Direxion Daily Russia Bear 3X Shares (RUSS)

Overview

The investment is designed for investors looking to capitalize on the potential downturn of the Russian market. It aims to provide 300% of the inverse daily performance of the MVIS Russia Index, making it an aggressive strategy for those with a bearish outlook on Russian equities. The fund achieves its objectives by investing in a mix of financial instruments such as swap agreements, futures contracts, and short positions that provide leveraged exposure opposite to the index's performance. This approach is meant to cater to investors seeking speculative opportunities or looking to hedge against declines in the Russian market. It's important to note that this fund is non-diversified, focusing its investments to achieve its stated objective, which may increase its volatility compared to more diversified funds.

Products and Services

The fund's main products and services revolve around providing investors with inverse leverage exposure to the Russian market:

• Swap Agreements: The fund enters into swap agreements to gain the desired exposure without directly shorting stocks. These are contracts between two parties to exchange the gains or losses from the MVIS Russia Index's performance.
• Futures Contracts: It utilizes futures contracts on the MVIS Russia Index or its constituents. Futures contracts are agreements to buy or sell the index at a future date, allowing the fund to speculate on the direction of the Russian market.
• Short Positions: The investment may take short positions on stocks or indices, betting on their decline. Short selling involves borrowing stocks or index shares and selling them with the aim of repurchasing them at a lower price.
• Other Financial Instruments: To achieve its investment objective, the fund may also engage in other financial instruments that provide inverse or short leveraged exposure to the MVIS Russia Index, ensuring flexibility and adaptability in its strategy.