After Vanguard’s patent that covered structuring an ETF as a share-class of a traditional open-ended mutual fund expired in May 2023, and with the recent public notice the SEC issued that expressed their intent to approve Dimensional Fund Advisors exemptive relief application, approvals for the other 75+ asset managers that have already filed are expected to come as a fast follow through the end of the year and early 2026. With the excitement about ETFs and the dual share-class model on the forefront of many firms, this white paper explores the benefits, complexities and operating model around ETFs and the dual share-class model (including a granular step-by-step workflow relevant to front office, operations and technology teams).
About the Author
Ali Mohsenian
Senior Manager
Ali Mohsenian is a Senior Manager in Alpha's North American AWM business with multiple years of experience supporting asset and wealth management clients navigate large-scale, multi-asset operating model changes primarily across middle and back-office functions. He is one of our ETF subject matter experts and has a strong understanding of ETF operational workflows and interaction models between ETF servicers, issuers, and other market participants, having led multiple engagements helping new and prospective issuers design and implement ETF operating models.