Direxion Launches High Yield Bear Leveraged ETF

NEW YORK, June 16, 2016 /PRNewswire/ -- Direxion announced today it has added a new ETF to its existing lineup of leveraged inverse ETFs. The new Fund allows tactical managers to hedge against downturns in the Barclays U.S. High Yield Very Liquid Index. The Direxion Daily High Yield Bear 2X Shares (Ticker: HYDD) seeks daily investment results, before fees and expenses, of 200% of the inverse of the performance of the Barclays U.S. High Yield Very Liquid Index.

"While high yield bonds have been embraced by those looking for yield and higher returns, traders and investors are now preparing for potential pullbacks due to the uncertain U.S. interest rate climate and the corresponding impact on high yield markets," said Sylvia Jablonski, Managing Director at Direxion. "But, it can be expensive to change the asset and security allocation of portfolios. Our High Yield Bear Leveraged Fund is a simple and cost-effective hedge for tactical managers who want to capitalize on these changing markets."

Like all leveraged inverse ETFs, this Fund is intended only for traders with an understanding of the risks associated with seeking inverse investment results, and who plan to actively monitor and manage their positions. There is no guarantee the Fund will meet its objective.

About Direxion:

Direxion builds bold products for investors who want more than the status quo. Our index-based products deliver directional options, magnified exposure, and long-term, rules-based strategies. Founded in 1997, the company has approximately $9.8 billion in assets under management as of March 31, 2016. Direxion's diverse suite of products helps investors navigate today's ever-changing markets. For more information, please visit www.direxioninvestments.com.   

There is no guarantee that the funds will achieve their objectives.

For more information on all Direxion Shares daily leveraged ETFs, go to direxioninvestments.com, or call us at 866-476-7523.

The ETFs are not suitable for all investors and should be utilized only by investors who understand the risks associated with seeking daily inverse investment results, and intend to actively monitor and manage their investments. Due to the daily nature of the inverse investment strategies employed, there is no guarantee of long-term inverse returns. Past performance is not indicative of future results.

An investor should consider the investment objectives, risks, charges, and expenses of Direxion ETFs carefully before investing. The prospectus and summary prospectus contains this and other information about Direxion ETFs. Download a prospectus and summary prospectus at direxioninvestments.com. The prospectus and summary prospectus should be read carefully before investing.

* The Expense Cap of the Fund includes management fee and other operating expenses, but does not include indirect expenses such as Acquired Fund Fees and Expenses, leveraged interest and brokerage commissions. Including Acquired Fund Fees and Expenses the Fund's Total Annual Fund Operating Expenses would be 0.82%. The Fund's Advisor, Rafferty Asset Management, LLC has entered into an Operating Expense Limitation Agreement with the Fund. Under the Operating Expense Limitation Agreement, Rafferty has contractually agreed to cap all or a portion of its management fee and/or reimburse the Fund for Other Expenses through September 1, 2017, to the extent that the Fund's Total Annual Fund Operating Expenses exceed *0.80%.

Risks:

An investment in the ETFs involves risk, including the possible loss of principal. The ETFs are non-diversified and include risks associated with concentration risk that results from the Funds' investments in a particular industry or sector which can increase volatility. The use of derivatives such as futures contracts, forward contracts, options and swaps are subject to market risks that may cause their price to fluctuate over time. The Fund does not attempt to, and should not be expected to, provide returns which are a multiple of the return of the Index for periods other than a single day. For other risks including correlation, compounding, market volatility and specific risks regarding each sector, please read the prospectus.

Distributor: Foreside Fund Services, LLC.

CONTACT:   
James Doyle
JConnelly
973-850-7308
[email protected]

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SOURCE Direxion

Related Links

http://www.direxioninvestments.com