DXCTXDXSCXDXCIX Direxion Indexed Commodity Strategy Fund Mutual Fund

Overview

The Direxion Indexed Commodity Strategy Fund seeks investment results, before fees and expenses, that track the performance of the Auspice Broad Commodity ER Index (ABCERI), a long/flat commodities index.

Fact Sheet  Brochure  Prospectus 

Key Features

Why Invest in the Fund?

  • The long/flat approach provides exposure to commodities that can individually be positioned long or flat (in cash) based upon price trends
  • Seeks to mitigate the downside risk and maximum declines relative to notable long-only commodity indices
  • Has the flexibility to make individual commodity position changes intra-month
  • Risk management controls designed to adjust exposure levels if volatility gets too high
  • Low- or non-correlation to stocks and bonds
  • Disciplined, quantitative, rules-based approach to commodity investing

Not just commodities – Long/Flat 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.

The Direxion Indexed Commodity Strategy Fund is the only fund on the U.S. market today that seeks to match the performance of the Auspice Broad Commodity ER Index (ABCERI), which provides exposure to 12 commodities that can individually be positioned long or flat (in cash) based upon price trends.

This long/flat index is potentially more adaptive to volatile commodity markets because it seeksto take advantage of individual commodities by going long when prices rise, and preserving capital by going flat (to cash) when prices fall.

Strategy & Benefits

Investment Strategy

The Fund:

  • Tracks a quantitative, rules-based index
  • Provides exposure to 12 commodities that can individually be positioned long or flat (if a short signal is triggered, the position is moved to cash) based on price trends
  • Has the flexibility to make position changes intra-month based on price trends
  • Reviews trends over shorter time periods, making it more responsive to rapidly changing markets
  • Rebalances monthly based on risk, reducing individual component allocations, when volatility exceeds predetermined levels
  • Uses a smart-contract-roll approach designed to select the most cost effective futures contracts

Key Strategy Benefits

The Fund aims to provide improved risk/return profile relative to traditional long-only commodities funds by:

  • Provides exposure to commodities showing an upward price trend and goes to cash in a downward price trend
  • Providing commodity investment returns with potentially lower risk characteristics
  • Employing a disciplined, quantitative, rules-based index approach to commodity investing

Component Sectors

Component Sectors

Direxion Indexed Commodity Strategy Fund (DXCTX)
(as of 3/31/2014)

Energy Current Month (L/F)
Crude Oil LONG
Heating Oil LONG
Gasoline LONG
Natural Gas LONG

 

Metals Current Month (L/F)
Gold LONG
Silver FLAT (Cash)
Copper FLAT (Cash)

 

Agriculture Current Month (L/F)
Corn LONG
Soybeans LONG
Wheat LONG
Cotton LONG
Sugar FLAT (Cash)

Flat positions are held in cash and U.S. Treasury Bills. Individual component weightings may vary based on risk levels.

 

Fund Symbol DXCTX DXSCX DXCIX
Bloomberg Index Symbol ABCERI ABCERI ABCERI
CUSIP 254939457 254939341 254939382
Gross Expense Ratio 1.26% 2.01% 1.01%
Net Expense Ratio 1.26% 2.01% 1.01%
Inception Date Oct 06, 2008 Jan 03, 2010 Jan 05, 2009

Pricing and Performance

Price Information
NAVs and market price information as of August 20, 2014

Ticker Fund Name NAV NAV Change $ NAV Change % Market Price Closing Market Price Closing Change($) Market Price Closing Change(%) Premium / Discount
DXCTX Direxion Indexed Commodity Strategy Fund - A Shares 17.69 0.10 0.57
DXSCX Direxion Indexed Commodity Strategy Fund - C Shares 17.18 0.10 0.59
DXCIX Direxion Indexed Commodity Strategy Fund - Institutional 17.87 0.10 0.56

Performance
NAVs and market price information as of August 20, 2014

All data as of 7/31/2014
Ticker Fund Name 1 Mo % 3 Mo % YTD 1 YR % 3 YR % 5 YR % 10 YR % Since Inception Inception Date Expense Ratio* (Gross/Net %)
DXCTX Direxion Indexed Commodity Strategy Fund - A Shares -3.68 -6.56 -6.75 -9.04 -11.95 -8.72 -7.69 1.26 / 1.26
DXSCX Direxion Indexed Commodity Strategy Fund - C Shares -3.78 -6.79 -7.19 -9.81 -12.59 -8.40 2.01 / 2.01
DXCIX Direxion Indexed Commodity Strategy Fund - Institutional -3.70 -6.55 -6.65 -8.87 -11.76 -8.50 -8.14 1.01 / 1.01
All data as of 6/30/2014
Ticker Fund Name 1 Mo % 3 Mo % YTD 1 YR % 3 YR % 5 YR % 10 YR % Since Inception Inception Date Expense Ratio* (Gross/Net %)
DXCTX Direxion Indexed Commodity Strategy Fund - A Shares 0.87 -1.86 -3.19 -5.81 -12.24 -8.29 -7.23 1.26 / 1.26
DXSCX Direxion Indexed Commodity Strategy Fund - C Shares 0.79 -2.07 -3.54 -6.50 -12.87 -7.74 2.01 / 2.01
DXCIX Direxion Indexed Commodity Strategy Fund - Institutional 0.86 -1.84 -3.06 -5.56 -12.05 -8.05 -7.60 1.01 / 1.01

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 for one year and under are cumulative, not annualized.

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. For additional information, see the fund(s) prospectus or summary prospectus.

Distributions

Ticker Fund Name Record Date Ex Date Pay Date Income Dividend Short-Term Capital Gain Long-Term Capital Gain
DXCTX Direxion Indexed Commodity Strategy Fund - A Shares 0.76887
DXCIX Direxion Indexed Commodity Strategy Fund - Institutional 0.87346