Tidal Trust II - Defiance Daily Target 2X Short ASTS ETF

Frequently Asked Questions About ASTN

What does ASTN invest in?

ASTN uses swap agreements to make bearish bets on AST SpaceMobile, Inc. (NYSE: ASTS) share price. AST Spacemobile engages in building a broadband cellular network in space to operate directly with standard, unmodified mobile devices based on an extensive IP and patent portfolio. The fund maintains a daily leveraged exposure equivalent to -200% of the fund's net assets through daily rebalancing. As a geared product, the fund is intended as a short-term tactical tool, rather than as a long-term investment vehicle. As a result, returns may deviate from the expected -2x if held for longer than a single day due to compounding. This strategy is high-risk and does not include a defensive position as part of its overall process. Additionally, the fund could potentially lose money over time, even if ASTS's performance strengthens. The fund is expected to invest in cash-like instruments as collateral.

What is the expense ratio of ASTN?

Tidal Trust II - Defiance Daily Target 2X Short ASTS ETF (ASTN) charges an expense ratio of 1.31%. This is the annual fee deducted from fund assets to cover management and operations.

Is ASTN a good long-term hold?

ASTN is a leveraged fund designed to deliver a daily multiple of its underlying index. Daily reset compounding means returns over multi-day periods can diverge significantly from the headline multiple, typically with negative drift in choppy markets. These funds are designed for short-term tactical use, not buy-and-hold. Review the fund's prospectus before holding more than a few days.

How does ASTN's daily reset work?

ASTN rebalances exposure each trading day to maintain its target leverage ratio against the next day's move. The daily reset means returns compound at the daily level, so a +1%, −1% sequence on the underlying doesn't return the underlying to flat after the leverage multiplier. Over time this path-dependence erodes returns in volatile markets and amplifies them in trending markets.

How big is ASTN?

Tidal Trust II - Defiance Daily Target 2X Short ASTS ETF (ASTN) manages $3.9M in total assets. AUM determines bid-ask liquidity and the fund's vulnerability to closure. Funds below ~$50M are at higher risk of liquidation.

Is ASTN actively managed or an index fund?

ASTN's management style is described in the fund's prospectus. See the description on the Summary tab for the published strategy.