Is it a book keeping issue? They are converting "unitized" to "real-time", so there is an accurate assessment of shares. If there is a TO how do they make an offer on shares that are comprised as "units" in an index fund? So, it could be for accurate record keeping?
"This means there will now be better liquidity for plan participants. The fund can go in and out of the markets buy or sell actual shares."
It's always good to be able to liquidate expeditiously. Middle management was probably not too pleased when they couldn't unload quickly in August when they had their unexpected secondary, and so now the board is addressing their complaints. However, it is fun to speculate that they may be greasing the wheels for the TO.
This looks very interesting. Yes I think something big is about to happen. If you look at the 8k, it says they will basically be converting the EXEL Stock FUND to INDIVIDUAL shares in the 401k. Well, why do the need to convert to individual shares. I am not going to start any rumors, but remember last year when EXEL started working with Goldman with potential buyout in the future? Something is going on.
I wouldn't read into this in either direction. Sounds like they're simply changing from units (psar's?) to actual stock prices. My company went the opposite direction when we were bought out and were taken private. Psar's are phantom stock appreciation designed to mimic real stock.