WESTPORT, Conn., April 4, 2017 /PRNewswire/ -- REX Shares, LLC (REX) today announced its short volatility fund, the REX VolMAXX Short VIX Weekly Futures Strategy ETF (VMIN), achieved a total return of +187.20% (NAV) from its launch on May 2, 2016 through March 31, 2017. Though the VIX1 performance over the same time period was –15.74%, the fund generally benefitted from rolling short VIX futures contracts. REX also today announced that VMIN will issue a special dividend to its shareholders of record as of April 17, 2017.
As the first ETF of its kind, VMIN seeks to provide exposure to movements in the VIX Index by maintaining a weighted average time to expiry of its investments in VIX contracts of less than 30 days at all times. VMIN gains exposure to VIX Futures Contracts, which are considered commodities, by investing up to 25% of its total assets, as measured at the end of every quarter of the Fund's taxable year, in a wholly-owned and controlled Cayman Islands subsidiary. As a result of the earnings and profit achieved by the Cayman Islands subsidiary over the course of the taxable year, VMIN will issue a special dividend to its shareholders of record as of April 17, 2017. Important dates for this special dividend are as follows:
Declaration Date: April 4, 2017
Ex-Date: April 12, 2017
Record Date: April 17, 2017
Pay Date: April 18, 2017
For more information visit www.volmaxx.com.
REX Shares, LLC ("REX") creates intelligently engineered alternatives ETFs that help investors navigate turbulent markets and preserve wealth. REX was founded with a focus on gold and volatility based investment strategies. REX is based in Westport, CT.
The market price return for VMIN was 188.88% from its inception through March 31, 2017. Past performance does not guarantee future results. Performance quoted represents past performance, which is no guarantee of future results. Investment return and principal value will fluctuate so you may have a gain or loss when shares are sold. Current performance may be higher or lower than that quoted. Short term performance is not a good indication of the fund's future performance, and an investment should not be made based solely on returns. Shares are bought and sold at market prices and not individually redeemed from the fund. Brokerage commissions will reduce returns. NAV is calculated using prices as of 4:15 PM Eastern Time. The closing price is the Mid-Point between the Bid and the Ask price as of the close of the exchange. VMIN's expense ratio is 1.45%.
1 The Chicago Board Options Exchange, Incorporated ("CBOE") Volatility Index (the "VIX") seeks to measure the market's current expectation of 30-day volatility of the S&P 500® Index, as reflected by the prices of near-term S&P 500® Index options.
Carefully consider the Funds' investment objectives, risk factors, charges and expenses before investing. This and additional information can be found in the Funds' prospectus, which may be obtained by calling 1-844-REX-1414. Read the prospectus carefully before investing.
The Funds should be utilized only by investors who (a) understand the risks associated with seeking short term investment exposure, (b) are willing to assume a high degree of risk, (c) understand the risks of shorting and (d) intend to actively monitor and manage their investments in the Funds.
Investing involves risk, including the possible loss of principal. These Funds are actively managed and there are no guarantees investments selected and strategies employed will achieve the intended results. Active management may also increase transaction costs. The Funds expect to invest primarily in VIX futures contracts, which are considered commodities. VMAX and VMIN are not benchmarked to the VIX Index, which is calculated based on the prices of put and call options on the S&P 500® Index. As such, both Funds can be expected to perform very differently from the VIX Index. Although VMIN seeks to provide "short" exposure, the Fund does not promise or seek to provide any specific negative multiple of the performance of the VIX Index or VIX Futures Contracts over any specified period of time.
The use of derivatives, such as futures contracts, swap agreements and options, presents risks different from, and possibly greater than, the risks associated with investing directly in traditional securities. Changes in the value of a derivative may not correlate perfectly with the underlying security, asset, rate or index. Gains or losses in a derivative may be magnified and may be much greater than the derivative's original cost. The derivatives may not always be liquid. This could have a negative effect on the Funds' ability to achieve its investment objective and may result in losses.
The Funds will invest in exchange-traded notes and exchange-traded funds, and will be subject to the risks associated with such vehicles. The Funds' performance will be directly related to the performance of those investments.
The return for investors that invest in VMIN for periods other than a full trading day will differ from VMIN's stated daily inverse investment objective. During periods of high volatility, VMIN may not perform as expected and may have losses when an investor may have expected gains if VMIN is held for a period that is different than one trading day.
The Funds are non-diversified. Indexes are unmanaged and one cannot invest directly in an index.
Exchange Traded Concepts, LLC serves as the investment advisor and Vident Financial serves as sub advisor to the fund. The Funds are distributed by SEI Investments Distribution Co. (One Freedom Valley Dr., Oaks, PA 19456), which is not affiliated with Exchange Traded Concepts, LLC or any of its affiliates.
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SOURCE Exchange Traded Concepts, LLC