SPXS

The Direxion Daily S&P 500 Bear 3X Shares (SPXS) is an exchange-traded fund designed to deliver three times inverse (-3x) the daily performance of the S&P 500 Index, the primary benchmark for U.S. large-cap equities. The ETF is managed by Direxion and trades under the ticker SPXS on NYSE Arca.

Classified as a leveraged inverse ETF, SPXS seeks to reflect, before fees and expenses, -300% of the daily return of the S&P 500 Index. The fund uses financial derivatives, including swaps, futures contracts, and other index-linked instruments, rather than directly holding the benchmark’s constituent equities.

The strategy resets leverage exposure on a daily basis. As a result, cumulative returns over periods longer than one day may differ significantly from the -3x target due to compounding effects and market volatility.

Composition / Exposure profile

SPXS provides inverse leveraged exposure to the U.S. equity market through derivatives associated with the S&P 500 Index.

The ETF’s economic exposure is linked to sectors including:

• Information technology.

• Health care.

• Financials.

• Consumer discretionary and consumer staples.

• Industrials.

• Energy.

• Communication services.

The ETF’s behavior is sensitive to market volatility, macroeconomic cycles, and Federal Reserve monetary policy decisions.

Structure and costs

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

The fund uses derivatives and daily operational adjustments to maintain inverse leveraged exposure. SPXS charges a management fee as outlined in its prospectus and does not apply a performance fee.

History and evolution

The Direxion Daily S&P 500 Bear 3X Shares was launched in 2008, during a period of expansion in leveraged and inverse ETFs within the U.S. market. Since inception, the fund has reflected movements associated with U.S. equity-market volatility and fluctuations in the S&P 500 Index during periods of market decline.

In recent years, SPXS has reflected volatility episodes related to the pandemic, Federal Reserve monetary tightening cycles, shifts in global macroeconomic conditions, and amplified fluctuations across the U.S. equity market.

Additional Information

Direxion Daily S&P 500 Bear 3X Shares (United States) is an exchange-traded fund (ETF), with assets under management totaling $411.71 Millions.

Over the past 12 months, Direxion Daily S&P 500 Bear 3X Shares recorded a return of -42.27%, with its price trading between $3.81 and $44.29 during the same period.

The ETF is traded under the ticker SPXS.