Leverage Shares 3x Long Semiconductors ETP Securities (SM3E)

Leverage Shares 3x Long Semiconductors ETP Securities is an exchange-traded product (ETP) designed to provide three times the daily return of the VanEck Vectors Semiconductor ETF, adjusted for fees and costs associated with maintaining the leveraged position. It achieves this through physical replication by directly investing in shares of the underlying ETF and using margin borrowing to acquire additional shares, amplifying both potential gains and losses on a daily basis. For instance, a 1% daily increase in the ETF would target a 3% rise in the ETP, excluding fees, while a 1% decline would result in a 3% drop. Key features include an intraday rebalance mechanism known as the 'airbag' to mitigate significant intra-day falls, liquidity supported by multiple market makers, and a structure that limits losses to the invested amount with minimized credit risk due to full ownership of underlying assets. Issued by Leverage Shares PLC, this debt security caters to sophisticated traders monitoring positions intraday, offering simple access to leveraged semiconductor sector exposure without needing futures or personal margin accounts. Available in select European countries, it operates in USD with an annual management fee applied.