VelocityShares Long LIBOR ETN (ULBR)

Overview

The investment is designed to give investors exposure to the Janus Velocity Long LIBOR Index, which seeks to reflect the performance of a theoretical investment in the forward London Interbank Offered Rate (LIBOR). This unique financial instrument is constructed to mimic an investment in the future valuations of LIBOR, providing a way to speculate on or hedge against movements in these interbank lending rates. The approach involves taking a daily rebalanced short position in Eurodollar futures, aiming to align the investment's return with the next day’s projected change in the composite forward LIBOR rate. This methodology allows the product to target the dynamics of LIBOR movements, offering an innovative avenue for investors interested in interest rates market movements.

Products and Services

• Janus Velocity Long LIBOR Index Investment

This product is tailored for those looking to gain exposure to movements in the LIBOR rates through a novel financial instrument. It functions by tracking a hypothetical short position in Eurodollar futures contracts that are recalibrated on a daily basis. This recalibration is designed to emulate the expected percentage change in the composite forward LIBOR rate for the following business day. The investment strategy employed seeks to capitalize on the fluctuations in LIBOR rates without the necessity of directly investing in the interbank lending market. It is crafted for investors looking for a method to speculate on or hedge against future interest rate movements, providing an alternative to traditional interest rate derivatives.