New S&P 500® Bear ETF

New S&P 500® Bear ETF

Direxion announced today it has added a new ETF to its existing lineup of inverse ETFs. The new Fund allows tactical managers to hedge against downturns in the S&P® 500. The Direxion Daily S&P 500® Bear 1X Shares (Ticker: SPDN) seeks daily investment results, before fees and expenses, of 100% of the inverse of the performance of the S&P 500® Index.

 

Fund

Symbol

CUSIP

Benchmark

Daily
Target

Gross
Expense

Ratio

Net
Expense
Ratio*

Direxion Daily S&P 500®
Bear 1X Shares

SPDN

25490K216

S&P 500® Index

-100%

0.58%

0.45%

 

“With the S&P 500 near all-time highs and trepidation about the future of the global economy, wealth managers are thinking about how to position portfolios for market pullbacks and increased volatility,” said Sylvia Jablonski, Managing Director at Direxion. “SPDN allows tactical managers to capitalize on changing markets by taking an inverse view, or seeking downside protection in a simple, flexible and low-cost way.”

Like all inverse ETFs, this Fund is intended only for traders with an understanding of the risks associated with seeking inverse investment results, and who plan to actively monitor and manage their positions. There is no guarantee the Fund will meet its objective.

About Direxion:

Direxion builds bold products for investors who want more than the status quo. Our index-based products deliver directional options, magnified exposure, and long-term, rules-based strategies. Founded in 1997, the company has approximately $9.8 billion in assets under management as of March 31, 2016. Direxion’s diverse suite of products helps investors navigate today’s ever-changing markets. For more information, please visit www.direxioninvestments.com.

There is no guarantee that the funds will achieve their objectives.

For more information on all Direxion Shares daily leveraged ETFs, go to direxioninvestments.com, or call us at 866-476-7523.

The ETFs are not suitable for all investors and should be utilized only by investors who understand the risks associated with seeking daily inverse investment results, and intend to actively monitor and manage their investments. Due to the daily nature of the inverse investment strategies employed, there is no guarantee of long-term inverse returns. Past performance is not indicative of future results.

An investor should consider the investment objectives, risks, charges, and expenses of Direxion ETFs carefully before investing. The prospectus and summary prospectus contains this and other information about Direxion ETFs. Download a prospectus and summary prospectus at direxioninvestments.com. The prospectus and summary prospectus should be read carefully before investing.

* The Expense Cap of the Fund includes management fee and other operating expenses, but does not include indirect expenses such as Acquired Fund Fees and Expenses, leveraged interest and brokerage commissions. Including Acquired Fund Fees and Expenses the Fund’s Total Annual Fund Operating Expenses would be 0.47%. The Fund’s Advisor, Rafferty Asset Management, LLC has entered into an Operating Expense Limitation Agreement with the Fund. Under the Operating Expense Limitation Agreement, Rafferty has contractually agreed to cap all or a portion of its management fee and/or reimburse the Fund for Other Expenses through September 1, 2017, to the extent that the Fund’s Total Annual Fund Operating Expenses exceed *0.45%.

Risks:

An investment in the ETFs involves risk, including the possible loss of principal. The ETFs are non-diversified and include risks associated with concentration risk that results from the Funds’ investments in a particular industry or sector which can increase volatility. The use of derivatives such as futures contracts, forward contracts, options and swaps are subject to market risks that may cause their price to fluctuate over time. The Fund does not attempt to, and should not be expected to, provide returns which are a multiple of the return of the Index for periods other than a single day. For other risks including correlation, compounding, market volatility and specific risks regarding each sector, please read the prospectus.

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Shayne Heffernan Funds Manager at HEFFX holds a Ph.D. in Economics and brings with him over 25 years of trading experience in Asia and hands on experience in Venture Capital, he has been involved in several start ups that have seen market capitalization over $500m and 1 that reach a peak market cap of $15b. He has managed and overseen start ups in Mining, Shipping, Technology and Financial Services.

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