Options Market Now Open for T-REX 2X Long MSTR Daily Target ETF (CBOE: MSTU)
MIAMI--(BUSINESS WIRE)--Nov 27, 2024--
REX Shares and Tuttle Capital Management (“T-REX”) announce that weekly options are now available for the T-REX 2X Long MSTR Daily Target ETF (CBOE: MSTU). This latest development expands the choices available for sophisticated investors to capture MicroStrategy’s (MSTR) performance, allowing them to engage with the stock with greater flexibility and strategic depth.
The T-REX 2X Long MSTR Daily Target ETF is the first fund to achieve 2X leverage exposure and remains the largest, most actively traded MSTR-focused fund. In just over two months since inception, MSTU has amassed over $2.5 billion in assets under management. MSTU is designed for traders who are bullish on MicroStrategy, offering the potential to amplify daily returns with 200% exposure to the daily price movement of its stock. With the weekly options market now open, investors can take their trading strategies a step further by utilizing options to fine-tune their positions, hedge risk, or capitalize on market volatility.
For more information about MSTU, please visit www.rexshares.com.
MSTR is not suitable for all investors. The Fund is designed to be utilized only by knowledgeable investors who understand the potential consequences of seeking daily leverage (2X) investment results, understand the risks associated with the use of leverage and are willing to monitor their portfolios frequently. Investing in the funds is not equivalent to investing directly in MSTR as the fund will generally hold 0% of underlying shares of MSTR.
About REX Financial:
REX Financial is an innovative ETP provider specializing in alternative-strategy ETFs and ETNs, with over $9 billion in assets under management. REX is renowned for creating MicroSectors™ and co-creating the T-REX product lines of leveraged and inverse tools for traders and recently launched a series of option-based income strategies.
About Tuttle Capital Management:
Tuttle Capital Management is an industry leader in offering thematic and actively managed ETFs. TCM utilizes informed agility when managing portfolios, an approach that, from an informed standpoint, can assess and blend effective elements from multiple investment styles, and, from a position of agility, aims to stay in harmony with market trends without being too passive or too active. Please visit www.tuttlecap.com for more information.
Investors should consider the investment objectives, risk, charges, and expenses carefully before investing. For a prospectus or summary prospectus with this and other information about the T-REX ETFs please call 1-844-802-4004 or visit our website at rexshares.com. Read the prospectus and summary prospectus carefully before investing.
There is no guarantee that the Funds will achieve their investment objectives. Investing involves risk, including possible loss of principal.
Because of daily rebalancing and the compounding of each day’s return over time, the return of the Fund for periods longer than a single day will be the result of each day’s returns compounded over the period, which will very likely differ from 200% of the return of the underlying security over the same period. The Fund will lose money if the underlying security performance is flat over time, and as a result of daily rebalancing, the underlying security’s volatility and the effects of compounding, it is even possible that the Fund will lose money over time while the underlying security’s performance increases over a period longer than a single day.
The Funds’ investment adviser will not attempt to position each Fund’s portfolio to ensure that a Fund does not gain or lose more than a maximum percentage of its net asset value on a given trading day. As a consequence, if a Fund’s underlying security moves more than 50%, as applicable, on a given trading day in a direction adverse to the Fund, the Fund’s investors would lose all of their money.
Important Risks
Fixed Income Securities Risk. When the Fund invests in fixed income securities, the value of your investment in the Fund will fluctuate with changes in interest rates. Typically, a rise in interest rates causes a decline in the value of fixed income securities owned by the Fund.
Effects of Compounding and Market Volatility Risk. The Fund has a daily leveraged investment objective and the Fund’s performance for periods greater than a trading day will be the result of each day’s returns compounded over the period, which is very likely to differ from +/-200% of MSTR’s performance, before fees and expenses.
Leverage Risk. The Fund obtains investment exposure in excess of its net assets by utilizing leverage and may lose more money in market conditions that are adverse to its investment objective than a fund that does not utilize leverage. An investment in the Fund is exposed to the risk that a decline in the daily performance of MSTR will be magnified. This means that an investment in the Fund will be reduced by an amount equal to 2% for every 1% daily decline in MSTR, not including the costs of financing leverage and other operating expenses, which would further reduce its value.
Indirect Investment Risk. MicroStrategy Inc. is not affiliated with the Trust, the Adviser or any affiliates thereof and is not involved with this offering in any way, and has no obligation to consider the Fund in taking any corporate actions that might affect the value of the Fund. The Trust, the Fund and any affiliate are not responsible for the performance of MicroStrategy Inc. and make no representation as to the performance of MSTR. Investing in the Fund is not equivalent to investing in MSTR. Fund shareholders will not have voting rights or rights to receive dividends or other distributions or any other rights with respect to MSTR.
Industry Concentration Risk. The Fund will be concentrated in the industry to which MicroStrategy Inc. is assigned (i.e., hold more than 25% of its total assets in investments that provide inverse exposure to the industry to which MicroStrategy Inc. is assigned). A portfolio concentrated in a particular industry may present more risks than a portfolio broadly diversified over several industries. As of the date of this prospectus, MSTR is assigned to the information technology sector and the software industry.
Liquidity Risk. Holdings of the Fund may be difficult to buy or sell or may be illiquid, particularly during times of market turmoil. Illiquid securities may be difficult to value, especially in changing or volatile markets.
New Fund Risk. As of the date of this prospectus, the Fund has no operating history and currently has fewer assets than larger funds. Like other new funds, large inflows and outflows may impact the Fund’s market exposure for limited periods of time.
Information Technology Sector Risk. The value of stocks of information technology companies and companies that rely heavily on technology is particularly vulnerable to rapid changes in technology product cycles, rapid product obsolescence, government regulation, and competition, both domestically and internationally, including competition from competitors with lower production costs.
Distributor: Foreside Fund Services, LLC, member FINRA, not affiliated with REX Shares or the Funds’ investment advisor.
View source version on businesswire.com:https://www.businesswire.com/news/home/20241127268934/en/
CONTACT: For media inquiries:
Gregory FCA for REX Shares
rexshares@gregoryfca.comMatthew Tuttle for Tuttle Capital
MTuttle@TuttleCap.com
KEYWORD: UNITED STATES NORTH AMERICA FLORIDA
INDUSTRY KEYWORD: ASSET MANAGEMENT PROFESSIONAL SERVICES FINANCE
SOURCE: REX Shares
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