PALM BEACH GARDENS, FL, UNITED STATES, December 5, 2024 /EINPresswire.com/ — Today, the 2x Corn ETF (Ticker: CORX) and the 2x Wheat ETF (Ticker: WHTX) will be live and trading on all major brokerage platforms.
Volatility Shares is a leader in the development of innovative leveraged ETFs with more than $5bn in AUM as of 12/05/2024. Volatility Shares is a Registered Investment Adviser registered with the SEC and a Commodity Pool Operator (CPO) registered with the NFA.
Visit our website to learn more: www.volatilityshares.com.
Disclosure
Past performance is not necessarily indicative of future results.
An investor should consider the investment objectives, risks, and charges and expenses of the Funds carefully before investing. A prospectus or summary prospectus which contains this and other information about the Funds may be obtained by calling 866-261-0273. Read it carefully before investing.
Investing involves risk; Principal loss is possible.
The return of the Funds for periods longer than a single day will be the result of its return for each day compounded over the period. The Funds’ returns for periods longer than a single day will very likely differ in amount, and possibly even direction, from the Funds’ stated multiple (2x) times the return of the daily changes in the price of corn or wheat for future delivery for the same period. For periods longer than a single day, the Funds will lose money if corn or wheat performance is flat, and it is possible that the Funds will lose money even if the price of corn or wheat for future delivery increases.
The Funds present different risks than other types of funds. The Funds may not be suitable for all investors and should be used only by knowledgeable investors who understand the consequences of seeking daily leveraged (2x) investment results, including the impact of compounding on each Fund’s performance. The Funds are intended to be used as a short-term trading vehicles. Investors in the Funds should actively manage and monitor their investments, as frequently as daily. The Funds are not intended to be used by, and are not appropriate for, investors who do not actively monitor and manage their portfolio. An investor in the Funds could potentially lose the full value of their investment within a single day. The Funds do not intend to take physical delivery of commodities in which they invest. Instead, the Funds seeks to benefit from increases in the price of Corn Futures Contracts or Wheat Futures Contracts for a single day.
Daily rebalancing and the compounding of each day’s return over time means that the return of the Funds for a period longer than a single day will be the result of each day’s returns compounded over the period. This will very likely differ in amount, and possibly even direction, from twice the return of corn or wheat for the same period. The Funds will lose money if corn or wheat performance is flat over time. The Funds can lose money regardless of the performance of corn or wheat, as a result of daily rebalancing, corn or wheat volatility, compounding of each day’s return and other factors.
Compounding Risk. The Funds have a single day investment objective, and the Funds’ performance for any other period is the result of its return for each day compounded over the period.
Leveraged Correlation Risk. Several factors may affect the Funds’ ability to achieve a high degree of leveraged (2x) correlation with corn or wheat and there is no guarantee that the Funds will achieve a high degree of correlation each day compounded over the period.
Rebalancing Risk. If for any reason the Funds are unable to rebalance all or a portion of its portfolio, or if all or a portion of the portfolio is rebalanced incorrectly, the Funds’ investment exposure may not be consistent with the Funds’ daily investment objective.
Futures Contracts Risk. Risks of futures contracts include: (i) an imperfect correlation; (ii) possible lack of a liquid secondary market; (iii) the inability to close a futures contract when desired; (iv) losses caused by unanticipated market movements; and (v) unfavorable execution prices from rapid selling.
Liquidity Risk. The market for the corn and wheat futures contracts may be subject to periods of illiquidity. During such times it may be difficult or impossible to buy or sell a position at the desired price.
Active Management Risk. The Funds are actively managed, and its performance reflects investment decisions that the Adviser makes for the Funds.
Non-Diversification Risk. The Funds are classified as “non-diversified” under the 1940 Act.
Tax Risk. The Funds intend to elect and to qualify each year to be treated as a RIC under Subchapter M of the Code. If the Funds do not qualify as an RIC for any taxable year and certain relief provisions are not available, the Funds’ taxable income will be subject to tax at the Fund level and to a further tax at the shareholder level when such income is distributed.
Commodity Regulatory Risk. The Funds’ use of commodity futures subject to regulation by the CFTC has caused the Funds to be classified as a “commodity pool” and this designation requires that the Funds comply with CFTC rules, which may impose additional regulatory requirements and compliance obligations.
New Fund Risk. As of the date of this prospectus, the Funds have no operating history and currently have fewer assets than larger funds.
The value of an investment in the Funds could decline significantly and without warning, including to zero. You should be prepared to lose your entire investment within a single day. The Shares will change in value, and you could lose money by investing in the Funds. The Funds may not achieve their investment objectives.
Futures generally are volatile and are not suitable for all investors.
Shares are not FDIC insured, may lose value, and have no bank guarantee.
All supporting documentation will be provided upon request.
Foreside Fund Services, LLC is the distributor of the CORX and WHTX ETF.
Justin Young
Volatility Shares LLC
contact@volatilityshares.com
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