Meme-Stock Casualty Plotkin Joins Rich Shifting Assets Into ETFs

Hedge fund manager turned NBA owner Gabe Plotkin, who shut his firm after a bruising showdown with meme-stock traders, is planning to convert some of his own assets into an ETF using a tactic that’s helped a slew of wealthy investors defer tax.

The co-chairman of the Charlotte Hornets will provide the majority of initial securities for the Snowball ETF, according to two people familiar with the matter who asked not to be identified because the information is private. The exchange-traded fund, a filing for which was first made in December, is set to be created via what’s known as a 351 conversion, the people said. That’s a process to turn an existing portfolio of assets into an ETF, a practice that’s been booming on Wall Street because of its potential tax advantages.