| NASDAQ (NGS) Exchange | US Country |
The fund operates as an actively managed exchange-traded fund (ETF) with a specific investment strategy centered around producing returns that inversely mirror (-100%) the daily percentage changes of its underlying stock. This objective is primarily achieved through swap agreements with major financial institutions, which allow the fund to exchange returns based on the performance of the underlying stock over varying periods, from a single day to beyond one year. It is characterized by its non-diversified status, focusing its investments on a single or a limited number of assets rather than spreading them across a broad array of securities.
This product aims to replicate the inverse daily performance of a specified underlying stock. By betting against the stock's daily movements, investors have the opportunity to profit from declines in the underlying asset's value. This is particularly appealing during bear market conditions or when a specific stock is expected to decrease in value.
The fund enters into swap agreements with major financial institutions, which are contracts whereby the fund and the institution agree to exchange the returns earned on the underlying stock over a set period. These swap agreements are the primary mechanism through which the fund achieves its investment objective, allowing it to mirror the inverse performance of the underlying stock without directly shorting the stock.