The investment seeks daily investment results, before fees and expenses, that correspond to one times (1x) of the S&P 500 VIX Mid Term Futures Inverse Daily Index. The fund is an actively-managed exchange-traded fund (“ETF”) that seeks to achieve its investment objective by investing its assets in futures contracts based on the Chicago Board Options Exchange, Incorporated Volatility Index, that comprise the index and other “Financial Instruments”. The index is designed to measure the performance of the inverse of the underlying index. The fund is non-diversified.

Risks of Leveraged & Inverse Products:

Leveraged ETPs (Exchanged Traded Products, such a ETFs and ETNs), seek to provide a multiple of the investment returns of a given index or benchmark on a daily basis.

Inverse ETPs seek to provide the opposite of the investment returns, also daily, of a given index or benchmark, either in whole or by multiples.

Due to the effects of compounding and possible correlation errors, leveraged and inverse products may experience greater losses than one would ordinarily expect. Compounding can also cause a widening differential between the performances of an ETP and its underlying index or benchmark, so that returns over periods longer than one day can differ in amount and direction from the target return of the same period. Consequently, these ETPs may experience losses even in situations where the underlying index or benchmark has performed as hoped.

Aggressive investment techniques such as futures, forward contracts, swap agreements, derivatives, options, can increase ETP volatility and decrease performance.

Investors holding these ETPs should therefore monitor their positions as frequently as daily.