Direxion Unveils AIBU and AIBD: Leveraged & Inverse Trades on Artificial Intelligence and Big Data

Cloud PRWire

May 15, 2024
by Cloud PR Wire

–News Direct–

Direxion, a leading provider of tradeable and thematic ETFs, today announced the launch of the Direxion Daily AI and Big Data Bull 2X Shares (Ticker: AIBU) and the Direxion Daily AI and Big Data Bear 2X Shares (Ticker: AIBD). AIBU and AIBD seek to achieve 200%, or 200% of the inverse (opposite), before fees and expenses, respectively, of the daily performance of the Solactive US AI & Big Data Index.

The Index is designed to track the performance of companies deriving at least 50% of revenue in at least one of the following business fields: Artificial Intelligence (AI), Data Analytics and Big Data, Natural Language Processing, and AI-Driven Services. AI and big data are inherently connected and dependent on each other, as AI requires large amounts of data to learn and develop. In 2023, the size of the global AI market was $207.9 billion. By 2030, this number is predicted to increase nearly tenfold to $1.8 trillion.

AIBU and AIBD seek to capitalize on the relationship between AI and big data. Were launching these ETFs at a pivotal time, as AI and its capabilities are now well established, but innovation is ongoing. Multiples for these companies are high, and sustaining valuations will be key, said Direxion Managing Director and Head of Sales and Alternatives, Edward Egilinsky. These ETFs offer traders a chance to express short-term convictions in the AI-big data sector.

All Direxion leveraged and inverse ETFs are intended only for investors with an in-depth understanding of the risks associated with seeking leveraged investment results, and who plan to actively monitor and manage their positions. There is no guarantee these ETFs will meet their objective. Please visit the Direxion Leveraged and Inverse ETF Education Center, where you will find educational brochures, videos, and a self-paced online course to help you understand if leveraged ETFs are right for you.

About Direxion:

Direxion equips investors who are driven by conviction with ETF solutions built for purpose and fine-tuned for precision. These solutions are available for a broad spectrum of investors, whether executing short-term tactical trades, or investing in thematic strategies. Direxions reputation is founded on developing products that precisely express market perspectives and allow investors to manage their risk exposure. Founded in 1997, the company has approximately $42.3 billion in assets under management as of March 31, 2024. For more information, please visit www.direxion.com.

There is no guarantee that the Funds will achieve their investment objectives.

For more information on all Direxion Shares ETFs, go to www.direxion.com, or call us at 866.301.9214.

An investor should carefully consider a Funds investment objective, risks, charges, and expenses before investing. A Funds prospectus and summary prospectus contain this and other information about the Direxion Shares. To obtain a prospectus and summary prospectus call 866-476-7523 or visit our website at direxion.com. A Funds prospectus and summary prospectus should be read carefully before investing.

Leveraged and Inverse ETFs pursue daily leveraged investment objectives which means they are riskier than alternatives which do not use leverage. They seek daily goals and should not be expected to track the underlying index over periods longer than one day. They are not suitable for all investors and should be utilized only by sophisticated investors who understand leverage risk and who actively manage their investments.

Direxion Shares Risks An investment in each Fund involves risk, including the possible loss of principal. Each Fund is non-diversified and includes risks associated with the Funds concentrating their investments in a particular industry, sector, or geographic region which can result in increased volatility. The use of derivatives such as futures contracts and swaps are subject to market risks that may cause their price to fluctuate over time. Risks of each Fund include Effects of Compounding and Market Volatility Risk, Leverage Risk, Market Risk, Counterparty Risk, Rebalancing Risk, Intra-Day Investment Risk, Other Investment Companies (including ETFs) Risk, Cash Transaction Risk, Passive Investment and Index Performance Risk, and risks specific to the information technology sector and AI and big data companies. The value of stocks of information technology companies and companies that rely heavily on technology is particularly vulnerable to rapid changes in technology product cycles. Additional risks include, for the Direxion Daily AI and Big Data Bull 2X Shares, Daily Index Correlation Risk and for the Direxion Daily AI and Big Data Bear 2X Shares, Shorting or Inverse Risk and Daily Inverse Index Correlation Risk. Please see the summary and full prospectuses for a more complete description of these and other risks of each Fund.

Distributor: Foreside Fund Services, LLC.