SOXS

The Direxion Daily Semiconductor Bear 3X Shares (SOXS) is an exchange-traded fund designed to deliver three times the inverse (-3x) of the daily performance of an index composed of U.S. semiconductor companies. The ETF is managed by Direxion Investments and trades under the ticker SOXS on NYSE Arca.

Classified as a U.S.-only leveraged inverse equity ETF, SOXS seeks to reflect, before fees and expenses, three times the inverse of the daily performance of its reference index. The portfolio uses financial derivatives, including futures contracts and swaps, to implement its strategy rather than holding the underlying equity securities directly.

SOXS seeks to deliver three times the inverse (-3x) of the daily performance of the NYSE Semiconductor Index. To pursue this objective, the fund generally does not hold the index’s constituent stocks; instead, it primarily uses derivatives and rebalances daily.

Diversification and sector exposure

SOXS provides concentrated exposure to the U.S. semiconductor segment through an inverse leveraged structure. Exposure involves:

• Semiconductor companies.
• Technology equipment and materials.
• Chip production supply chain.
• Derivative instruments used to obtain daily leverage.

Exposure is directly linked to the daily performance of the semiconductor sector, amplified in an inverse manner.

Structure and costs

SOXS shares trade on the secondary market on NYSE Arca throughout regular trading hours. Creation and redemption occur through authorized participants, helping maintain alignment between market price and net asset value.

The fund charges a management fee as outlined in its prospectus and does not apply a performance fee. SOXS does not distribute dividends or other income, as its structure is designed exclusively to provide leveraged daily inverse exposure.

History and evolution of the ETF

The Direxion Daily Semiconductor Bear 3X Shares was launched in 2010 during a period of expansion in leveraged and directional ETFs in the U.S. market. Since inception, it has been primarily used for short-term tactical strategies due to its daily leveraged structure.

In recent years, the ETF has reflected heightened volatility in the semiconductor industry, including periods of rapid expansion and correction in the technology sector, changes in monetary policy, and structural shifts in the global supply chain.

Additional Information

Direxion Daily Semiconductor Bear 3x Shares (United States) is an exchange-traded fund (ETF), with assets under management totaling $1.47 B.

Over the past 12 months, Direxion Daily Semiconductor Bear 3x Shares recorded a return of -95.21%, with its price trading between $1.59 and $48.74 during the same period.

The ETF is traded under the ticker SOXS.