REX Shares and Tuttle Capital Management Launch Target 2X Leveraged and Inverse Ether ETP

Continuing a track of innovation, T-REX ETFs offer leveraged exposure to Ethereum

REX Shares (“REX”), in partnership with Tuttle Capital Management (“TCM”), announces the addition of two products to their T-REX ETF suite: the T-REX 2X Long Ether Daily Target ETF (CBOE: ETU) and the T-REX 2X Inverse Ether Daily Target ETF (CBOE: ETQ). These ETFs provide investors with 200% and -200% exposure to Ethereum’s daily performance through the “Reference Assets.”

"The SEC's approval of spot Ether ETFs marks another milestone in the evolution of the ETP-related digital asset landscape," said Greg King, CEO of REX Financial, REX Shares parent company. "With our target 2X leveraged and inverse Ether ETFs, investors can capitalize on Ethereum's inherent volatility to seize market opportunities and potentially amplify their returns."

ETU and ETQ continue the momentum of the T-REX 2X Long Bitcoin Daily Target ETF (BTCL) and T-REX 2X Inverse Bitcoin Daily Target ETF (BTCZ) as well as the T-REX 2X Long MSTR Daily Target ETF (MSTU) and T-REX 2X Inverse MSTR Daily Target ETF (MSTZ). These flagship products have resonated with traders seeking leveraged exposure to cryptocurrency. Following their respective launches in July 2024 (Bitcoin) and September 2024 (MSTR), options trading quickly commenced for all four of these T-REX ETFs, offering Bitcoin enthusiasts an exciting new way to dive deeper into the market and maximize their strategies.

"Ethereum is shaping the future of the world," said Matt Tuttle, CEO of Tuttle Capital Management. "With ETU and ETQ, we're opening the door to Ethereum's potential, equipping investors with precision tools to navigate the landscape with unprecedented agility. REX Shares and Tuttle Capital Management are once again redefining what’s possible in the ETF industry."

With the launch of ETU and ETQ, the T-REX suite now boasts eleven unique products, reinforcing its role as a leader in specialized investment solutions.

For additional information on T-REX ETFs, visit www.rexshares.com

The Fund is not suitable for all investors. The Fund will not invest directly in Ether or any other digital assets. The Fund is designed to be utilized only by knowledgeable investors who understand the potential consequences of seeking daily leveraged (2X) and inverse (-2X) investment results, understand the risks associated with leverage and the use of shorting and are willing to monitor their portfolios frequently. The Fund does not seek to achieve its stated investment objective over a period of time other than a single/ one trading day. For periods longer than a single day, the Fund will lose money if the Underlying Security’s performance is flat, and it is possible that the Fund will lose money even if the Underlying Security’s performance increases over a period longer than a single day. The Shares will change in value, and you could lose money by investing in the Fund. The Fund may not achieve its investment objective. The Fund only intends to use reference assets that are traded on a U.S. regulated exchange. Investing in the funds is not equivalent to investing directly in Spot Ether as the fund will generally hold 0% of underlying shares.

The Funds’ investment adviser will not attempt to position each Fund’s portfolio to ensure that a Fund does not gain or lose more than a maximum percentage of its net asset value on a given trading day. As a consequence, if a Fund’s underlying security moves more than 50%, as applicable, on a given trading day in a direction adverse to the Fund, the Fund’s investors would lose all of their money.

About REX Financial

REX Financial is an innovative ETP provider specializing in alternative-strategy ETFs and ETNs, with over $6 billion in assets under management. REX is renowned for creating MicroSectors™ and co-creating the T-REX product lines of leveraged and inverse tools for traders and recently launched a series of option-based income strategies.

About Tuttle Capital Management

Tuttle Capital Management is an industry leader in offering thematic and actively managed ETFs. TCM utilizes informed agility when managing portfolios, an approach that, from an informed standpoint, can assess and blend effective elements from multiple investment styles, and, from a position of agility, aims to stay in harmony with market trends without being too passive or too active. Please visit www.tuttlecap.com for more information.

Important Information

Investors should consider the investment objectives, risk, charges, and expenses carefully before investing. For a prospectus or summary prospectus with this and other information about the T-REX ETFs please call 1-844-802-4004 or visit our website at rexshares.com. Read the prospectus and summary prospectus carefully before investing.

There is no assurance that the T-Rex 2X Long Ether Daily Target ETF will achieve its daily leveraged investment objective or that the T-Rex 2X Inverse Ether Daily Target ETF will achieve its daily inverse leveraged investment objective. An investment in each Fund could lose money. The Funds are not complete investment programs.

Important Risks

Effects of Compounding and Market Volatility Risk. The Fund has a daily leveraged investment objective and the Fund’s performance for periods greater than a trading day will be the result of each day’s returns compounded over the period, which is very likely to differ from the Fund performance, before fees and expenses.

Options Contracts. The use of options contracts involves investment strategies and risks different from those associated with ordinary portfolio securities transactions. The prices of options are volatile and are influenced by, among other things, actual and anticipated changes in the value of the underlying instrument, including the anticipated volatility, which are affected by fiscal and monetary policies and by national and international political, changes in the actual or implied volatility of the underlying reference security, the time remaining until the expiration of the option contract and economic events. For the Fund in particular, the value of the options contracts in which it invests are substantially influenced by the value of the underlying securities.

Ether Market Volatility Risk. The prices of ether have historically been highly volatile. The value of the Fund’s leveraged exposure ether – and therefore the value of an investment in the Fund – could decline significantly and without warning, including to zero.

Derivatives Risk. Derivatives are financial instruments that derive value from the underlying reference asset or assets, such as stocks, bonds, or funds (including ETFs), interest rates or indexes. Investing in derivatives may be considered aggressive and may expose the Fund to greater risks, and may result in larger losses or small gains, than investing directly in the reference assets underlying those derivatives, which may prevent the Fund from achieving its investment objective.

Cryptocurrency Risk. The Fund has exposure to the crypto asset platforms as a result of the Reference Assets attempting to reflect generally the performance of the price of Ether before payment of its expenses and liabilities. A crypto asset operates without central authority or banks and is not backed by any government. Crypto assets are often referred to as a “virtual asset” or “digital asset,” and operate as a decentralized, peer-to-peer financial trading platform and value storage that is used like money. A crypto asset is also not a legal tender. Federal, state or foreign governments may restrict the use and exchange of a crypto asset, and regulation in the U.S. is still developing. Further, the spot markets for crypto assets are fragmented and lack regulatory compliance and/or oversight. Crypto asset platforms may stop operating or permanently shut down due to fraud, technical glitches, hackers or malware. The Fund’s indirect exposure to crypto assets such as Ether may be affected by the high volatility associated with such crypto asset exposure. Future regulatory actions or policies may limit the ability to sell, exchange or use crypto assets, thereby impairing their prices. Crypto asset trading platforms on which Ether trades, and which may serve as a pricing source for valuation of spot Ether held by the Reference ETPs may be subject to enforcement actions by regulatory authorities.

Liquidity Risk. Holdings of the Fund may be difficult to buy or sell or may be illiquid, particularly during times of market turmoil. Illiquid securities may be difficult to value, especially in changing or volatile markets. If the Fund is forced to buy or sell an illiquid security or derivative instrument at an unfavorable time or price, the Fund may be adversely impacted. Certain market conditions or restrictions may prevent the Fund from limiting losses, realizing gains or achieving a high correlation with the Reference Assets.

Reference Asset Investing Risk. Issuer-specific attributes may cause an investment held by the Fund to be more volatile than the market generally. The value of an individual security or particular type of security may be more volatile than the market as a whole and may perform differently from the value of the market as a whole. The following is a summary of risk factors related to the Reference Assets as identified by the Reference ETPs in their registration statements – this is not purported to be a complete list of risks (references to “shares” in this section are to shares of the Reference ETPs).

New Fund Risk. As of the date of this prospectus, the Fund has no operating history and currently has fewer assets than larger funds. Although the Fund is new, the structure of providing long leveraged exposure to the price of Ether is not necessarily a new strategy as similar leveraged funds, such as those that primarily invest in cash settled futures contracts, currently trade on the Chicago Mercantile Exchange. Like other new funds, large inflows and outflows may impact the Fund’s market exposure for limited periods of time. This impact may be positive or negative, depending on the direction of market movement during the period affected.

Leverage Risk. The Fund obtains investment exposure in excess of its net assets by utilizing leverage and may lose more money in market conditions that are averse to its investment objective than a fund that does not utilize leverage. An investment in the Fund is exposed to the risk that a decline in the daily performance of the Reference Assets will be magnified. This means that an investment in the Fund will be reduced by an amount equal to 2% for every 1% daily decline in the Reference Assets, not including the costs of financing leverage and other operating expenses, which would further reduce its value.

Non-Diversification Risk. The Fund is classified as “non-diversified” under the Investment Company Act of 1940, as amended. This means it has the ability to invest a relatively high percentage of its assets in the securities of a small number of issuers or in financial instruments with a single counterparty or a few counterparties.

The REX Shares ETFs are distributed by Foreside Fund Services, LLC

View source version on businesswire.com: https://www.businesswire.com/news/home/20241024091100/en/