SUMMIT, N.J.--(BUSINESS WIRE)--ETF Managers Group LLC (ETFMG®), leading exchange-traded fund issuer, announced today the launch of their first suite of 2x Daily Leveraged and Inverse ETFs: ETFMG 2x Daily Travel Tech ETF (Ticker: AWYX), ETFMG Prime 2x Daily Junior Silver Miners ETF (Ticker: SILX), and ETFMG Prime 2x Daily Inverse Junior Silver Miners (Ticker: SINV). ETFMG becomes the first issuer to launch Leveraged ETFs utilizing the new ETF Rule.
Each ETFMG 2x Daily Leveraged or Inverse ETF is designed to seek daily leveraged investment results, before fees and expenses, of two times (2x) or 200% (or -200% with respect to any 2x Daily Inverse ETF) of the performance of its benchmark index. The funds do not seek to achieve their stated investment objective over a period of time greater than a single day.
The 2x Daily Leveraged and Inverse ETFs will give investors 2x exposure to themes already offered by ETFMG: travel technology (AWYX) and junior silver mining exploration and production (SILX and SINV).
“We’re very excited to be the first issuer to provide investors a way to gain leveraged exposure to some of our existing first-to-market thematic ETFs,” says Sam Masucci, CEO and Founder of ETFMG. “There is clear demand for leveraged ETFs, and these new products will give traders the means to access high-growth themes with magnified exposure.”
“Thematic and innovative index creation is at the heart of our company, and we are delighted that ETFMG has selected Prime Indexes to support the growth of its ETF suite,” said Kris Monaco, Managing Partner of Level ETF Ventures, owner of Prime Indexes. “We are proud to expand our relationship with ETFMG, and confident that its new leveraged ETFs will benefit from the success already achieved in those same themes.”
While ETFMG 2x Daily Leveraged and Inverse ETFs share similarities with non-leveraged ETFs there are two fundamental distinctions that impact the way they are managed and the way they perform:
- Each dollar invested provides $2 of the performance of the benchmark daily, which means 200% or 200% of the inverse (or opposite), of the daily risk and volatility.
- Seek to magnify the returns of their benchmarks for a single day; returns for periods greater than a day are impacted by compounded daily leveraged returns during the period.
Ticker |
Fund Name |
Expense
|
Benchmark |
AWYX |
ETFMG 2x Daily Travel Tech ETF |
0.95% |
Prime Travel Technology Index NTR |
SILX |
ETFMG Prime 2x Daily Junior Silver Miners ETF |
0.95% |
Prime Junior Silver Miners & Explorers Index |
SINV |
ETFMG Prime 2x Daily Inverse Junior Silver Miners ETF |
0.95% |
Prime Junior Silver Miners & Explorers Index |
ETFMG recommends that prospective investors seek the advice of an investment professional before making an investment in ETFMG 2x Daily Leveraged and Inverse ETFs.
For more information, visit: www.etfmg.com/leveraged
About ETFMG
ETFMG is a provider of exchange-traded funds (ETFs), founded in 2014 with a vision of developing innovative thematic ETFs that provide investors unique exposure to new markets. Today, the ETFMG fund line up provides access to a diverse collection of global themes and is comprised of 75% first-to-market products. We turn portfolio management strategies into successful ETFs by partnering with market segment experts to bring long-term growth opportunities to investors. ETFMG funds are proof as to the power of the ETF wrapper and that thematic products can have a place in investors’ portfolios. To learn more about ETFMG and our portfolio of exchange traded funds please visit www.etfmg.com.
About Prime Indexes
Prime Indexes creates financial indexes that solve problems for both professional and self-directed investors. Prime Indexes are used as the basis for innovative new investment solutions for investors and use intuitive design principles so that new investment products can ultimately provide low-cost, efficient, and convenient access.
For more information, visit www.primeindexes.com.
Carefully consider the Fund’s investment objectives, risk factors, charges, and expenses before investing. This and additional information can be found in the Fund’s prospectus, which may be obtained by calling 1-844-ETF-MGRS (1-844-383-6477), or by visiting www.etfmg.com. Read the prospectus carefully before investing.
Investing involves risk, including loss of principal. Shares of any ETF are bought and sold at market price (not NAV), may trade at a discount or premium to NAV and are not individually redeemed from the Fund. Brokerage commissions will reduce returns. Narrowly focused investments typically exhibit higher volatility. Companies in the technology field, including companies in the computers, telecommunications and electronics industries, face intense competition, which may have an adverse effect on profit margins. Technology companies may have limited product lines, markets, financial resources or personnel. The products of technology companies may face obsolescence due to rapid technological developments and frequent new product introduction, and such companies may face unpredictable changes in growth rates, competition for the services of qualified personnel and competition from foreign competitors with lower production costs. Companies in the technology sector are heavily dependent on patent and intellectual property rights. The loss or impairment of these rights may adversely affect the profitability of these companies.
Investing in an ETFMG 2x Daily Leveraged and Inverse ETF may be more volatile than investing in broadly diversified funds. The use of leverage by an ETF increases the risk to the ETF. The ETFMG 2x Daily Leveraged and Inverse ETFs are not suitable for all investors and should be utilized only by sophisticated investors who understand leverage risk, consequences of seeking daily leveraged, or daily inverse leveraged, investment results and intend to actively monitor and manage their investment.
The use of derivatives such as swaps are subject to additional risks that may cause prices to fluctuate over time and include the effects of compounding, market volatility, leverage risk, aggressive investment techniques risk, counterparty risk, and intra-day investment risk. Please see the summary and full prospectuses for a more complete description of these and other risks of investing in the Fund.
The Fund is a recently organized, diversified management investment company with limited operating history. ETF Managers Group LLC is the investment advisor to the Fund.
The Fund is distributed by ETFMG Financial LLC. ETF Managers Group LLC and ETFMG Financial LLC are wholly owned subsidiaries of Exchange Traded Managers Group LLC (collectively, “ETFMG”). ETFMG is not affiliated with Prime Indexes.
The Fund is intended to be made available only to U.S. residents. Under no circumstances is any information provided on this website intended for distribution to or use by, or to be an offer to sell to or solicitation of an offer to buy the Fund or any investment product or service of, any person or entity in any jurisdiction or country, other than the United States, where such distribution, use, offer or solicitation would subject the Fund or its affiliates to any registration requirement or be unlawful under the securities laws of that jurisdiction or country.
