Guggenheim Funds prices $340 million IPO of Build America Bonds trust

By Melissa Kory

Cleveland, Oct. 27 - Guggenheim Funds Investment Advisors, LLC announced the launch of the Guggenheim Build America Bonds Managed Duration Trust, which sized its initial $340 million public offering of common shares and began trading on the New York Stock Exchange Oct. 27.

The trust offered 17 million shares at $20 per share. It will trade on the New York Stock Exchange under the symbol GBAB.

BofA Merrill Lynch, Citigroup Global Markets Inc., Morgan Stanley & Co. Inc., Wells Fargo Securities, LLC and Raymond James & Associates, Inc. were lead managers for the sale.

There is a 15% greenshoe.

Guggenheim Funds Investment Advisors, the trust's investment adviser, and Guggenheim Funds Distributors, Inc., the broker-dealer, recently changed their names from Claymore Advisors, LLC and Claymore Securities, Inc.

"GBAB is one of the first new investment solutions rolled out under the Guggenheim Funds name and is a perfect example of the effective synergies starting to be realized across Guggenheim's investment management platform between asset management and retail distribution," Steven A. Baffico, senior managing director and head of U.S. Retail for Guggenheim Funds Distributors, Inc., said in a news release.

The trust's primary investment objective is to provide current income with a secondary objective of long-term capital appreciation, by investing primarily in a diversified portfolio of Build America Bonds.

Guggenheim Funds Investment Advisors is a subsidiary of Guggenheim Partners, LLC, a financial services firm headquartered in Chicago and New York.

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