This ETF Rule Could Be the Difference Between A Millionaire And A Billionaire

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Today’s returning guest is Alpha Architect’s Wes Gray, and he’s joined by Bob Elwood, a business lawyer with a focus on investment funds.
Wes and Bob just helped complete a separately managed account to ETF conversion of $770 million, so we had to get them on the show to walk through the process! They walk through the process of doing an SMA to ETF conversion via Section 351 from start to finish. They share some of the more nuances involved in the process and answer some common questions they hear over time.
While the most popular ETF story so far this year is the Bitcoin ETF, this is arguably a bigger long-term story and a trend to watch in the next few years.
To see links or read the transcript of the episode, visit us at:
mebfaber.com/2024/02/23/sma-e...
(2:09) - Welcome to our guests, Wes Gray and Robert Elwood
(2:41) - Update on Alpha Architect
(3:29) - Overview of converting SMAs to ETFs via Section 351
(14:28) - Mutual fund to ETF conversions versus separate account to ETF conversions
(20:04) - Weighing the advantages and disadvantages of SMA to ETF conversions
(26:31) - Is Your Alpha Big Enough to Cover Its Taxes? A 25 Year Retrospective www.researchaffiliates.com/pu...
(27:05) - The case for the tax-free conversion of SMAs into an ETF via Section 351 alphaarchitect.com/2023/08/th...
(35:05) - Alpha Architect’s connection to former Presidential candidate Vivek Ramaswamy
(37:07) - Esoteric examples of SMA to ETF conversions
(38:36) - When does it not make sense to do a conversion?
(43:53) - The future of Alpha Architect
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