VXXB, VXZB come VXX, VXZ go. Barclays Bank PLC, announced today the upcoming launch in early 2018 of the iPath Series B S&P 500 VIX Short-Term Futures ETNs (VXXB) and the iPath Series B S&P 500 VIX Mid-Term Futures ETNs (VXZB).

The New ETNs are proposed to be launched in advance of the upcoming scheduled maturity of the iPath S&P 500 VIX Short-Term Futures ETNs (VXX) and the iPath S&P 500 VIX Mid-Term Futures ETNs (VXZ). The final redemption date of the Maturing ETNs is January 30, 2019 and both the New ETNs and the Maturing ETNs will trade in parallel until the final redemption date of the Maturing ETNs. The New ETNs will feature an investor fee of 0.89% per annum and will also be redeemable at the sole discretion of Barclays on any trading day on or after their inception until maturity. Barclays intends that each of the New ETNs will be issued with a closing indicative value on its initial valuation date that is equal to that of the corresponding Maturing ETNs on such date.

Holders of the Maturing ETNs are not required to take any action as a result of this announcement and may choose to continue to hold or trade their Maturing ETNs until expiration.

Holders of the Maturing ETNs that wish to sell their Maturing ETNs and/or purchase New ETNs may take any of the following actions:

1) Sell Maturing ETNs and/or purchase New ETNs on the secondary market at the prevailing trading price on the exchange.

2) Put Maturing ETNs to Barclays with no minimum early redemption size and simultaneously purchase an equivalent amount of the corresponding New ETNs from Barclays, with each transaction having the same valuation date and settlement date. In this case, upon redemption of its Maturing ETNs, the holder would receive a number of New ETNs equal to the number of redeemed Maturing ETNs. Holders who wish to effect a Net Settlement must instruct their broker or other person through whom they hold their Maturing ETNs in accordance with the procedures set forth in the section “Specific Terms of the ETNs—Early Redemption Procedures” in the prospectus relating to the Maturing ETNs.

3) Put Maturing ETNs to Barclays under the early redemption option (subject to the existing minimum early redemption size) without simultaneously purchasing New ETNs from Barclays or purchase New ETNs from Barclays without simultaneously redeeming Maturing ETNs, in each case for the applicable cash value.
Any redemption of Maturing ETNs or purchase of New ETNs is subject to the conditions described in the prospectus for the relevant series of ETNs and will be valued using the applicable closing indicative value on the valuation date for the transaction, with applicable purchase or redemption fees except as described above for paired orders, in each case in accordance with the prospectus for the relevant series of ETNs. Holders are not required to take any of the actions set forth above and may choose to continue to hold their ETNs.

The iPath Series B S&P 500 VIX Short-Term Futures ETNs are designed to provide investors with exposure to the performance of the S&P 500 VIX Short-Term Futures Index TR, which measures the return from a daily rolling long position in the front and second month futures contracts on the CBOE Volatility Index traded on the Chicago Board Options Exchange. The iPath Series B S&P 500 VIX Mid-Term Futures ETNs are designed to provide investors with exposure to the performance of the S&P 500 VIX Mid-Term Futures Index TR, which measures the return from a daily rolling long position in the fourth, fifth, sixth and seventh month futures contracts on the VIX Index traded on the CBOE.