FAQs

I am an Investment Advisor or Registered Representative, How do I contact Direxion Shares?
Financial professionals can contact the Direxion Shares Sales Desk at 877.437.9363.

How do I Purchase Direxion Shares and how does liquidity factor into purchasing?
Since ETFs are traded on national stock exchanges, Direxionshares can be purchased through most brokerage accounts, both on-line and full service.

What are the main benefits of using leveraged ETF's?
Leveraged ETF’s offer two primary benefits:

If you bring a particular perspective or opinion on the future direction of an index or sector, you can magnify that perspective three fold with Direxion's 3x ETFs.
Leveraged ETFs allow investors to efficiently diversify their portfolio. By reallocating assets, exposure to certain beta generating assets classes can be maintained. When this is done with leveraged ETFs assets can be freed up to redeploy to other alternative (or alpha* generating) asset classes to improve diversification and potentially decrease the overall volatility of the portfolio.

To learn more about implementing leveraged ETF in your portfolios, please visit our Literature page.

What are the trading spreads?
Trading spreads, or the bid ask spread, is the difference between the best price a buyer is willing to pay for a security (bid) and the best price a seller is willing to sell that same security (ask). The bid ask spread depends greatly on the liquidity of the asset. If it is a heavily traded security the spread will tend to be very narrow (i.e.1 or 2 pennies), which cuts back on transaction fees. Less liquid or more thinly traded securities will have wider spreads.

How closely do leveraged ETF's track the underlying index?
To evaluate Direxion Shares tracking, calculate the percentage change in its NAV from one trading day to the next business day's NAV. Comparing this percentage change to the performance of its underlying index over the same time frame will determine how well the ETF tracked. A Direxion Shares ETF at times may not seem to track to its benchmark over periods longer than one day largely because of index volatility and its effect on fund compounding.

How does the increased leverage point benefit asset allocation portfolios?
Leverage can allow for less capital to be used to get the same exposure as a non-leveraged funds, thus providing the opportunity to invest in other non-correlating assets with the additional funds made available. The result is increased diversification.

What marketing materials are available from Direxion Shares?
Please visit our Document and Support section for more information.

Alpha* – The difference in return above or below the return of a target index.

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An investor should consider the investment objectives, risks, charges, and expenses of Direxion Shares carefully before investing. The prospectus and summary prospectus contain this and other information about Direxion Shares. Click here to obtain a prospectus and summary prospectus. The prospectus and summary prospectus should be read carefully before investing.

The Funds are designed to be utilized only by sophisticated investors, such as traders and active investors employing dynamic strategies. Such investors are expected to monitor and manage their portfolios frequently. Investors in the Funds should (a) understand the consequences of seeking daily investment results, (b) understand the risk of shorting, and (c) intend to actively monitor and manage their investments.

An investment in the Funds involve risk, including the possible loss of principal. The Funds 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, leverage, compounding, market volatility and specific risks regarding each sector, please read the prospectus.

Distributor: Foreside Fund Services, LLC.