T-REX 2X Inverse MSTR Daily Target ETF

Frequently Asked Questions About MSTZ

What does MSTZ invest in?

This fund generally commits a minimum of 80% of its net assets, along with any borrowed capital for investment purposes, into swap agreements. These agreements are structured to provide a daily return that aims to be 200% inverse (twice the opposite) of the performance of MSTR. MSTR refers to MicroStrategy Inc., an enterprise specializing in analytics and mobility software solutions. It's important to note that this fund maintains a non-diversified portfolio.

What is the expense ratio of MSTZ?

T-REX 2X Inverse MSTR Daily Target ETF (MSTZ) charges an expense ratio of 1.05%. This is the annual fee deducted from fund assets to cover management and operations.

Is MSTZ a good long-term hold?

MSTZ 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 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 MSTZ's daily reset work?

MSTZ 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 MSTZ?

T-REX 2X Inverse MSTR Daily Target ETF (MSTZ) manages $88.4M 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 MSTZ actively managed or an index fund?

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