Direxion, the Newton, Mass.-based money manager known for its triple-exposure ETFs, completed reverse stock splits effective today on six of the company’s funds, according to the New York Stock Exchange.
The Big Board, reaffirming what Direxion announced last month, said five funds will be one-for-five splits. The affected securities are:
- Direxion Daily Financial Bull 3X Shares (NYSEArca: FAS)
- Direxion Daily Emerging Markets Bull 3X Shares (NYSEArca: EDC)
- Direxion Daily 20+Year Treasury (NYSEArca: TMV)
- Direxion Daily Real Estate Bear 3X Shares (NYSEArca: DRV)
- Direxion Daily Latin America Bull 3X Shares (NYSEArca: LBJ)
The sixth will be a one-for-three reverse split on the Direxion Daily Russia Bull 3X Shares (NYSEArca: RUSL).
Direxion said last month when it first announced the reverse splits that the total market value of each ETF won’t be affected by the actions. However, fractional shares resulting from the reverse splits will be redeemed.
The funds’ primary listing is on Arca, the NYSE’s electronic trading platform. The NYSE made public the reverse splits in a Nov. 9 e-mail.
Smart beta isn’t smarter than cap weighting, but it is different, and that’s great for investors.
Trial by fire is one way to discover why ETF transparency matters.
Most people now realize leveraged ETFs can hurt you, but how, then, to use them?
What would a shift out of a mutual fund and into an ETF look like up close?