Corporate Action Central

This page is dedicated to helping you understand more about listing events and the options account holders have once a listing occurs. Refer to the FAQ below for general information.

 

Learn about recent listings and use the on-page resources to assist you once you make a decision about your holding by clicking on a specific listed alternative investment to the right.

Listing FAQ's

1.  What is a corporate action and why does a non-traded alternative investment choose to do one?

All non-traded alternative investments are required to offer a liquidity event within a certain number of years after the offering period closes. These alternative investments can choose to list (on an exchange), merge to another traded investment, or possibly liquidate their shares.

Account holders generally gain more flexibility and liquidity with their investment when the alternative product becomes publicly traded.

2. What are my options once an alternative investment joins a traded exchange?
  • Retain your alternative investment and benefit from the additional liquidity.
    The investment stays in your First Trust Retirement account, and you continue to collect any distributions that are paid out. No action is necessary on your part.
  • Move assets to another alternative investment and remain with First Trust Retirement.
    Select the listing product from the list on this page, and proceed through the instructions on the ensuing page accordingly.
  • Instruct First Trust Retirement to complete a sale order of the alternative investment. First Trust Retirement will place the cash proceeds in your IRA account.
    These proceeds can remain in your IRA account until you are ready to invest them in other First Trust Retirement offerings. Select the listing product from the list on this page, and proceed through the instructions on the ensuing page accordingly.
  • Transfer your alternative investment to an account held with a broker dealer or another custodian.
    First Trust Retirement always encourages you to consult your financial advisor. Select the listing product from the list on this page, and proceed through the instructions on the ensuing page accordingly. There may be fees associated with this option.
3.  Why should I stay with First Trust Retirement?
  • First Trust Retirement can service the current account.
  • First Trust Retirement has 17 other alternative investment sponsors offering options for your IRA.
  • First Trust Retirement can facilitate the sale of the listed alternative investment.
  • First Trust Retirement can do all of these things at one of the lowest costs in the industry.
4.  Does an advisor need to request a sale of shares?
You may call, fax or mail a sale request on your own, if you so choose. If you want the sale proceeds sent to a different account other than the First Trust Retirement IRA account, you will need to submit a completed transfer form from the new financial institution with the sale instructions.
5.  What are First Trust Retirement’s Fees in a Listing/Corporate Action Event?

While there may be some advantages to moving shares to a brokerage house, the low cost approach that First Trust Retirement offers far outweighs these advantages. Brokerage houses often have high transaction fees, which may negate any trading advantages. See the chart below for a comparison of fees.

  Other IRA Custodians
Annual Fee $45 $50.00+
Setup Fee $0 $25.00+
Transaction Fee $0 $3.00
Statement Fee $0 $5.00
Purchases, Sales Corporate Actions* $20 $5.00
Cash Disbursements by Check $0 $5.00
Re-Registration Charges Per Investment $0 $30.00
Closing Fees $0 $125.00
*In a listing event, a fee may be taken on sales to cover the cost of selling shares on the market.
6.  If I choose to move my investment, do I have other alternative investment options under the First Trust Retirement umbrella?
Yes, First Trust Retirement can help facilitate a transfer from this investment to another alternative investment that offers our custodial services, with little to no intervention by the broker dealer.
7.  Where should I direct my questions?
Please call us directly at 855-387-3847 or utilize our contact form.

 

 

Recent Listings
Columbia Property Trust, Inc. - 10/10/2013
New York REIT, Inc. - 03/31/2014
FS Investment Corporation - 02/19/2014
United Development Funding IV - 06/04/2014
Monogram Residential Trust, Inc. - 11/10/2014
Global Net Lease, Inc. - 06/02/2015
TIER REIT, Inc. - 07/23/2015
KKR Advisors, LLC FKA CNL Corporate Capital Trust II - 11/14/2017
...
Recent Mergers & Liquidity Events
Griffin-American & NorthStar - 12/03/2014
American Realty Capital Healthcare Trust, Inc. & Ventas, Inc. - 01/16/2015
Cole Corporate Income Trust, Inc. & Select Income REIT. - 01/30/2015
SmartStop Self Storage, Inc. and Extra Space Storage Inc. - 10/01/2015
Industrial Income Trust, Inc. (IIT) and Western Logistics II, LLC - 11/04/2015
...