notices |
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Please be informed that the Board of Trustees of the Direxion Shares ETF Trust has decided to liquidate and close eight ETFs with effect from 27 March 2020 due to their inability to attract sufficient investment assets.
The Funds closing are as follows:| Fund | Ticker |
| Direxion Daily Russia Bear 3X Shares | RUSS |
| Direxion Daily Natural Gas Related Bull 3X Shares | GASL |
| Direxion Daily Natural Gas Related Bear 3X Shares | GASX |
| Direxion Daily MSCI Developed Markets Bear 3X Share | DPK |
| Direxion Daily Mid Cap Bear 3X Shares | MIDZ |
| Direxion Daily Regional Banks Bear 3X Shares | WDRW |
| Direxion Daily MSCI European Financials Bull 2X Shares | EUFL |
| Direxion Daily Total Bond Market Bear 1X Shares | SAGG |
The Funds will cease trading on the NYSE Arca, Inc. ("NYSE") and will be closed to purchase by clients as of the close of regular trading on the NYSE on 27 March 2020 (the "Closing Date"). The Funds will not accept purchase orders after the Closing Date. Clients may sell their holdings in the Fund prior to the Closing Date, and customary brokerage charges may apply to these transactions.
However, from 27 March 2020 through 6 April 2020 (the "Liquidation Date") clients may only be able to sell their shares to certain broker-dealers and there is no assurance that there will be a market for a Fund's shares during this time period. Between the Closing Date and the Liquidation Date, each Fund will be in the process of closing down and liquidating its portfolio. This process will result in a Fund increasing its cash holdings and, as a consequence, not tracking its underlying index, which is inconsistent with each Fund's investment objective and strategy.
On or about the Liquidation Date, each Fund will liquidate its assets and distribute cash pro rata to all remaining clients who have not previously redeemed or exchanged their shares. These distributions are taxable events. In addition, these payments to clients will include accrued capital gains and dividends, if any. As calculated on the Liquidation Date, each Fund's net asset value will reflect the costs of closing the Fund. Once the distributions are complete, the Funds will terminate.
If you have any queries, please check with your Trading Representative.
This advertisement has not been reviewed by the Monetary Authority of Singapore.