Bear Stearns Announces the Launch of the First Actively Managed Exchange Traded Fund

  
    
  
  
    
      Bear Stearns Asset Management (“BSAM”) 
      today announced the launch of the Bear Stearns Current Yield Fund (AMEX: 
      YYY), the first actively managed exchange traded fund (ETF).
    
    
      YYY, or Triple-Y, is composed of a variety of short-term fixed income 
      instruments. The Fund aims to generate higher returns than an average 
      money market fund by investing in diversified, high-quality securities, 
      including governments, municipal securities, bank obligations, corporate 
      and securitized debt. Triple-Y Shares can be purchased and sold 
      intraday, with portfolio holdings fully disclosed each day via BSAM’s 
      website www.yyyfund.com. Triple-Y 
      is the first product launched by the Bear Stearns Active ETF Trust.
    
    
      “We are excited to be introducing the first 
      actively managed ETF into the marketplace,” 
      said Jeff Lane, Chairman and CEO of Bear Stearns Asset Management. “The 
      Bear Stearns Current Yield Fund is an innovative vehicle which allows 
      investors to manage short-term fixed income. Through Triple-Y, investors 
      have access to a talented management team, with a long and successful 
      track record in this space. In addition, the Fund offers full 
      transparency of holdings every day on the internet, liquidity via 
      exchange trading and institutional class fees for all investors.”
    
    
      Triple-Y is managed by a team of fixed income professionals at BSAM, led 
      by senior portfolio manager Scott Pavlak. Mr. Pavlak has more than 20 
      years of investment experience and has been managing portfolios similar 
      to Triple-Y for over 15 years.
    
    
      “Utilizing a disciplined investment process, 
      we seek to add value through sector allocation, security selection, 
      yield curve positioning, and duration management,” 
      said Mr. Pavlak. “We use a conservative 
      approach which aims to maximize income for our investors, while 
      preserving capital.”
    
    
      Triple – Y will be available on the American 
      Stock Exchange on March 18, 2008.
    
    
      About Bear Stearns Asset Management Inc.
    
    
      Bear Stearns Asset Management Inc. (BSAM®) is 
      a wholly-owned subsidiary of The Bear Stearns Companies Inc. (NYSE: 
      BSC). BSAM is a solutions-based provider of asset management and 
      advisory services. Serving institutional and high-net-worth investors 
      around the world, BSAM offers a broad portfolio of investment 
      opportunities. These include carefully-selected strategies in equity, 
      fixed income, hedge funds, and private equity.
    
    
      The Bear Stearns Current Yield Fund (“YYYSM” 
      or the “Fund”) is 
      a series of the Bear Stearns Active ETF Trust (the “Trust”) 
      and is an actively managed exchange traded fund (“ETF”). 
      The Trust is registered with the Securities and Exchange Commission as 
      an investment company under the Investment Company Act of 1940, as 
      amended. Bear Stearns Asset Management Inc. (“BSAM”), 
      a wholly owned subsidiary of The Bear Stearns Companies Inc., serves as 
      the investment adviser to the Fund.
    
    
      Investing involves risk, including potential loss of principal. 
      Investing in fixed income instruments involves special risks, such 
      as interest rate, credit and inflation risk. The Fund will 
      invest in instruments that may be sensitive to small changes in interest 
      rates and thus the Fund’s net asset value may 
      be volatile. Accordingly, the Fund may not be suitable for 
      all investors.
    
    
      The Fund is not a money market fund, and thus does not seek to 
      maintain any target share price. There is no market 
      history for actively managed exchange traded funds; as a result, there 
      is no way to know how the Fund will perform. Unlike typical exchange 
      traded funds, the Fund does not attempt to track or replicate any index. 
      The ability of the Fund to achieve its objectives will depend on 
      the effectiveness of the Fund’s portfolio 
      management team.
    
    
      YYY shares are bought and sold at market price and are not individually 
      redeemable from the Fund. YYY shares are listed on the American Stock 
      Exchange (“AMEX”) 
      under the ticker symbol “YYY”. 
      Individual investors can invest in the Fund by purchasing YYY shares 
      through a brokerage account. Normal brokerage commissions will apply, 
      and can reduce returns.
    
    
      Although not individually redeemable, special large institutional 
      shareholders can acquire and redeem YYY shares directly from the Fund in 
      aggregated “Creation Units” 
      (50,000 share minimum). Only large institutional investors that enter 
      into an agreement with the Fund’s distributor 
      can purchase or redeem Creation Units directly from the Fund. These 
      large institutional investors are expected to break up Creation Units 
      and sell individual YYY shares in the secondary market. YYY shares may 
      trade in the secondary market below, at or above their net asset value.
    
    
      There is no guarantee that a secondary market in YYY shares will develop.
    
    
      Consider the investment objective, risks, charges and expenses of 
      the Fund carefully before investing. You may obtain a 
      prospectus which contains this and other information at www.yyyfund.com 
      or by calling toll-free (866) YYY-9160 or [phone]. Read 
      the prospectus carefully before investing.
    
    
      Buying and selling YYY shares may generate taxable gains and losses. The 
      information contained herein should not be construed as tax advice. 
      Investors should consult an independent tax adviser.
    
    
      NOT FDIC INSURED – NO BANK GUARANTEE – 
      MAY LOSE VALUE
    
    
      American Stock Exchange® and AMEX® 
      are registered service/trademarks of the American Stock Exchange LLC. 
      AMEX has licensed intellectual property used by the Trust and the Fund 
      to BSAM and the Trust.
    
    
      Bear Stearns® and BSAM® 
      are registered trademarks of The Bear Stearns Companies Inc. ALPS 
      Distributors, Inc. is the Distributor for the Trust, and is not 
      affiliated with BSAM. All product names and logos contained herein are 
      the trademarks or registered trademarks of their respective owners.
    
    
      © 2008 Bear Stearns Asset Management Inc. All 
      rights reserved.