMERICAN ENTERPRISE INVESTMENT SERVICES 901 3RD AVE SOUTH MINNEAPOLIS, MN 55474 |
46.12% |
CHARLES SCHWAB & CO., INC. 2423 E LINCOLN DRIVE PHOENIX, AZ 85016-1215 |
9.50% |
FIRST CLEARING, LLC 2801 MARKET STREET ST. LOUIS, MO 63103 |
8.46% |
NATIONAL FINANCIAL SERVICES LLC 499 WASHINGTON BLVD. JERSEY CITY, NJ 07310 |
7.43% |
MORGAN STANLEY SMITH BARNEY LLC 1300 THAMES ST 6TH FLOOR BALTIMORE, MD 21231 |
6.80% |
Name and Address | Percentage |
JPMORGAN CHASE BANK, NATIONAL ASSOCIATION 14201 DALLAS PKWY FLOOR 12 - CORP ACTIONS DEPT DALLAS, TX 75254 |
45.06% |
MERRILL LYNCH, PIERCE, FENNER & SMITH INCORPORATED 4804 DEERLAKE DR. E. JACKSONVILLE FL, 32246 |
19.59% |
TD AMERITRADE CLEARING, INC. 4700 ALLIANCE GATEWAY FREEWAY FORT WORTH, TX 76177 |
13.51% |
FIRST CLEARING, LLC 2801 MARKET STREET ST. LOUIS, MO 63103 |
6.47% |
ROBERTA GREEN 880 CARILION PARKWAY ST. PETERSBURG, FL 33716 |
5.76% |
Name and Address | Percentage |
NATIONAL FINANCIAL SERVICES LLC 499 WASHINGTON BLVD. JERSEY CITY, NJ 07310 |
45.36% |
CHARLES SCHWAB & CO., INC. 2423 E LINCOLN DRIVE PHOENIX, AZ 85016-1215 |
15.40% |
TD AMERITRADE CLEARING, INC. 4700 ALLIANCE GATEWAY FREEWAY FORT WORTH, TX 76177 |
10.03% |
Statement of Additional Information – August 1, 2023 | 166 |
Name and Address | Percentage |
MERRILL LYNCH, PIERCE, FENNER & SMITH 4804 DEAR LAKE DR E JACKSONVILLE, FL 32246 |
7.95% |
Name and Address | Percentage |
JPMORGAN CHASE BANK, NATIONAL ASSOCIATION 14201 DALLAS PKWY FLOOR 12 - CORP ACTIONS DEPT DALLAS, TX 75254 |
69.28% |
CHARLES SCHWAB & CO., INC. 2423 E LINCOLN DRIVE PHOENIX, AZ 85016-1215 |
19.89% |
Name and Address | Percentage |
JPMORGAN CHASE BANK, NATIONAL ASSOCIATION 14201 DALLAS PKWY FLOOR 12 - CORP ACTIONS DEPT DALLAS, TX 75254 |
95.79% |
Name and Address | Percentage |
SEI PRIVATE TRUST COMPANY ONE FREEDOM VALLEY DRIVE OAKS, PA 19456 |
40.45% |
TD AMERITRADE CLEARING, INC. 4700 ALLIANCE GATEWAY FREEWAY FORT WORTH, TX 76177 |
17.85% |
CHARLES SCHWAB & CO., INC. 2423 E LINCOLN DRIVE PHOENIX, AZ 85016-1215 |
15.37% |
NATIONAL FINANCIAL SERVICES LLC 499 WASHINGTON BLVD. JERSEY CITY, NJ 07310 |
9.51% |
LPL FINANCIAL CORPORATION 9785 TOWNE CENTRE DRIVE SAN DIEGO, CA 92121-1968 |
8.85% |
Statement of Additional Information – August 1, 2023 | 167 |
Statement of Additional Information – August 1, 2023 | 168 |
Statement of Additional Information – August 1, 2023 | 169 |
Statement of Additional Information – August 1, 2023 | 170 |
Statement of Additional Information – August 1, 2023 | 171 |
Statement of Additional Information – August 1, 2023 | A-1 |
Statement of Additional Information – August 1, 2023 | A-2 |
Statement of Additional Information – August 1, 2023 | A-3 |
Long-Term Rating | Short-Term Rating |
AAA | F1+ |
AA+ | F1+ |
AA | F1+ |
AA– | F1+ |
A+ | F1 or F1+ |
A | F1 or F1+ |
A– | F2 or F1 |
BBB+ | F2 or F1 |
BBB | F3 or F2 |
BBB– | F3 |
BB+ | B |
BB | B |
BB– | B |
B+ | B |
B | B |
B– | B |
CCC+ / CCC / CCC– | C |
CC | C |
C | C |
RD / D | RD / D |
Statement of Additional Information – August 1, 2023 | A-4 |
Statement of Additional Information – August 1, 2023 | A-5 |
■ | There is a missed interest payment, principal payment, or preferred dividend payment, as applicable, on a rated obligation which is unlikely to be recovered. |
■ | The rated entity files for protection from creditors, is placed into receivership, or is closed by regulators such that a missed payment is likely to result. |
■ | The rated entity seeks and completes a distressed exchange, where existing rated obligations are replaced by new obligations with a diminished economic value. |
Statement of Additional Information – August 1, 2023 | A-6 |
■ | There is a missed interest payment, principal payment, or preferred dividend payment, as applicable, on a rated obligation which is unlikely to be recovered. |
■ | The rated entity files for protection from creditors, is placed into receivership, or is closed by regulators such that a missed payment is likely to result. |
■ | The rated entity seeks and completes a distressed exchange, where existing rated obligations are replaced by new obligations with a diminished economic value. |
Long-Term Rating | Short-Term Rating |
AAA AA+ AA AA– |
K1+ |
A+ | K1+ or K1 |
A | K1 |
A– | K1 or K2 |
BBB+ | K2 |
BBB | K2 or K3 |
BBB– | K3 |
BB+ BB BB– B+ B B– |
B |
CCC+ CCC CCC– CC C |
C |
D | D |
Statement of Additional Information – August 1, 2023 | A-7 |
1 Overview of key principles and approach | B-1 |
2 Role, structure and operation of boards | B-2 |
3 Board committees | B-5 |
4 Compensation | B-6 |
5 Audit, risk and control | B-7 |
6 Shareholder rights | B-8 |
7 Reporting | B-9 |
8 Social and environmental factors | B-11 |
9 Voting matters | B-13 |
■ | An empowered and effective board and management; |
■ | Appropriate checks and balances in company management structures; |
■ | Effective systems of internal control and risk management covering all material risks, including environmental, social and corporate governance (ESG) issues; |
■ | A commitment to promoting throughout the company a culture of transparency and accountability that is grounded in sound business ethics; |
■ | Compensation policies that reward the creation of long-term shareholder value through the achievement of corporate objectives; and |
■ | A commitment to protecting the rights and interests of all. |
Statement of Additional Information – August 1, 2023 | B-1 |
■ | Roles and independence; |
■ | Competence, objectivity and refreshment; |
■ | Effective functioning of boards; and |
■ | Communication and accountability to shareholders. |
Statement of Additional Information – August 1, 2023 | B-2 |
■ | Not be former executives of the company. We do not support the idea of a cooling off period for former executives, although in the case of individuals who have served in a junior capacity, a hiatus may be appropriate; |
■ | Not have close family ties with the company’s advisers, directors or senior employees; |
■ | Not serve as a board committee chair if they have served on the board for a period of time that may hinder their independence of thought; |
■ | Not hold cross-directorships or have significant links with other directors (see “Interlocking boards” below); |
■ | Not be major shareholders or representatives of any special interest group, including government representatives in cases of state ownership or representatives of affiliated companies; |
■ | Have no significant commercial involvement with the company as professional advisers, major suppliers or customers; |
■ | Not be entitled to performance-related pay, stock options, pensions, or benefit from large donations to charitable causes of their choice; |
■ | Not normally hold other directorships in companies in a closely-related industry so as to avoid potential conflicts of interest. |
Statement of Additional Information – August 1, 2023 | B-3 |
Statement of Additional Information – August 1, 2023 | B-4 |
Statement of Additional Information – August 1, 2023 | B-5 |
Statement of Additional Information – August 1, 2023 | B-6 |
Statement of Additional Information – August 1, 2023 | B-7 |
Statement of Additional Information – August 1, 2023 | B-8 |
■ | Comprehensive, covering the strategic direction of the business and all material issues, including any significant changes in the regulatory context and key ESG issues; |
■ | Balanced, with even-handed treatment of both good and bad aspects of a company; |
■ | Transparent, with narrative text that leverages plain language, and accounting notes that provide investors with a full understanding of the circumstances underlying the reported figures; |
■ | Underpinned by Key Performance Indicators (KPIs) that drive business performance, are comparable over time, and are supported by detailed information on how they are calculated; |
■ | Consistent and joined-up with other company reporting, including the compensation policy and corporate social responsibility or sustainability reporting. |
Statement of Additional Information – August 1, 2023 | B-9 |
Statement of Additional Information – August 1, 2023 | B-10 |
Statement of Additional Information – August 1, 2023 | B-11 |
Statement of Additional Information – August 1, 2023 | B-12 |
Statement of Additional Information – August 1, 2023 | B-13 |
i | The following guidelines do not apply to Pyrford International Ltd. |
ii | Such interlocking relationships can raise concerns when there is an imbalance of power between the two directors. |
iii | https://www.fsb-tcfd.org/publications/final-recommendations-report/. |
iv | UK Modern Slavery Act, OECD Guidelines for Multinational Enterprises. |
v | EU corporate mandatory human rights due diligence, Swiss mandatory human rights DD (focus weapons), German Supply Chain Code |
vi | See vote disclosure webpage here. |
Statement of Additional Information – August 1, 2023 | B-14 |
Exhibit Number |
Exhibit Description | Filed Herewith or Incorporated by Reference |
Information About the Filing that Includes the Document Incorporated by Reference | ||||
Registrant that Made the Filing |
File No. of Such Registrant |
Type of Filing |
Exhibit of Document in that Filing |
Filing Date | |||
(a) | Third Amended and Restated Agreement and Declaration of Trust | Incorporated by Reference | Columbia ETF Trust II | 333-155709 | Post-Effective Amendment #105 on Form N-1A | (a) | 7/28/2017 |
(a)(1) | Amendment No. 1, dated April 20, 2017, to the Third Amended and Restated Agreement and Declaration of Trust | Incorporated by Reference | Columbia ETF Trust II | 333-155709 | Post-Effective Amendment #105 on Form N-1A | (a)(1) | 7/28/2017 |
(a)(2) | Amendment No. 2, dated November 14, 2017, to the Third Amended and Restated Agreement and Declaration of Trust | Incorporated by Reference | Columbia ETF Trust II | 333-155709 | Post-Effective Amendment #107 on Form N-1A | (a)(2) | 7/26/2018 |
(a)(3) | Amendment No. 3, dated June 19, 2019, to the Third Amended and Restated Agreement and Declaration of Trust | Incorporated by Reference | Columbia ETF Trust II | 333-155709 | Post-Effective Amendment #109 on Form N-1A | (a)(3) | 7/26/2019 |
(a)(4) | Amendment No. 4, effective October 9, 2020, to the Third Amended and Restated Agreement and Declaration of Trust | Incorporated by Reference | Columbia ETF Trust II | 333-155709 | Post-Effective Amendment #113 on Form N-1A | (a)(4) | 7/28/2021 |
(b) | Amended and Restated By-laws of the Registrant as of October 2, 2020 | Incorporated by Reference | Columbia ETF Trust II | 333-155709 | Post-Effective Amendment #113 on Form N-1A | (b) | 7/28/2021 |
(c) | Stock Certificate: Not Applicable |
||||||
(d)(1) | Investment Management Services Agreement, dated September 1, 2016, between the Registrant and Columbia Management Investment Advisers, LLC | Incorporated by Reference | Columbia ETF Trust II | 333-155709 | Post-Effective Amendment #105 on Form N-1A | (d)(1) | 7/28/2017 |
(d)(1)(i) | Schedule A, effective August 1, 2021, to the Investment Management Services Agreement between Columbia Management Investment Advisers, LLC and the Registrant, dated September 1, 2016 | Incorporated by Reference | Columbia ETF Trust II | 333-155709 | Post-Effective Amendment #113 on Form N-1A | (d)(1)(i) | 7/28/2021 |
(d)(2) | Investment Management Agreement, dated September 1, 2016, between Columbia Management Investment Advisers, LLC and EG Shares India Consumer Mauritius, a subsidiary of Columbia India Consumer ETF (formerly known as EGShares India Consumer ETF) | Incorporated by Reference | Columbia ETF Trust II | 333-155709 | Post-Effective Amendment #105 on Form N-1A | (d)(4) | 7/28/2017 |
(e)(1) | Distribution Agreement, dated April 16, 2018, between the Registrant and ALPS Distributors, Inc. | Incorporated by Reference | Columbia ETF Trust II | 333-155709 | Post-Effective Amendment #107 on Form N-1A | (e)(1) | 7/26/2018 |
(e)(1)(i) | Amendment No. 1, dated June 21, 2019, to the Distribution Agreement, dated April 16, 2018, between the Registrant and ALPS Distributors, Inc. | Incorporated by Reference | Columbia ETF Trust II | 333-155709 | Post-Effective Amendment #109 on Form N-1A | (e)(1)(i) | 7/26/2019 |
(e)(2) | Distribution Agreement, dated September 14, 2016, between the Registrant and ALPS Distributors, Inc. | Incorporated by Reference | Columbia ETF Trust II | 333-155709 | Post-Effective Amendment #105 on Form N-1A | (e)(1) | 7/28/2017 |
Exhibit Number |
Exhibit Description | Filed Herewith or Incorporated by Reference |
Information About the Filing that Includes the Document Incorporated by Reference | ||||
Registrant that Made the Filing |
File No. of Such Registrant |
Type of Filing |
Exhibit of Document in that Filing |
Filing Date | |||
(e)(2)(i) | Amendment No. 1, dated October 19, 2016, to the Distribution Agreement, dated September 14, 2016, between the Registrant and ALPS Distributors, Inc. | Incorporated by Reference | Columbia ETF Trust II | 333-155709 | Post-Effective Amendment #105 on Form N-1A | (e)(2) | 7/28/2017 |
(f) | Deferred Compensation Plan, adopted as of December 31, 2020 | Incorporated by Reference | Columbia Funds Series Trust II | 333-131683 | Post-Effective Amendment #218 on Form N-1A | (f) | 2/25/2021 |
(g)(1) | Custody Agreement, dated January 18, 2019, between The Bank of New York Mellon, Columbia ETF Trust I and the Registrant | Incorporated by Reference | Columbia ETF Trust I | 333-209996 | Post-Effective Amendment #12 on Form N-1A | (g)(1) | 2/27/2019 |
(g)(1)(i) | Amendment, dated February 28, 2019, to Custody Agreement, dated January 18, 2019, between The Bank of New York Mellon, Columbia ETF Trust I and the Registrant | Incorporated by Reference | Columbia ETF Trust I | 333-209996 | Post-Effective Amendment #14 on Form N-1A | (g)(1)(i) | 5/15/2019 |
(g)(1)(ii) | Third Amendment, dated July 17, 2019, to Custody Agreement, dated January 18, 2019, between The Bank of New York Mellon, Columbia ETF Trust I and the Registrant | Incorporated by Reference | Columbia ETF Trust II | 333-155709 | Post-Effective Amendment #109 on Form N-1A | (g)(1)(ii) | 7/26/2019 |
(g)(1)(iii) | Fourth Amendment, dated March 25, 2020, to Custody Agreement, dated January 18, 2019, between The Bank of New York Mellon, Columbia ETF Trust I and the Registrant | Incorporated by Reference | Columbia ETF Trust II | 333-155709 | Post-Effective Amendment #111 on Form N-1A | (g)(1)(iii) | 7/28/2020 |
(g)(1)(iv) | Fifth Amendment, dated August 20, 2021, to Custody Agreement, dated January 18, 2019, between The Bank of New York Mellon, Columbia ETF Trust I and the Registrant | Incorporated by Reference | Columbia ETF Trust I | 333-209996 | Post-Effective Amendment #23 on Form N-1A | (g)(1)(iv) | 9/17/2021 |
(g)(1)(v) | Sixth Amendment, dated March 11, 2022, to Custody Agreement, dated January 18, 2019, between The Bank of New York Mellon, Columbia ETF Trust I and the Registrant | Incorporated by Reference | Columbia ETF Trust I | 333-209996 | Post-Effective Amendment #27 on Form N-1A | (g)(1)(v) | 3/18/2022 |
(g)(1)(vi) | Seventh Amendment, dated March 15, 2023, to Custody Agreement, dated January 18, 2019, between The Bank of New York Mellon, Columbia ETF Trust I and the Registrant | Filed Herewith | Columbia ETF Trust II | 333-155709 | Post-Effective Amendment #115 on Form N-1A | (g)(1)(vi) | 7/26/2023 |
(g)(2) | Foreign Custody Manager Agreement, dated January 18, 2019, between The Bank of New York Mellon, Columbia ETF Trust I and the Registrant | Incorporated by Reference | Columbia ETF Trust I | 333-209996 | Post-Effective Amendment #12 on Form N-1A | (g)(2) | 2/27/2019 |
(g)(2)(i) | Third Amendment, dated July 17, 2019, to Foreign Custody Agreement, dated January 18, 2019, between The Bank of New York Mellon, Columbia ETF Trust I and the Registrant | Incorporated by Reference | Columbia ETF Trust II | 333-155709 | Post-Effective Amendment #109 on Form N-1A | (g)(2)(i) | 7/26/2019 |
(g)(2)(ii) | Fourth Amendment, dated March 25, 2020, to Foreign Custody Agreement, dated January 18, 2019, between The Bank of New York Mellon, Columbia ETF Trust I and the Registrant | Incorporated by Reference | Columbia ETF Trust II | 333-155709 | Post-Effective Amendment #111 on Form N-1A | (g)(2)(ii) | 7/28/2020 |
Exhibit Number |
Exhibit Description | Filed Herewith or Incorporated by Reference |
Information About the Filing that Includes the Document Incorporated by Reference | ||||
Registrant that Made the Filing |
File No. of Such Registrant |
Type of Filing |
Exhibit of Document in that Filing |
Filing Date | |||
(h)(8) | Fee Waiver Agreement, effective August 1, 2023 | Filed Herewith | Columbia ETF Trust II | 333-155709 | Post-Effective Amendment #115 on Form N-1A | (h)(8) | 7/26/2023 |
(h)(9)(i) | Fund of Funds Investment Management Agreement, dated as of June 24, 2022, between E-Valuator Funds Trust and Columbia ETF Trust I and Columbia ETF Trust II | Incorporated by Reference | Columbia ETF Trust II | 333-155709 | Post-Effective Amendment #114 on Form N-1A | (h)(9) | 7/27/2022 |
(h)(9)(ii) | Fund of Funds Investment Management Agreement, dated as of June 23, 2023, between The Lazard Funds, Inc. and Columbia ETF Trust I and Columbia ETF Trust II | Filed Herewith | Columbia ETF Trust II | 333-155709 | Post-Effective Amendment #115 on Form N-1A | (h)(9(ii)) | 7/26/2023 |
(i) | Opinion of counsel: Not Applicable. | ||||||
(j) | Consent of Independent Registered Public Accounting Firm | Filed Herewith | Columbia ETF Trust II | 333-155709 | Post-Effective Amendment #115 on Form N-1A | (j) | 7/26/2023 |
(k) | Omitted Financial Statements: Not Applicable | ||||||
(l) | Letter of Understanding Relating to Initial Capital | Incorporated by Reference | Columbia ETF Trust II | 333-155709 | Pre-Effective Amendment #2 on Form N-1A | (l) | 5/7/2009 |
(m) | Distribution and Service Plan, as revised on September 14, 2016 | Incorporated by Reference | Columbia ETF Trust II | 333-155709 | Post-Effective Amendment #105 on Form N-1A | (m) | 7/28/2017 |
(n) | Not Applicable | ||||||
(o) | Reserved. | ||||||
(p)(1) | Code of Ethics adopted under Rule 17j-1 for Registrant, effective March 2019 | Incorporated by Reference | Columbia Funds Variable Series Trust II | 333-146374 | Post-Effective Amendment #68 on Form N-1A | (p)(1) | 4/26/2019 |
(p)(2) | Columbia Threadneedle Investments Global Personal Account Dealing and Code of Ethics, effective November 22, 2022 | Incorporated by Reference | Columbia ETF Trust I | 333-209996 | Post-Effective Amendment #29 on Form N-1A | (p)(2) | 12/16/2022 |
Columbia Management, a wholly owned subsidiary of Ameriprise Financial, Inc., performs investment advisory services for the Registrant and certain other clients. Information regarding the business of Columbia Management and the directors and principal officers of Columbia Management is also included in the Form ADV filed by Columbia Management with the SEC pursuant to the Investment Advisers Act of 1940 (File No. 801-25943), which is incorporated herein by reference. In addition to their position with Columbia Management, certain directors and officers of Columbia Management also hold various positions with, and engage in business for, Ameriprise Financial, Inc. or its other subsidiaries. |
Name and Principal Business Address* |
Position and Offices with Principal Underwriter |
Positions and Offices with Registrant | ||
Stephen J. Kyllo | President, Chief Operating Officer, Director, Chief Compliance Officer | None | ||
Patrick J. Pedonti** | Vice President, Treasurer and Assistant Secretary | None | ||
Eric T. Parsons | Vice President, Controller and Assistant Treasurer | None | ||
Jason White*** | Secretary | None | ||
Richard C. Noyes | Senior Vice President, General Counsel, Assistant Secretary | None | ||
Liza Orr | Vice President, Senior Counsel | None | ||
Jed Stahl | Vice President, Senior Counsel | None | ||
Terence Digan | Vice President | None | ||
James Stegall | Vice President | None | ||
Gary Ross | Senior Vice President | None | ||
Hilary Quinn | Vice President | None |
(c) | Not Applicable. |
■ | Registrant, 290 Congress Street, Boston, MA, 02210; |
■ | Registrant’s investment adviser, Columbia Management Investment Advisers, LLC, 290 Congress Street, Boston, MA 02210; |
■ | Registrant’s principal underwriter, ALPS Distributors, Inc., 1290 Broadway, Suite 1100, Denver, CO 80203; and |
■ | Registrant’s administrator, fund accountant, transfer agent and custodian, The Bank of New York Mellon, 240 Greenwich Street. New York, NY 10286. |
COLUMBIA ETF TRUST II | |
By: | /s/ Daniel J. Beckman |
Daniel J. Beckman Trustee and President |
Signature | Capacity | Signature | Capacity |
/s/ Daniel J. Beckman | Trustee and President (Principal Executive Officer) |
/s/ Patricia M. Flynn* | Trustee |
Daniel J. Beckman | Patricia M. Flynn | ||
/s/ Michael G. Clarke* | Chief Financial Officer, Principal Financial Officer and Senior Vice President |
/s/ Brian J. Gallagher* | Trustee |
Michael G. Clarke | Brian J. Gallagher | ||
/s/ Marybeth Pilat* | Treasurer, Chief Accounting Officer (Principal Accounting Officer) and Principal Financial Officer | /s/ Douglas A. Hacker* | Trustee |
Marybeth Pilat | Douglas A. Hacker | ||
/s/ Pamela G. Carlton* | Chair of the Board | /s/ Nancy T. Lukitsh* | Trustee |
Pamela G. Carlton | Nancy T. Lukitsh | ||
/s/ George S. Batejan* | Trustee | /s/ David M. Moffett* | Trustee |
George S. Batejan | David M. Moffett | ||
/s/ Kathleen A. Blatz* | Trustee | /s/ Catherine James Paglia* | Trustee |
Kathleen A. Blatz | Catherine James Paglia | ||
/s/ Janet Langford Carrig* | Trustee | /s/ Natalie A. Trunow* | Trustee |
Janet Langford Carrig | Natalie A. Trunow | ||
/s/ J. Kevin Connaughton* | Trustee | /s/ Sandra L. Yeager* | Trustee |
J. Kevin Connaughton | Sandra L. Yeager | ||
/s/ Olive M. Darragh* | Trustee | ||
Olive M. Darragh |
* | By: Name: |
/s/ Joseph D’Alessandro | |
Joseph D’Alessandro** Attorney-in-fact |
|||
** | Executed by Joseph D’Alessandro on behalf of Michael G. Clarke pursuant to a Power of Attorney, dated February 1, 2021, on behalf of Marybeth Pilat pursuant to a Power of Attorney, dated January 2, 2020, and on behalf of each of the Trustees pursuant to a Trustees’ Power of Attorney, dated January 1, 2021. |
/s/ George S. Batejan | Trustee | /s/ Brian J. Gallagher | Trustee |
George S. Batejan | Brian J. Gallagher | ||
/s/ Daniel J. Beckman | Trustee | /s/ Douglas Hacker | Trustee |
Daniel J. Beckman | Douglas Hacker | ||
/s/ Kathleen A. Blatz | Trustee | /s/ Nancy T. Lukitsh | Trustee |
Kathleen A. Blatz | Nancy T. Lukitsh | ||
/s/ Pamela G. Carlton | Trustee | /s/ David M. Moffett | Trustee |
Pamela G. Carlton | David M. Moffett | ||
/s/ Janet Langford Carrig | Trustee | /s/ Catherine James Paglia | Trustee |
Janet Langford Carrig | Catherine James Paglia | ||
/s/ J. Kevin Connaughton | Trustee | /s/ Natalie A. Trunow | Trustee |
J. Kevin Connaughton | Natalie A. Trunow | ||
/s/ Olive M. Darragh | Trustee | /s/ Sandra L. Yeager | Trustee |
Olive M. Darragh | Sandra L. Yeager | ||
/s/ Patricia M. Flynn | Trustee | ||
Patricia M. Flynn |
(g)(1)(vi) | Seventh Amendment, dated March 15, 2023, to Custody Agreement, dated January 18, 2019, between The Bank of New York Mellon, Columbia ETF Trust I and the Registrant |
(g)(2)(v) | Seventh Amendment, dated March 15, 2023, to Foreign Custody Agreement, dated January 18, 2019, between The Bank of New York Mellon, Columbia ETF Trust I and the Registrant |
(h)(1)(vii) | Seventh Amendment, dated March 15, 2023, to Fund Administration and Accounting Agreement, dated January 18, 2019, between The Bank of New York Mellon, Columbia ETF Trust I and the Registrant |
(h)(2)(v) | Seventh Amendment, dated March 15, 2023, to Transfer Agency and Service Agreement, dated January 18, 2019, between The Bank of New York Mellon, Columbia ETF Trust I and the Registrant |
(h)(8) | Fee Waiver Agreement, effective August 1, 2023 |
(h)(9)(ii) | Fund of Funds Investment Management Agreement, dated as of June 23, 2023, between The Lazard Funds, Inc. and Columbia ETF Trust I and Columbia ETF Trust II |
(j) | Consent of Independent Registered Public Accounting Firm |
Exhibit No. | Description |
EX-101.INS | XBRL Instance Document |
EX-101.SCH | XBRL Taxonomy Extension Schema Document |
EX-101.CAL | XBRL Taxonomy Extension Calculation Linkbase |
EX-101.DEF | XBRL Taxonomy Extension Definition Linkbase |
EX-101.LAB | XBRL Taxonomy Extension Labels Linkbase |
EX-101.PRE | XBRL Taxonomy Extension Presentation Linkbase |