Summary Prospectus dated March 1, 2022
as revised November 18, 2022
Eaton Vance Global Income Builder NextShares
Ticker EVGBC
Listing Exchange: The NASDAQ Stock Market LLC
This Summary Prospectus is designed to provide
investors with key fund information in a clear and concise format. Before you invest, you may want to review the Fund’s Prospectus
and Statement of Additional Information, which contain more information about the Fund and its risks. The Fund’s Prospectus and
Statement of Additional Information, both dated March 1, 2022, as may be amended or supplemented, are incorporated by reference into this
Summary Prospectus. For free paper or electronic copies of the Fund’s Prospectus, Statement of Additional Information, annual and
semi-annual shareholder reports, and other information about the Fund, go to https://funds.eatonvance.com/nextshares-documents.php, email
a request to contact@eatonvance.com or call 1-800-262-1122. Unless otherwise noted, page number references refer to the current Prospectus
for this Fund.
Investment Objective
The Fund's investment objective is to achieve total return for its investors.
Fees and Expenses of the Fund
This table describes the fees and expenses that you may pay if you buy,
hold and sell shares of the Fund.
Investor Fees (fees paid directly from your investment): None
Annual Fund Operating Expenses (expenses you pay each year as a percentage of the value of your investment) (1) |
|
|
Management Fees |
|
0.70% |
Distribution and Service (12b-1) Fees |
|
None |
Other Expenses |
|
1.46% |
Total Annual Fund Operating Expenses |
|
2.16% |
Expense Reimbursement (2) |
|
(1.31)% |
Total Annual Fund Operating Expenses After Expense Reimbursement |
|
0.85% |
| (1) | Expenses in the table above and the Example below reflect the expenses of the Fund and Global Income Builder Portfolio (the “Portfolio”),
the Portfolio in which the Fund invests its assets. |
| (2) | The investment adviser and administrator and sub-adviser have agreed to reimburse the Fund’s expenses to the extent that Total
Annual Fund Operating Expenses exceed 0.85%. This expense reimbursement will continue through February 28, 2023. Any amendment to or termination
of this reimbursement would require approval of the Board of Trustees. The expense reimbursement relates to ordinary operating expenses
only and does not include expenses such as: brokerage commissions, acquired fund fees and expenses of unaffiliated funds, borrowing costs
(including borrowing costs of any acquired funds), taxes or litigation expenses. Amounts reimbursed may be recouped by the investment
adviser and administrator and sub-adviser during the same fiscal year to the extent actual expenses are less than the contractual expense
cap during such year. |
Example.
This Example is intended to help you compare the cost of investing in the Fund with the cost of investing in other funds. The Example
assumes that you invest $10,000 in the Fund for the time periods indicated and then redeem all of your shares at the end of those periods.
The Example also assumes that the Fund provides a return of 5% each year, that Fund operating expenses remain the same and that any expense
reimbursement arrangement remains in place for the contractual period. Investors may pay brokerage commissions on their purchases and
sales of Fund shares, which are not reflected in the example. Although your actual costs may be higher or lower, based on these assumptions
your costs would be:
1 Year |
3 Years |
5 Years |
10 Years |
$87 |
$550 |
$1,039 |
$2,390 |
Portfolio Turnover
The Fund and Portfolio in which it invests pay transaction costs, such
as commissions, when they buy and sell securities (or “turn over” the portfolio). A higher portfolio turnover rate may indicate
higher transaction costs and may result in higher taxes when Fund shares are held in a taxable account. These costs, which are not reflected
in Annual Fund Operating Expenses or in the Example, affect the Fund’s performance. During the most recent fiscal year, the Portfolio's
portfolio turnover rate was 60% of the average value of its portfolio.
Principal Investment Strategies
The Fund seeks to invest in common stocks, preferred stocks and other
hybrid securities, and fixed and floating-rate securities and other debt (“income instruments”) of U.S. and foreign issuers.
Under normal market conditions, the Fund will invest (i) at least 30% of its net assets in securities or other instruments issued by issuers
located outside of the United States, which may include emerging market countries; and (ii) in issuers located in at least five different
countries (including the United States). An issuer will be considered to be located outside of the United States if it is domiciled in,
derives a significant portion of its revenue from, or its primary trading venue is outside of the United States. Securities may trade
in the form of depositary receipts. The Fund may invest 25% or more of its assets in each of the utilities and financial services sectors.
Under normal market conditions, the Fund currently expects to invest
50-80% of its net assets in common stocks, 0-30% of its net assets in preferred stocks and other hybrid securities (which generally possess
characteristics common to both equity and debt securities), and 10-40% of its net assets in income instruments including cash or money
market instruments. The Fund’s investments may be of any maturity or perpetual. The Fund may invest in income instruments and preferred
stocks and other hybrid securities of any rating category, or unrated, including those in default, with interest or dividends in arrears
or not currently producing any income. The Fund’s investments in income instruments and preferred stocks and other hybrid securities
are expected to be primarily rated below investment grade (i.e., rated below BBB- by S&P Global Ratings (“S&P”) or
Fitch Ratings (“Fitch”), or below Baa- by Moody’s Investors Service, Inc. (“Moody’s”) or, if unrated,
determined to be of comparable quality by the investment adviser or sub-adviser). Securities and other instruments rated below investment
grade are also known as “high yield” or “junk.” Securities and other instruments rated BBB and Baa have speculative
characteristics, while lower rated securities are predominantly speculative. The Fund expects to invest principally in income instruments
that are issued by corporations or sovereign nations, convertible bonds and senior floating-rate loans (“Senior Loans”) and
subordinated floating-rate loans (“Junior Loans”) (collectively “loans”). Some of the Fund’s investments
may be subject to restrictions on resale, including “Rule 144A” or “Regulation S” securities. The Fund may invest
in publicly traded real estate investment trusts (“REITs”). The Fund may invest in exchange-traded funds (“ETFs”),
a type of pooled investment vehicle, in order to manage cash positions or to seek exposure to certain markets or market sectors. The Fund
may also lend its securities.
The Fund may engage in derivative transactions to seek return, to hedge
against fluctuations in securities prices, interest rates or currency exchange rates, or as a substitute for the purchase or sale of securities
or currencies. The Fund expects to use derivatives principally when seeking to hedge against fluctuations in currency exchange rates through
the use of forward foreign currency exchange contracts and to seek to gain or limit exposure to certain markets through the use of futures
contracts on securities indices, particularly in connection with engaging in the dividend capture trading strategy (as described below).
Permitted derivatives include: the purchase or sale of forward or futures contracts; options on futures contracts; exchange-traded and
over-the-counter options; equity collars; equity swap agreements; interest rate swaps; and credit derivatives including credit default
swaps, total return swaps and credit options. The Fund may also engage in covered short sales (on individual securities held or on an
index or basket of securities whose constituents are held in whole or in part or for which liquid assets have been segregated). There
is no stated limit on the Fund’s use of derivatives and the Fund’s use of derivatives may be extensive. To the extent the
Fund holds cash as collateral for derivatives, the investment ranges described above may be exceeded.
To determine the percentage of the Fund’s assets that will be
invested from time to time in each asset class, the portfolio managers meet periodically and, taking market and other factors into consideration,
agree upon an allocation. The portfolio managers have broad discretion to allocate the Fund’s investments between common stocks,
preferred stocks and other hybrid securities and income instruments within the ranges identified above.
In selecting securities, the Fund seeks common stocks, preferred stocks
and other hybrid securities and income instruments of U.S. and foreign issuers that the portfolio managers believe may produce attractive
levels of income. For its investments in common stocks, the Fund also seeks to invest in securities that the portfolio managers believe
have the potential for growth of income and/or capital appreciation over time. For its investments in preferred stocks and other hybrid
securities and income instruments, the Fund will also take into consideration the interest rate sensitivity of the investments. The Fund
may seek to enhance the level of dividend income it receives by engaging in dividend capture trading. In a typical dividend capture trade,
the Fund would buy a stock prior to its ex-dividend date and sell the stock at a point either on or after the ex-dividend date. The Fund
may enter into a series of these trades to augment the amount of dividend income it receives over time. Investment decisions are made
primarily on the basis of fundamental research.
Eaton Vance Global Dividend Income NextShares | 2 | Summary Prospectus dated March 1, 2022 as revised November 18, 2022 |
The portfolio managers utilize information provided by, and the expertise
of, the investment adviser’s research staff in making investment decisions. In selecting stocks, the portfolio managers consider
(among other factors) a company’s earnings or cash flow capabilities, dividend prospects, financial strength, growth potential,
the strength of the company’s business franchises and management team, sustainability of a company’s competitiveness, and
estimates of the company’s net value. The portfolio managers may sell a security when the investment adviser’s or sub-adviser’s
price objective for the security is reached, the fundamentals of the company deteriorate, a security’s price falls below acquisition
cost or to pursue more attractive investment options. In addition, the buy and sell decisions for preferred
stocks and other hybrid securities and income instruments are also affected to a larger degree by the structure and features of the securities,
the current and expected interest rate environment and regulatory actions relating to any specific security or class of security. The
portfolio managers seek to manage investment risk by maintaining broad issuer and industry diversification among the Fund’s holdings,
and by conducting an analysis of the risk and return characteristics of securities (as described above) in which the Fund invests. The
portfolio managers may also consider financially material environmental, social and governance factors in evaluating an issuer. These
considerations may be taken into account alongside other fundamental research in the securities selection process.
The Fund currently invests its assets in the Portfolio, a separate registered
investment company with substantially the same investment objective and policies as the Fund.
About NextShares®
NextShares are a new type of actively managed exchange-traded product
operating pursuant to an order issued by the SEC granting an exemption from certain provisions of the Investment Company Act of 1940,
as amended (the “1940 Act”). NextShares funds began trading in February 2016 and have a limited operating history. There can
be no guarantee that an active trading market for NextShares will develop or be maintained, or that their listing will continue unchanged.
Individual shares of a NextShares fund may be purchased and sold only
on a national securities exchange or alternative trading system through a broker-dealer that offers NextShares (“Broker”),
and may not be directly purchased or redeemed from the fund. As a new type of fund, NextShares initially may be offered by a limited number
of Brokers. Trading prices of NextShares are directly linked to the fund’s next-computed net asset value per share (“NAV”),
which is normally determined as of the close of regular market trading each business day. Buyers and sellers of NextShares will not know
the value of their purchases and sales until NAV is determined at the end of the trading day.
Trading prices of NextShares will vary from NAV by a market-determined
trading cost (i.e., a premium or discount to NAV), which may be zero. The premium or discount to NAV at which NextShares trades are executed
is locked in at the time of trade execution, and will depend on market factors, including the balance of supply and demand for shares
among investors, transaction fees and other costs associated with creating and redeeming Creation Units (as defined below) of shares,
competition among market makers, the share inventory positions and inventory strategies of market makers, and the volume of share trading.
Reflecting these and other market factors, prices of shares in the secondary market may be above, at or below NAV. See “Purchases
and Sales of Fund Shares” below for important information about how to buy and sell shares.
How NextShares
Compare to Mutual Funds. Mutual fund shares may be purchased and redeemed directly from the issuing fund for cash at the fund’s
next determined NAV. Shares of NextShares funds, by contrast, are purchased and sold primarily in the secondary market. Because trading
prices of NextShares may vary from NAV and commissions may apply, NextShares may be more expensive to buy and sell than mutual funds.
Like mutual funds, NextShares may be bought or sold in specified share or dollar quantities, although not all Brokers may accept dollar-based
orders.
Relative to investing in mutual funds, the NextShares structure offers
certain potential advantages that may translate into improved performance and higher tax efficiency. These potential advantages include:
(a) a single class of shares with no sales loads or distribution and service (12b-1) fees; (b) lower fund transfer agency expenses; (c)
reduced fund trading costs and cash drag (the impact of uninvested cash on performance) in connection with investor inflows and outflows;
and (d) lower fund capital gains distributions. Because NextShares do not pay sales loads or distribution and service (12b-1) fees, their
appeal to financial intermediaries may be limited to distribution arrangements that do not rely upon such payments.
How NextShares
Compare to ETFs. Similar to ETFs, NextShares are issued and redeemed only in specified large aggregations (“Creation
Units”) and trade throughout the day on an exchange. Unlike ETFs, trading prices of NextShares are directly linked to the fund’s
next end-of-day NAV rather than determined at the time of trade execution. Different from ETFs, NextShares do not offer opportunities
to transact intraday at currently (versus end-of-day) determined prices.
Eaton Vance Global Dividend Income NextShares | 3 | Summary Prospectus dated March 1, 2022 as revised November 18, 2022 |
Unlike actively managed ETFs, NextShares are not required to disclose
their full holdings on a daily basis, thereby protecting fund investors against the potentially dilutive effects of other market participants
front-running the fund’s trades. Because the mechanism that underlies efficient trading of NextShares does not involve portfolio
instruments not used in creations and redemptions, the need for full portfolio holdings disclosure to achieve tight markets in NextShares
is eliminated. The NAV-based trading employed for NextShares provides investors with built-in trade execution cost transparency and the
ability to control their trading costs using limit orders. This feature of NextShares distinguishes them from ETFs, for which the variance
between market prices and underlying portfolio values is not always known by individual investors and cannot be controlled by them. For
more information, see “Additional Information about NextShares” in the Fund's Prospectus.
Principal Risks
Market Trading
Risk. Individual Fund shares may be purchased and sold only on a national securities exchange or alternative trading
system through a Broker, and may not be directly purchased or redeemed from the Fund. There can be no guarantee that an active trading
market for shares will develop or be maintained, or that their listing will continue unchanged. Buying and selling shares may require
you to pay brokerage commissions and expose you to other trading costs. Due to brokerage commissions and other transaction costs that
may apply, frequent trading may detract from realized investment returns. Trading prices of shares may be above, at or below the Fund’s
NAV, will fluctuate in relation to NAV based on supply and demand in the market for shares and other factors, and may vary significantly
from NAV during periods of market volatility. The return on your investment will be reduced if you sell shares at a greater discount or
narrower premium to NAV than you acquired shares.
Contingent
Pricing Risk. Trading prices of Fund shares are directly linked to the Fund’s next-computed NAV, which is normally determined
as of the close of regular market trading each business day. Buyers and sellers of shares will not know the value of their purchases and
sales until the Fund’s NAV is determined at the end of the trading day. Like mutual funds, the Fund does not offer opportunities
to transact intraday at currently (versus end-of-day) determined prices. Trade prices are contingent upon the determination of NAV and
may vary significantly from anticipated levels (including estimates based on intraday indicative values disseminated by the Fund) during
periods of market volatility. Although limit orders can be used to control differences in trade prices versus NAV, they cannot be used
to control or limit trade execution prices.
Market Risk.
The value of investments held by the Fund may increase or decrease in response to economic, political, financial, public health crises
(such as epidemics or pandemics) or other disruptive events (whether real, expected or perceived) in the U.S. and global markets. These
events may negatively impact broad segments of businesses and populations and may exacerbate pre-existing risks to the Fund. The frequency
and magnitude of resulting changes in the value of the Fund’s investments cannot be predicted. Certain securities and other investments
held by the Fund may experience increased volatility, illiquidity, or other potentially adverse effects in reaction to changing market
conditions. Monetary and/or fiscal actions taken by U.S. or foreign governments to stimulate or stabilize the global economy may not be
effective and could lead to high market volatility. No active trading market may exist for certain investments held by the Fund, which
may impair the ability of the Fund to sell or to realize the current valuation of such investments in the event of the need to liquidate
such assets.
Equity Securities
Risk. The value of equity securities and related instruments may decline in response to adverse changes in the economy or the
economic outlook; deterioration in investor sentiment; interest rate, currency, and commodity price fluctuations; adverse geopolitical,
social or environmental developments; issuer and sector-specific considerations; unexpected trading activity among retail investors; or
other factors. Market conditions may affect certain types of stocks to a greater extent than other types of stocks. If the stock market
declines in value, the value of the Fund’s equity securities will also likely decline. Although prices can rebound, there is no
assurance that values will return to previous levels.
Foreign Investment
Risk. Foreign investments can be adversely affected by political, economic and market developments abroad, including the imposition
of economic and other sanctions by the United States or another country. There may be less publicly available information about foreign
issuers because they may not be subject to reporting practices, requirements or regulations comparable to those to which United States
companies are subject. Foreign markets may be smaller, less liquid and more volatile than the major markets in the United States and,
as a result, Fund share values may be more volatile. Trading in foreign markets typically involves higher expense than trading in the
United States. The Fund may have difficulties enforcing its legal or contractual rights in a foreign country. Depositary receipts are
subject to many of the risks associated with investing directly in foreign instruments.
Economic data as reported by sovereign entities may be delayed, inaccurate
or fraudulent. In the event of a default by a sovereign entity, there are typically no assets to be seized or cash flows to be attached.
Furthermore, the willingness or ability of a sovereign entity to restructure defaulted debt may be limited. Therefore, losses on sovereign
defaults may far exceed the losses from the default of a similarly rated U.S. debt issuer.
Eaton Vance Global Dividend Income NextShares | 4 | Summary Prospectus dated March 1, 2022 as revised November 18, 2022 |
Emerging
Markets Investment Risk. Investment markets within emerging market countries are typically smaller, less liquid, less developed
and more volatile than those in more developed markets like the United States, and may be focused in certain economic sectors. Emerging
market securities often involve greater risks than developed market securities. The information available about an emerging market issuer
may be less reliable than for comparable issuers in more developed capital markets.
Currency
Risk. Exchange rates for currencies fluctuate daily. The value of foreign investments may be affected favorably or unfavorably
by changes in currency exchange rates in relation to the U.S. dollar. Currency markets generally are not as regulated as securities markets
and currency transactions are subject to settlement, custodial and other operational risks.
Income Risk.
The Fund’s ability to distribute income to investors will depend on the yield available on the common and preferred stocks and other
hybrid securities and income instruments held by the Fund. Changes in the dividend policies of companies held by the Fund could make it
difficult for the Fund to provide a predictable level of income.
Dividend
Capture Trading Risk. The use of dividend capture strategies will expose the Fund to higher portfolio turnover, increased trading
costs and potential for capital loss or gain, particularly in the event of significant short-term price movements of stocks subject to
dividend capture trading.
Sector Risk.
Because the Fund may invest a significant portion of its assets in the utilities and financial services sectors, the value of Fund shares
may be affected by events that adversely affect those sectors and may fluctuate more than that of a fund that invests more broadly.
Credit Risk.
Investments in income instruments, including loans, and hybrid securities (referred to below as “debt instruments”) are subject
to the risk of non-payment of scheduled principal and interest. Changes in economic conditions or other circumstances may reduce the capacity
of the party obligated to make principal and interest payments on such instruments and may lead to defaults. Such non-payments and defaults
may reduce the value of Fund shares and income distributions. The value of debt instruments also may decline because of concerns about
the issuer’s ability to make principal and interest payments. In addition, the credit ratings of debt instruments may be lowered
if the financial condition of the party obligated to make payments with respect to such instruments deteriorates. In the event of bankruptcy
of the issuer of a debt instrument, the Fund could experience delays or limitations with respect to its ability to realize the benefits
of any collateral securing the instrument. In order to enforce its rights in the event of a default, bankruptcy or similar situation,
the Fund may be required to retain legal or similar counsel, which may increase the Fund’s operating expenses and adversely affect
net asset value.
Interest
Rate Risk. In general, the value of income securities will fluctuate based on changes in interest rates. The value of these
securities is likely to increase when interest rates fall and decline when interest rates rise. Duration measures the time-weighted expected
cash flows of a fixed-income security, while maturity refers to the amount of time until a fixed-income security matures. Generally, securities
with longer durations or maturities are more sensitive to changes in interest rates than securities with shorter durations or maturities,
causing them to be more volatile. Conversely, fixed-income securities with shorter durations or maturities will be less volatile but may
provide lower returns than fixed-income securities with longer durations or maturities. In a rising interest rate environment, the duration
of income securities that have the ability to be prepaid or called by the issuer may be extended. In a declining interest rate environment,
the proceeds from prepaid or maturing instruments may have to be reinvested at a lower interest rate. Certain instruments held by the
Fund may pay an interest rate based on the London Interbank Offered Rate (“LIBOR”), which is the average offered rate for
various maturities of short-term loans between certain major international banks. LIBOR is used throughout global banking and financial
industries to determine interest rates for a variety of financial instruments (such as debt instruments and derivatives) and borrowing
arrangements. The ICE Benchmark Administration Limited, the administrator of LIBOR, ceased publishing certain LIBOR settings on December
31, 2021, and is expected to cease publishing the remaining LIBOR settings on June 30, 2023. Although the transition process away from
LIBOR has become increasingly well defined, the impact on certain debt securities, derivatives and other financial instruments that utilize
LIBOR remains uncertain. The phase-out of LIBOR may result in, among other things, increased volatility or illiquidity in markets for
instruments based on LIBOR and changes in the value of such instruments.
Convertible
and Other Hybrid Securities Risk. Convertible and other hybrid securities (including preferred and convertible instruments)
generally possess certain characteristics of both equity and debt securities. In addition to risks associated with investing in income
securities, such as interest rate and credit risks, hybrid securities may be subject to issuer-specific and market risks generally applicable
to equity securities. Convertible securities may also react to changes in the value of the common stock into which they convert, and are
thus subject to equity investing and market risks. A convertible security may be converted at an inopportune time, which may decrease
the Fund’s return.
Eaton Vance Global Dividend Income NextShares | 5 | Summary Prospectus dated March 1, 2022 as revised November 18, 2022 |
Preferred
Stock Risk. Although preferred stocks represent an ownership interest in an issuer, preferred stocks generally do not have
voting rights or have limited voting rights and have economic characteristics similar to fixed-income securities. Preferred stocks are
subject to issuer-specific risks generally applicable to equity securities and credit and interest rate risks generally applicable to
fixed-income securities. The value of preferred stock generally declines when interest rates rise and may react more significantly than
bonds and other debt instruments to actual or perceived changes in the company’s financial condition or prospects.
Additional
Risks of Loans. Loans are traded in a private, unregulated inter-dealer or inter-bank resale market and are generally subject
to contractual restrictions that must be satisfied before a loan can be bought or sold. These restrictions may impede the Fund’s
ability to buy or sell loans (thus affecting their liquidity) and may negatively impact the transaction price. See also “Market
Risk” above. It also may take longer than seven days for transactions in loans to settle. Due to the possibility of an extended
loan settlement process, the Fund may hold cash, sell investments or temporarily borrow from banks or other lenders to meet short-term
liquidity needs, such as to satisfy redemption requests from Fund investors. The types of covenants included in loan agreements generally
vary depending on market conditions, the creditworthiness of the issuer, the nature of the collateral securing the loan and possibly other
factors. Loans with fewer covenants that restrict activities of the borrower may provide the borrower with more flexibility to take actions
that may be detrimental to the loan holders and provide fewer investor protections in the event of such actions or if covenants are breached.
The Fund may experience relatively greater realized or unrealized losses or delays and expense in enforcing its rights with respect to
loans with fewer restrictive covenants. Loans to entities located outside of the U.S. may have substantially different lender protections
and covenants as compared to loans to U.S. entities and may involve greater risks. The Fund may have difficulties and incur expense enforcing
its rights with respect to non-U.S. loans and such loans could be subject to bankruptcy laws that are materially different than in the
U.S. Loans may be structured such that they are not securities under securities law, and in the event of fraud or misrepresentation by
a borrower, lenders may not have the protection of the anti-fraud provisions of the federal securities laws. Loans are also subject to
risks associated with other types of income investments, including credit risk and risks of lower rated investments.
Lower Rated
Investments Risk. Investments rated below investment grade and comparable unrated investments (sometimes referred to as “junk”)
have speculative characteristics because of the credit risk associated with their issuers. Changes in economic conditions or other circumstances
typically have a greater effect on the ability of issuers of lower rated investments to make principal and interest payments than they
do on issuers of higher rated investments. An economic downturn generally leads to a higher non-payment rate, and a lower rated investment
may lose significant value before a default occurs. Lower rated investments typically are subject to greater price volatility and illiquidity
than higher rated investments.
Restricted
Securities Risk. Unless registered for sale to the public under applicable federal securities law, restricted securities can
be sold only in private transactions to qualified purchasers pursuant to an exemption from registration. The sale price realized from
a private transaction could be less than the Fund’s purchase price for the restricted security. It may be difficult to identify
a qualified purchaser for a restricted security held by the Fund and such security could be deemed illiquid. It may also be more difficult
to value such securities.
Liquidity
Risk. The Fund is exposed to liquidity risk when trading volume, lack of a market maker or trading partner, large position
size, market conditions, or legal restrictions impair its ability to sell particular investments or to sell them at advantageous market
prices. Consequently, the Fund may have to accept a lower price to sell an investment or continue to hold it or keep the position open,
sell other investments to raise cash or abandon an investment opportunity, any of which could have a negative effect on the Fund’s
performance. These effects may be exacerbated during times of financial or political stress.
Real Estate
Risk. Real estate investments are subject to risks associated with owning real estate, including declines in real estate values,
increases in property taxes, fluctuations in interest rates, limited availability of mortgage financing, decreases in revenues from underlying
real estate assets, declines in occupancy rates, changes in government regulations affecting zoning, land use, and rents, environmental
liabilities, and risks related to the management skill and creditworthiness of the issuer. Companies in the real estate industry may also
be subject to liabilities under environmental and hazardous waste laws, among others. REITs must satisfy specific requirements for favorable
tax treatment and can involve unique risks in addition to the risks generally affecting the real estate industry. Changes in underlying
real estate values may have an exaggerated effect to the extent that investments are concentrated in particular geographic regions or
property types.
ETF Risk.
ETFs are subject to the risks of investing in the underlying securities or other investments. ETF shares may trade at a premium or discount
to net asset value and are subject to secondary market trading risks. In addition, the Fund will bear a pro rata portion of the operating
expenses of an ETF in which it invests. Other pooled investment vehicles generally are subject to risks similar to those of ETFs.
Eaton Vance Global Dividend Income NextShares | 6 | Summary Prospectus dated March 1, 2022 as revised November 18, 2022 |
Derivatives
Risk. The Fund’s exposure to derivatives involves risks different from, or possibly greater than, the risks associated
with investing directly in securities and other investments. The use of derivatives can lead to losses because of adverse movements in
the price or value of the security, instrument, index, currency, commodity, economic indicator or event underlying a derivative (“reference
instrument”), due to failure of a counterparty or due to tax or regulatory constraints. Derivatives may create leverage in the Fund,
which represents a non-cash exposure to the underlying reference instrument. Leverage can increase both the risk and return potential
of the Fund. Derivatives risk may be more significant when derivatives are used to enhance return or as a substitute for a cash investment
position, rather than solely to hedge the risk of a position held by the Fund. Use of derivatives involves the exercise of specialized
skill and judgment, and a transaction may be unsuccessful in whole or in part because of market behavior or unexpected events. Changes
in the value of a derivative (including one used for hedging) may not correlate perfectly with the underlying reference instrument. Derivative
instruments traded in over-the-counter markets may be difficult to value, may be illiquid, and may be subject to wide swings in valuation
caused by changes in the value of the underlying reference instrument. If a derivative’s counterparty is unable to honor its commitments,
the value of Fund shares may decline and the Fund could experience delays in the return of collateral or other assets held by the counterparty.
The loss on derivative transactions may substantially exceed the initial investment, particularly when there is no stated limit on the
Fund’s use of derivatives. A derivative investment also involves the risks relating to the reference instrument underlying the investment.
Short Sale
Risk. The Fund will incur a loss as a result of a short sale if the price of the security sold short increases in value between
the date of the short sale and the date on which the Fund purchases the security to replace the borrowed security. Short sale risks include,
among others, the potential loss of more money than the actual cost of the investment, and the risk that the third party to the short
sale may fail to honor its contract terms, causing a loss to the Fund.
Money Market
Instrument Risk. Money market instruments may be adversely affected by market and economic events, such as a sharp rise in
prevailing short-term interest rates; adverse developments in the banking industry, which issues or guarantees many money market instruments;
adverse economic, political or other developments affecting issuers of money market instruments; changes in the credit quality of issuers;
and default by a counterparty.
Securities
Lending Risk. Securities lending involves a possible delay in recovery of the loaned securities or a possible loss of rights
in the collateral if the borrower fails financially. The Fund could also lose money if the value of the collateral decreases.
Risks Associated
with Active Management. The success of the Fund’s investment strategy depends on portfolio management’s successful
application of analytical skills and investment judgment. Active management involves subjective decisions.
General Fund
Investing Risks. The Fund is not a complete investment program and there is no guarantee that the Fund will achieve its investment
objective. It is possible to lose money by investing in the Fund. The Fund is designed to be a long-term investment vehicle and is not
suited for short-term trading. Investors in the Fund should have a long-term investment perspective and be able to tolerate potentially
sharp declines in value. Purchase and redemption activities by Fund investors may impact the management of the Fund and its ability to
achieve its investment objective(s). In addition, the redemption by one or more large investors or groups of investors of their holdings
in the Fund could have an adverse impact on the remaining investors in the Fund. The Fund relies on various service providers, including
the investment adviser, in its operations and is susceptible to operational, information security and related events (such as public health
crises, cyber or hacking attacks) that may affect the service providers or the services that they provide to the Fund. An investment in
the Fund is not a deposit in a bank and is not insured or guaranteed by the Federal Deposit Insurance Corporation or any other government
agency.
Eaton Vance Global Dividend Income NextShares | 7 | Summary Prospectus dated March 1, 2022 as revised November 18, 2022 |
Performance
The returns in the bar chart and table for the period from March 28,
2016 (commencement of operations) to December 31, 2021 are for the Fund and for periods before the date the Fund commenced operations
are for a mutual fund that invests in the Portfolio (the “Portfolio Investor”). The bar chart and table provide some
indication of the risks of investing in the Fund by showing changes in the Fund’s performance from year to year and how the Portfolio
Investor/Fund’s average annual returns at NAV over time compare with those of two broad-based securities market indices and a blended
index. The performance prior to March 28, 2016 does not represent the performance of the Fund. The investment performance of the Portfolio
Investor (rather than the Portfolio itself) is shown because it reflects the expenses typically borne by a retail fund investing in the
Portfolio. The Portfolio Investor returns are not adjusted to reflect differences between the total net operating expenses of the Fund
and the Portfolio Investor during the periods shown. If such adjustment was made, the performance presented prior to March 28, 2016 would
be higher, because the Fund’s total net operating expenses are lower than those of the Portfolio Investor. Past performance (both
before and after taxes) is not necessarily an indication of how the Fund will perform in the future. The Fund’s performance reflects
the effects of expense reductions. Absent these reductions, performance would have been lower. Updated Fund performance information can
be obtained by visiting www.eatonvance.com.
For the ten years ended December 31, 2021, the highest quarterly
total return for the Fund was 16.07% for the quarter ended June 30, 2020, and the lowest quarterly return was -19.83% for the quarter
ended March 31, 2020.
Average Annual Total Return as of December 31, 2021 |
One Year |
Five Years |
Ten Years |
Return Before Taxes |
16.08% |
11.33% |
10.05% |
Return After Taxes on Distributions |
14.25% |
9.20% |
8.47% |
Return After Taxes on Distributions and Sale of Fund Shares |
10.42% |
8.51% |
7.88% |
MSCI World Index (reflects net dividends, which reflect the deduction of withholding taxes) |
21.82% |
15.02% |
12.69% |
ICE BofAML Developed Markets High Yield Ex-Subordinated Financial Index (reflects gross returns) |
3.15% |
5.86% |
6.26% |
Blended Index* |
15.05% |
11.85% |
10.49% |
*The
blended index consists of 65% MSCI World Index and 35% ICE BofAML Developed Markets High Yield Ex-Subordinated Financial Index, rebalanced
monthly. The MSCI World Index reflects net dividends which includes the deduction of withholding taxes. The ICE BofAML Developed Markets
High Yield Ex-Subordinated Financial Index reflects gross returns.
Prior to December 7, 2015, the Portfolio Investor invested
at least 80% of net assets in dividend-paying common and preferred stocks. Effective December 7, 2015, the Portfolio Investor changed
its principal investment strategies to invest in common stocks, preferred stocks and other hybrid securities and income instruments of
U.S. and foreign issuers. As of such date, the Portfolio Investor is no longer required to invest at least 80% of its net assets in dividend-paying
common and preferred stocks. The net asset values used in the performance calculation may be rounded to the nearest cent prior to calculation.
(Source for MSCI World Index: MSCI) MSCI data may not be reproduced or used for any other purpose. MSCI provides no warranties, has not
prepared or approved this data, and has no liability hereunder. ICE®
BofAML® indices are not for redistribution or other
uses; provided “as is,” without warranties, and with no liability. Eaton Vance has prepared this report and ICE Data Indices,
LLC does not endorse it, or guarantee, review, or endorse Eaton Vance’s products. BofAML®
is a licensed registered trademark of Bank of America Corporation in the United States and other countries. Investors cannot invest directly
in an Index.
After-tax returns are calculated using the highest historical
individual federal income tax rates and do not reflect the impact of state and local taxes. Actual after-tax returns depend on an investor’s
tax situation and the actual characterization of distributions, and may differ from those shown. After-tax returns are not relevant to
investors who hold shares in tax-deferred accounts or to shares held by non-taxable entities. Return After Taxes on Distributions for
a period may be the same as Return Before Taxes for that period because no taxable distributions were made during that period. Also, Return
After Taxes on Distributions and Sale of Fund Shares for a period may be greater than or equal to Return Before Taxes and/or Return After
Taxes on Distributions for the same period because of losses realized on the sale of Fund shares.
Eaton Vance Global Dividend Income NextShares | 8 | Summary Prospectus dated March 1, 2022 as revised November 18, 2022 |
Management
Investment
Adviser. Eaton Vance Management (“Eaton Vance”) serves as investment adviser to the Fund. Boston Management and
Research (“BMR”) serves as investment adviser to the Portfolio(s).
Investment
Sub-Adviser. Eaton Vance Advisers International Ltd. (“EVAIL”).
Portfolio Managers
Christopher
Dyer (lead portfolio manager), Director and Vice President of EVAIL and Director of Global Equity for the Eaton Vance organization,
has managed the Fund and the Portfolio since their inception in March 2016.
Derek J.V.
DiGregorio, Vice President of Eaton Vance and BMR, has managed the Fund and the Portfolio since July 2021.
Jeffrey D.
Mueller, Vice President of EVAIL, has managed the Fund and the Portfolio since their inception in March 2016.
Purchases and Sales of Fund Shares
Buying and
Selling Shares in the Secondary Market. Shares of the Fund are listed and available for trading on The NASDAQ Stock Market
LLC (the “Listing Exchange”) during the Listing Exchange’s core trading session (generally 9:30 am to 4:00 pm Eastern
Time). Shares may also be bought and sold on other national securities exchanges and alternative trading systems that have obtained appropriate
licenses, adopted applicable rules and developed systems to support trading in Fund shares. Fund shares may be purchased and sold in the
secondary market only through a Broker. When buying or selling shares, you may incur trading commissions or other charges determined by
your Broker. The Fund does not impose any minimum investment for shares of the Fund purchased in the secondary market.
Buying and selling Fund shares is similar in most respects to buying
and selling ETFs and listed stocks. Throughout each trading day, market makers post on an exchange bids to buy shares and offers to sell
shares. Buyers and sellers submit trade orders through their Brokers. The executing trading venue matches orders received from Brokers
against market maker quotes and other orders to execute trades, and reports the results of completed trades to the parties to the trade,
member firms and market data services. Completed trades in Fund shares clear and settle just like ETF trades and listed stock trades,
with settlement normally occurring on the second following business day (T+2). Orders to buy and sell Fund shares that are not executed
on the day the order is submitted are automatically cancelled as of the close of trading that day.
Trading in Fund shares differs from buying and selling ETFs and listed
stocks in four respects:
| · | how intraday prices of executed trades and bids and offers posted by market makers are expressed; |
| · | how to determine the number of shares to buy or sell if you seek to transact in an approximate dollar amount; |
| · | what limit orders mean and how limit prices are expressed; and |
| · | how and when the final price of executed trades is determined. |
Intraday
Prices and Quote Display Format. The intraday price of executed trades and bids and offers quoted for Fund shares are all expressed
relative to the Fund’s next determined NAV, rather than as an absolute dollar price. As noted above, the Fund’s NAV is normally
determined as of the close of regular market trading each business day. As an illustration, shares of the Fund may be quoted intraday
at a best bid of “NAV -$0.01” and a best offer of “NAV +$0.02.” A buy order executed at the quoted offer price
would, in this example, be priced at two cents over the Fund’s NAV on the trade date. If the last trade in Fund shares was priced
at two cents over NAV (the current best offer), it would be displayed as “NAV +$0.02.”
Bid and offer quotes and prices of Fund shares in NAV-based format can
be accessed intraday on certain Broker terminals using the Fund’s ticker symbol. Market data services may display bid and offer
quotes and trade prices in NAV-based format or in “proxy price” format, in which NAV is represented as 100.00 and premiums/discounts
to NAV are represented by the same difference from 100.00 (to illustrate, NAV-$0.01 would be shown as 99.99 and NAV+$0.02 as 100.02).
Historical information about the Fund’s trading costs and trading spreads is provided on its webpage on eatonvance.com.
Eaton Vance Global Dividend Income NextShares | 9 | Summary Prospectus dated March 1, 2022 as revised November 18, 2022 |
Sizing Buy
and Sell Orders. NextShares may be purchased and sold in specified share or dollar quantities, although not all Brokers may
accept dollar-based orders. In share-based orders, you specify the number of fund shares to buy or sell. Like share-based ETF and listed
stock orders, determining the number of Fund shares to buy or sell if you seek to transact in an approximate dollar amount requires dividing
the intended purchase or sale amount by the estimated price per share. To assist buyers and sellers in estimating transaction prices,
the Fund makes available at intervals of not more than 15 minutes during the Listing Exchange’s regular trading session an indicative
estimate of the Fund’s current portfolio value (“Intraday Indicative Value” or “IIV”). IIVs can be accessed
on the Fund’s webpage at eatonvance.com and may also be available from Brokers and market data services.
The price of a transaction in Fund shares can be estimated as the sum
of the most recent IIV and the current bid (for sales) or offer (for purchases). If, for example, you seek to buy approximately $15,000
of Fund shares when the current IIV is $19.98 and the current offer is NAV +$0.02, you should place an order to buy 750 shares (= $15,000
÷ $20.00). And if you seek to sell approximately $15,000 of Fund shares when the current IIV is $19.98 and the current bid is NAV
-$0.01, you should sell 751 shares (≈ $15,000 ÷ $19.97).
Because IIVs are estimates and will generally differ from NAV, they
cannot be used to calculate with precision the dollar value of a prescribed number of shares to be bought or sold. Investors should understand
that share transaction prices are based on the Fund’s next determined NAV, and that NAVs may vary significantly from IIVs during
periods of intraday market volatility.
Limit Orders.
A “limit order” is an order placed with a Broker to buy or sell a prescribed number of shares at a specified price or better.
In entering limit orders to buy or sell Fund shares, limit prices are expressed relative to NAV (i.e., NAV +$0.02, NAV -$0.01), rather
than as an absolute dollar price. By using limit orders, buyers and sellers of NextShares can control their trading costs in a manner
not available for ETFs.
Although limit orders can be used to control differences in trade price
versus NAV, they cannot be used to control or limit absolute trade execution prices.
Eaton Vance Global Dividend Income NextShares | 10 | Summary Prospectus dated March 1, 2022 as revised November 18, 2022 |
Final Prices
of Executed Trades. The premium or discount to NAV at which Fund shares trade is locked in at the time of trade execution,
with the final price contingent upon the determination of NAV at the end of the trading day. If, for example, an order to buy or sell
shares executes at NAV +$0.02 and the Fund’s NAV on the day of the trade is $20.00, the final trade price is $20.02.
The premium or discount to NAV at which Fund shares trade depends on
market factors, including the balance of supply and demand for shares among investors, transaction fees and other costs associated with
creating and redeeming Creation Units, competition among market makers, the share inventory positions and inventory strategies of market
makers, and the volume of share trading. NextShares do not offer investors the opportunity to buy and sell intraday at currently (versus
end-of-day) determined prices. Buyers and sellers of shares will not know the final trade price of executed trades until the Fund’s
NAV is determined at the end of the trading day. Trading prices of shares may be above, at or below NAV, and may vary significantly from
NAV during periods of market volatility.
Transactions
Directly with the Fund. The Fund issues and redeems shares only in Creation Unit blocks of 25,000 shares or multiples thereof.
Creation Units may be purchased or redeemed only by or through “Authorized Participants,” which are broker-dealers or institutional
investors that have entered into agreements with the Fund’s distributor for this purpose. The Fund issues and redeems Creation Units
in return for the securities, other instruments and/or cash (the “Basket”) that the Fund specifies each business day. The
Fund’s Basket is not intended to be representative of current holdings and may vary significantly from current portfolio positions.
The Fund imposes transaction fees on Creation Units issued and redeemed to offset the estimated cost to the Fund of processing the transaction
and converting the Basket to or from the desired portfolio composition. For more information, see “Buying and Selling Shares.”
Tax Information
If your shares are held in a taxable account, the Fund’s distributions
will be taxed to you as ordinary income and/or capital gains, unless you are exempt from taxation. If your shares are held in a tax-advantaged
account, you will generally be taxed only upon withdrawals from the account.
Payments to Broker-Dealers and Other Financial Intermediaries
If you purchase the Fund’s shares through a broker-dealer or other
financial intermediary (such as a bank) (collectively, “financial intermediaries”), you should be aware that the Fund’s
investment adviser (or one of its affiliates) may pay the financial intermediary for the sale of Fund shares and related services. These
payments may create a conflict of interest by influencing the financial intermediary and your salesperson to recommend the Fund over another
investment. Ask your salesperson or visit your financial intermediary’s website for more information.
21523 11.18.22 |
NextShares® is a registered trademark of NextShares Solutions LLC. All rights reserved. |
|
© 2022 Eaton Vance Management |
Eaton Vance Global Dividend Income NextShares | 11 | Summary Prospectus dated March 1, 2022 as revised November 18, 2022 |
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