The Shell plc ADRhedged Series Precidian Funds LLC Exchange-Traded Fund (SHEH)

Overview

The Series represents a focused investment strategy which primarily targets the securities of HSBC Holdings plc through American Depositary Receipts (ADRs). These ADRs allow U.S. investors to invest in HSBC Holdings plc shares without the complexity of dealing with foreign securities exchanges and currency exchange. The Series operates under a non-diversified fund model, concentrating its assets in at least 95% of its net assets in the ADRs of HSBC Holdings plc, a strategy that shows a strong confidence in the performance and growth potential of HSBC. By choosing not to invest directly in the company, the Series employs ADRs as a means to provide its investors with a more accessible and possibly more cost-effective method of investing in a non-U.S. institution. As ADRs are issued by an American bank or trust company, they bring an added layer of security and regulatory oversight, making them an attractive option for U.S. investors looking to diversify internationally with a focus on the banking and financial services sector represented by HSBC Holdings plc.

Products and Services

• Investment in ADRs of HSBC Holdings plc

The Series primarily offers its investors exposure to HSBC Holdings plc through the investment in American Depositary Receipts. This is designed to provide an efficient pathway to investing in foreign securities, specifically tailored for U.S. investors looking to gain from the performance of HSBC Holdings plc without engaging directly with overseas markets or currencies. ADRs replicate the financial performance and dividends of the underlying foreign shares, providing a convenient and efficient investment mechanism. Given HSBC's global presence and its role as one of the world's largest banking and financial service organizations, this investment strategy offers potential growth and an international diversification opportunity for investors.