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Racing to Keep Up With Dual Share Class Applications

Racing to Keep Up With Dual Share Class Applications

Yahoo04-06-2025

One might say progress toward the much-anticipated dual share class structure has been a bit one-dimensional.
That's because a single company, Dimensional Fund Advisors, has been chosen by the Securities and Exchange Commission as an example for others. That firm, which is in the front of the line for dual share class approval, filed a second amended application late last week that will likely serve as a template for the rest of the industry. The SEC has reached out to other companies in the queue, telling them to use Dimensional's application for exemptive relief under Section 6(c) of the Investment Company Act of 1940 to offer ETF share classes as the basis for their own. The latest revisions in the application are heightened oversight by fund boards in deciding whether to add ETF or mutual fund share classes to products as well as more disclosure for fund investors.
'The changes in the amended filing are generally consistent with the spirit of the last dual share class exemptive application amendment filings,' said Aisha Hunt, principal at law firm Kelley Hunt. 'The structure and exemptive relief framework remain largely intact, with most conditions tracking closely to prior versions.'
READ ALSO: Investors Turn to Defined Outcome ETFs Amid Market Turmoil and Not Taking Single-Stock ETFs for Granite
Numerous fund companies have applied with the SEC for dual share classes or amended their existing applications over the past few weeks. 'The SEC essentially told firms to replicate the Dimensional filing as the blueprint,' said Craig Kilgallen, relationship manager at Fuse Research Network. 'Now, the firms feel like it's on the horizon. They're starting to get in line.' More than 60 fund companies have requested the SEC's blessing for multiple share classes. Since the agency explained its stance on the Dimensional blueprint in April, at least 43 of them have filed amended applications to account for that, public records show.
Among those filing:
BlackRock, State Street, Charles Schwab, JPMorgan, Pimco, Morgan Stanley, and others submitted first-amended applications.
Nine companies turned in new applications: Goldman Sachs; Tweedy, Browne; Harbor Funds; Columbia Management; Exchange Traded Concepts; Tortoise Capital Advisors; Baron Investment Funds; Advisors Preferred; and New Age Alpha.
Boarded Up: Dimensional's application appears to have been shaped by the SEC's assessments of numerous requests by different asset managers. A common thread has been that fund boards would assess products' fit for the addition of either an ETF or mutual fund share class, as not all funds lend themselves to both. 'What's more pronounced in this amended filing is the emphasis on board oversight,' Hunt said, citing explicit requirements for board approval of monitoring funds to identify issues, including conflicts of interest between share classes. 'The amendment also includes enhanced disclosure intended to help investors better understand the dual share class structure and the potential for conflicts between share classes, reinforcing the importance of transparency for these hybrid models.'
This post first appeared on The Daily Upside. To receive exclusive news and analysis of the rapidly evolving ETF landscape, built for advisors and capital allocators, subscribe to our free ETF Upside newsletter.

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Insmed Announces Pricing of $750 Million Public Offering of Common Stock
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BRIDGEWATER, N.J., June 11, 2025 /PRNewswire/ -- Insmed Incorporated (Nasdaq: INSM), a people-first global biopharmaceutical company striving to deliver first- and best-in-class therapies to transform the lives of patients facing serious diseases, today announced that it priced an underwritten public offering of 7,812,500 shares of its common stock at a price to the public of $96.00 per share. The gross proceeds to Insmed from the offering, before deducting underwriting discounts and commissions and other offering expenses payable by Insmed, are expected to be approximately $750 million. In addition, Insmed has granted the underwriters a 30-day option to purchase up to an additional 1,171,875 shares of common stock. 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The public offering of common stock described above is being made pursuant to Insmed's shelf registration statement on Form S-3 (File No. 333-272088) that was previously filed with the Securities and Exchange Commission (SEC) and became automatically effective on May 19, 2023. A preliminary prospectus supplement relating to and describing the terms of the offering was filed with the SEC and is available on the SEC's website at Copies of the final prospectus supplement and the accompanying prospectus relating to this offering may be obtained, when available, from Goldman Sachs & Co. LLC, Prospectus Department, 200 West Street, New York, NY 10282, telephone: 1-866-471-2526, facsimile: 212-902-9316 or by emailing Prospectus-ny@ or Leerink Partners LLC, Attention: Syndicate Department, 53 State Street, 40th Floor, Boston, MA 02109, by telephone at (800) 808-7525, ext. 6105, or by email at syndicate@ This press release shall not constitute an offer to sell or a solicitation of an offer to buy, nor shall there be any sale of these securities in any jurisdiction in which such an offer, solicitation or sale would be unlawful prior to registration or qualification under the securities laws of any such jurisdiction. About Insmed Insmed Incorporated is a people-first global biopharmaceutical company striving to deliver first- and best-in-class therapies to transform the lives of patients facing serious diseases. 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"Forward-looking statements," as that term is defined in the Private Securities Litigation Reform Act of 1995, are statements that are not historical facts and involve a number of risks and uncertainties. Words herein such as "may," "will," "should," "could," "would," "expects," "plans," "anticipates," "believes," "estimates," "projects," "predicts," "intends," "potential," "continues," and similar expressions (as well as other words or expressions referencing future events, conditions or circumstances) may identify forward-looking statements. 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