Direxion Daily Cnsmr Staples Bull 3XShrs

Frequently Asked Questions About NEED

What does NEED invest in?

The investment seeks daily investment results, before fees and expenses, of 300% of the daily performance of the Consumer Staples Select Sector Index (the "index"). The fund normally invests at least 80% of its net assets in financial instruments and securities of the index, ETFs that track the index and other financial instruments that provide daily leveraged exposure to the index or ETFs that track the index. The index includes domestic companies from the consumer staples sector which includes the following industries: food and staples retailing; household products; food products; beverages; tobacco; and personal products. The fund is non-diversified.

What is the expense ratio of NEED?

Direxion Daily Cnsmr Staples Bull 3XShrs (NEED) charges an expense ratio of 0.98%. This is the annual fee deducted from fund assets to cover management and operations.

Is NEED a good long-term hold?

NEED 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 NEED's daily reset work?

NEED 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 NEED?

Direxion Daily Cnsmr Staples Bull 3XShrs (NEED) manages $4.4M 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 NEED actively managed or an index fund?

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