Daily ETF Watch: AccuShares VIX Funds Split
The two exchange-traded products saw their shares undergo a reverse split.
As of Friday, the two ETFs launched by AccuShares in May underwent a 1-for-10 reverse split. The AccuShares Spot CBOE VIX Up Shares (VXUP) and the Spot CBOE VIX Down Shares (VXDN) are designed to track the movements—or in the case of VXDN, the inverse of those movements—of the CBOE’s spot volatility index rather than changes in futures pricing.
The ETFs drew a lot of attention at their launch as the first products to provide access to spot prices, with more AccuShares products anticipated that would provide spot exposure to various commodities.
Even though the two funds ostensibly move in opposite directions on any given day, both have seen their share prices head toward zero, putting them in danger of being forced to close. The reverse splits will bolster the prices of individual shares without changing the total market capitalization of either fund.
The funds have not gathered that much in assets since their launch. VXDN has less than $10 million, while VXUP has less than $1 million.
Contact Heather Bell at [email protected].
