Daily Target 2X Long SOUN ETF

Frequently Asked Questions About SOUX

What does SOUX invest in?

This specialized Exchange Traded Fund (ETF) provides amplified, single-stock exposure to SoundHound AI, Inc. (SOUN). Its core objective is to return two times (2x) the daily percentage change in SOUN's share price. This is achieved by strategically employing various derivative instruments, such as swap agreements.

What is the expense ratio of SOUX?

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

Is SOUX a good long-term hold?

SOUX 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 SOUX's daily reset work?

SOUX 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 SOUX?

Daily Target 2X Long SOUN ETF (SOUX) manages $10.7M 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 SOUX actively managed or an index fund?

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