The Easier, More Adaptive Way to Diversify with Commodities.
Most traditional commodity funds provide long only exposure to commodities. This limits their potential to contribute to a portfolio’s long-term performance because they only benefit if commodity prices rise.
Long-only commodity strategies have shown to be inconsistent over time because:
- Commodity returns are typically cyclical and sporadic
- Individual commodity sub-sectors tend to perform dissimilarly in different market environments
- Significant draw-downs can be damaging to the long-term performance of a portfolio
Within the inherently volatile commodity markets, a long/flat approach is potentially more adaptive to whip-sawing market conditions.
Introducing The Direxion Auspice Broad Commodity Strategy ETF
The Direxion Auspice Broad Commodity Strategy ETF (Ticker: COM) allows investors to take advantage of rising commodity prices, in addition to mitigate risk by going flat (cash) when individual commodities are experiencing downward trends. It seeks to potentially provide commodity investment returns with lower risk characteristics than long-only commodity strategies.
The fund seeks to provide total return that exceeds that of the Auspice Broad Commodity Index over a complete market cycle. There is no guarantee the fund will meet its stated investment objectives.
|Ticker||Fund Name||Index/Benchmark (Bloomberg Symbol)||Target||Prospectus|
|COM||Direxion Auspice Broad Commodity Strategy ETF||Auspice Broad Commodity Index (ABCERI)||Prospectus|
|All data as of 12/31/2018|
|Ticker||Fund Name||1 Mo %||3 Mo %||YTD %||1 YR %||3 YR %||5 YR %||10 YR %||Since Inception||Inception Date||Expense Ratio* (Gross/Net %)|
|COM||Direxion Auspice Broad Commodity Strategy ETF||NAV||0.26||-3.20||-0.15||-0.15||-1.01||1.35 / 0.70*|
|Ticker||Fund Name||NAV||NAV Change $||NAV Change %||Market Price Closing||Market Price Closing Change($)||Market Price Closing Change(%)||Premium / Discount|
|COM||Direxion Auspice Broad Commodity Strategy ETF||24.55||0.12||0.49||24.53||0.10||0.40||-0.02|
|Ticker||Fund Name||Record Date||Ex Date||Pay Date||Income Dividend||Short-Term Capital Gain||Long-Term Capital Gain|
|COM||Direxion Auspice Broad Commodity Strategy ETF||0.43317|
|COM||Direxion Auspice Broad Commodity Strategy ETF||0.07159|
|COM||Direxion Auspice Broad Commodity Strategy ETF||0.06227|
|COM||Direxion Auspice Broad Commodity Strategy ETF||0.02241|
* The Net Expense Ratio includes management fees, other operating expenses and Acquired Fund Fees and Expenses. If Acquired Fund Fees and Expenses were excluded, the Net Expense Ratio would be 0.70%. The Fund’s adviser, Rafferty Asset Management, LLC (“Rafferty”) has entered into an Operating Expense Limitation Agreement with the Fund. Under the Operating Expense Limitation Agreement, Rafferty has contractually agreed to waive all or a portion of its management fee and/or reimburse the Fund for Other Expenses through September 1, 2019, to the extent that the Fund’s Total Annual Fund Operating Expenses exceed 0.70% of the Fund’s average daily net assets (excluding, as applicable, among other expenses, taxes, swap financing and related costs, acquired fund fees and expenses, dividends or interest on short positions, other interest expenses, brokerage commissions and extraordinary expenses). If these expenses were included, the expense ratio would be higher.
The performance data quoted represents past performance. Past performance does not guarantee future results. The investment return and principal value of an investment will fluctuate. An investor’s shares, when redeemed, may be worth more or less than their original cost. Current performance may be lower or higher than the performance quoted. Returns for performance under one year are cumulative, not annualized. For the most recent month-end performance please visit the funds website at www.direxioninvestments.com.
Short-term performance, in particular, is not a good indication of the fund’s future performance, and an investment should not be made based solely on returns. Because of ongoing market volatility, fund performance may be subject to substantial short-term changes. For additional information, see the fund’s prospectus.