Will Rhind is the Founder and CEO of GraniteShares, Inc., an independent exchange-traded fund, or ETF, issuer headquartered in New York City. Founded in 2016, GraniteShares seeks to launch innovative, disruptive ETFs that solve key issues for investors. Prior to GraniteShares, Mr. Rhind served as the CEO of World Gold Trust Services from 2013 to 2016 and a senior executive at ETF Securities from 2007 to 2013. He was also formerly a Principal at iShares and one of the original team members in Europe.
In this exclusive interview with the Wall Street Transcript, Will Rhind explains the concepts and the process behind his recent establishment of a new kind of ETF based on pass-through securities and high yielding security types.
“I set up GraniteShares because I wanted to establish a business that solved two key challenges for investors within the commodity fund world: high management fees and suboptimally structured funds. The GraniteShares platform is designed to solve issues around 1933 Act K-1 funds and the ETNs issued by banks. We offer a suite of 1940 Act ETFs with no K-1s that are the lowest cost in the industry. That was the basic premise of starting the company.”
The new concept is an innovation on existing product types.
“It is offered without a K-1 or a blocker corporation, and by diversifying across multiple pass-through “subsectors,” you have the benefit of investing in not just MLPs but also in REITs, BDCs and closed-end funds. All of that combined produces a high yield, currently around 8%, but with added diversification across the three other subsectors — BDCs, REITs and CEFs. This is arguably more beneficial than investing solely in MLPs, REITs or in other types of securities like preferreds or high yield bonds where you are taking very specific subsector risk in one of these narrower categories.”
Read the entire interview with Will Rhind of GraniteShares in the Wall Street Transcript.