Defiance Daily Target 2X Short RGTI ETF

Frequently Asked Questions About RGTZ

What does RGTZ invest in?

This ETF is designed to produce daily returns that are the exact opposite of, and twice the magnitude (or -200%) of, the day-to-day percentage change in the stock price of Rigetti Computing, Inc. (traded on Nasdaq under the ticker RGTI), before taking into account its operating costs. It's important to understand that this fund's investment objective is solely targeted at performance over a single trading day, and it is not intended to achieve these results for periods longer than that.

What is the expense ratio of RGTZ?

Defiance Daily Target 2X Short RGTI ETF (RGTZ) charges an expense ratio of 1.29%. This is the annual fee deducted from fund assets to cover management and operations.

Is RGTZ a good long-term hold?

RGTZ 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 RGTZ's daily reset work?

RGTZ 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 RGTZ?

Defiance Daily Target 2X Short RGTI ETF (RGTZ) manages $14.2M 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 RGTZ actively managed or an index fund?

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