MAX S&P 500 4X Leveraged ETN

Frequently Asked Questions About SPYU

What does SPYU invest in?

The notes are intended to be daily trading tools for sophisticated investors to manage daily trading risks as part of an overall diversified portfolio. They are designed to achieve their stated investment objectives on a daily basis. The notes are designed to reflect a 4x leveraged long exposure to the performance of the index on a daily basis (as described below), before taking into account the negative effect of the Daily Investor Fee, the Daily Financing Charge and the Redemption Fee Amount, if applicable.

What is the expense ratio of SPYU?

MAX S&P 500 4X Leveraged ETN (SPYU) charges an expense ratio of 2.95%. This is the annual fee deducted from fund assets to cover management and operations.

Is SPYU a good long-term hold?

SPYU 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 SPYU's daily reset work?

SPYU 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 SPYU?

MAX S&P 500 4X Leveraged ETN (SPYU) manages $583.9M 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 SPYU actively managed or an index fund?

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