Titanium Sands Limited (TSL)

Overview

The fund operates as an actively managed exchange-traded fund (ETF) that primarily aims to amplify the daily percentage change of the underlying stock by 125%. This financial instrument is structured to achieve its objective through entering into swap agreements with major financial institutions. These swaps allow the fund and the counterparties to exchange returns based on the performance of the underlying stock over periods varying from a day to over a year. The ambition to produce 1.25 times the daily outcome of the stock underscores a higher risk and reward strategy, reflecting the fund's non-diversified nature. Such a strategy is primarily attractive to investors looking for potentially higher returns that are cognizant of the increased risk entailed.

Products and Services

• Actively Managed ETFs

  This product category includes the fund itself, which is an actively managed ETF designed to deliver 125% of the daily performance of its underlying stock. Unlike passive ETFs that aim to mirror the performance of an index, this actively managed approach involves frequent trading and strategic decisions by the fund's adviser to outperform the underlying asset.

• Swap Agreements

  The fund engages in swap agreements with major financial institutions as a core method to achieve its investment objective. Through these contracts, the fund and its counterparties exchange returns based on the performance of the underlying stock. These agreements can vary in duration from a single day to beyond a year. Swap agreements are financial derivatives allowing the fund to gain exposure to the underlying stock's performance without physically owning it, catering to the fund’s leveraging strategy to amplify returns.