Leverage Shares 2X Long SPCX Daily ETF

Frequently Asked Questions About SPCH

What does SPCH invest in?

SPCH is designed for making bullish bets on the stock price of Space Exploration Technologies Corp. (NASDAQ: SPCX) or SpaceX through swap agreements. The fund seeks to obtain daily leveraged exposure equivalent to 200% of the fund's net assets. To maintain this exposure, daily rebalancing is performed to make adjustments in response to SPCX's daily price movements. 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. Note that should SPCX's value decline by more than 50% relative to the fund, investors could face a total loss. Additionally, the fund could potentially lose money over time, even if SPCX's performance strengthens. The fund is expected to invest in money market funds, deposit accounts, and short-term debts.

What is the expense ratio of SPCH?

Leverage Shares 2X Long SPCX Daily ETF (SPCH) charges an expense ratio of 0.75%. This is the annual fee deducted from fund assets to cover management and operations.

Is SPCH a good long-term hold?

SPCH 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 SPCH's daily reset work?

SPCH 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 SPCH?

Leverage Shares 2X Long SPCX Daily ETF (SPCH) manages $297.0M 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 SPCH actively managed or an index fund?

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