In a registration filing with the SEC, an investment firm is seeking approval of a series of double-leveraged bullish and bearish exchange-traded funds ("ETFs") that each track the performance of a single U.S.-listed equity security.
According to the filing, the funds intend to provide daily returns that are two times the daily return (or two times the inverse daily return) of a single underlying U.S. equity security. The proposed underlying securities include Tesla, Inc. (TSLA), NVIDIA Corporation (NVDA), ConocoPhillips Company (COP), Boeing Company (BA), PayPal Holdings, Inc. (PYPL), Wells Fargo & Company (WFC), Pfizer Inc. (PFE), salesforce.com, Inc. (CRM) and Nike Inc. (NKE).
The funds' investment adviser, AXS Investments, LLC ("AXS"), would seek to achieve these investment objectives by entering into one or more swap agreements with major global financial institutions and may invest between 40% and 80% of a fund's portfolio in collateral investments (e.g., U.S. government securities and money market funds).
AXS is seeking SEC approval to list these ETFs on an exchange to be determined.
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