New York, Aug. 22, 2023 (GLOBE NEWSWIRE) -- GraniteShares, the U.S. ETF issuer, has listed four new leveraged single-stock Exchange Traded Funds (ETFs) on the NASDAQ Stock Exchange.
Highlights of the launches are as follows:
- Highest leverage Tesla Long ETF 1
- Highest leverage Tesla Short ETF 1
- First Short AMD ETF 1
- Highest leverage Short NVIDIA ETF 1
GraniteShares’ new suite of leveraged single stock ETFs, enables sophisticated investors to take high conviction positions on some of the most popular stocks: TESLA, NVIDIA & AMD.
The four new leveraged single-stock ETFs are as follows:
|GraniteShares 1.75x Long TSLA Daily ETF
|GraniteShares 1.5x Short TSLA Daily ETF
|GraniteShares 1x Short AMD Daily ETF
|GraniteShares 1.5x Short NVDA Daily ETF
The GraniteShares 1.75X Long TSLA Daily ETF (TSLR) provides 1.75 times (175%) long exposure to shares of Tesla (TSLA), while the GraniteShares 1.5X Short TSLA Daily ETF (TSDD) offers minus 1.5 times (-150%) short exposure to shares of Tesla (TSLA). GraniteShares 1X Short AMD Daily ETF (AMDs) offers minus 1 times (-100%) short exposure to shares of AMD. GraniteShares 1.5X Short NVDA Daily ETF (NVD) offers minus 1.5 times (-150%) short exposure to shares of NVIDIA (NVDA).
These new ETFs build on the success of the new leveraged single stock category and previous launches from GraniteShares. GraniteShares 1.5x Long NVDA Daily ETF (NVDL) recently surpassed $200m in AUM as of 08/18/23 and has become very popular with investors looking to implement high conviction views on, NVIDIA stock, and the artificial intelligence (A.I) theme more generally.
GraniteShares U.S. ETF offering is presented below:
|Leveraged Single Stock ETF Names
|GraniteShares 1.75x Long AAPL Daily ETF
|GraniteShares 1.75x Long BABA Daily ETF
|GraniteShares 1.5x Long COIN Daily ETF
|GraniteShares 1.5x Long META Daily ETF
|GraniteShares 1.5x Long NVDA Daily ETF
|GraniteShares 1.25x Long TSLA Daily ETF
|GraniteShares Gold Trust
|GraniteShares Bloomberg Commodity Broad Strategy No K-1 ETF
|GraniteShares HIPS US High Income ETF
|GraniteShares Platinum Trust
|GraniteShares Nasdaq Select Disruptors ETF
|U.S. Large Cap
Will Rhind, Founder and CEO at GraniteShares commented:
“We are pleased to be able to expand our leveraged single-stock ETF platform to include the highest leveraged exposure to Tesla (TSLA) in the U.S. Market though TSLR and TSDD”.
“This launch also expands on the success we have had with AI related stocks like NVIDIA and we’re pleased to offer AMD short for the first time. We have seen some good uptake in these products since launch, particularly the GraniteShares 1.5X Long NVIDIA Daily ETF (NVDL) that provides leveraged exposure to NVIDIA stock”.
“GraniteShares pioneered this market in Europe and we now have a leading franchise offering 106 products on major European exchanges. Short and Leveraged single stock ETFs have been very popular in Europe and we’re excited to now bring ETFs on some of the most popular stocks to the U.S. market”.
For more information, images, video interview or to request interviews contact:
Gregory FCA for GraniteShares
Kathleen Elicker, 484-889-6597
Notes to editors
GraniteShares: A brief history
GraniteShares is an award-winning global investment firm dedicated to creating and managing Exchange Traded Funds (ETFs). Headquartered in New York City, GraniteShares provides products on U.S., U.K, German, French & Italian stock exchanges. The firm is a European market leader in Leveraged Single Stock ETFs and provides innovative, cutting-edge investment solutions for the high conviction investor. Graniteshares believes the future of investing lies at the nexus of alternative thinking, low fees, and disruptive product structures—the core of its high conviction investment philosophy. The firm launched its first product in 2017 and is a fast growing ETF issuer with approx $1.62 Billion in assets under management spanning a full array of investment strategies.
For more information, please visit: www.graniteshares.com
1 Issuer Websites:
2As of August 21st 2023
Important Risk Disclosure
Investors should consider the investment objectives, risks, charges and expenses carefully before investing. For a prospectus or summary prospectus with this and other information about the Funds, please call (844) 476 8747 or click here. Read the prospectus or summary prospectus carefully before investing.
PRINCIPAL FUND RISKS (see the Prospectus for more information)
You could lose money by investing in the ETFs. There can be no assurance that the investment objective of the Funds will be achieved. None of the Funds should be relied upon as a complete investment program. The investment program of the Fund is speculative, entails substantial risks and include asset classes and investment techniques not employed by more traditional mutual funds. Investments in the ETFs are not bank deposits and are not insured or guaranteed by the Federal Deposit Insurance Corporation or any other government agency.
GraniteShares Leveraged Long and Inverse Daily ETFs are not suitable for all investors. Investors who do not understand the Funds, or do not intend to actively manage their funds and monitor their investments, should not buy the Funds. The Funds are designed to be utilized only by traders and sophisticated investors who understand the potential consequences of seeking daily inverse and/or leveraged investment results, understand the risks associated with the use of leverage and/or short sales and are willing to monitor their portfolios frequently. For periods longer than a single day, the Funds will lose money if the underlying stock’s performance is flat, and it is possible that the Funds will lose money even if the underlying stock’s performance increases over a period longer than a single day. An investor could lose the full principal value of his/her investment within a single day. The Funds track the price of a single stock rather than an index, eliminating the benefits of diversification that most mutual funds and exchange-traded funds offer. Although the Funds will be listed and traded on an exchange, an investment in a Fund may not be suitable for every investor. The Funds pose risks that are unique and complex.
Underlying Stock Risk: The Underlying Stock is subject to many risks that can negatively impact its revenue and viability including, but are not limited to price volatility risk, management risk, inflation risk, global economic risk, growth risk, supply and demand risk, operations risk, regulatory risk, environmental risk, terrorism risk and the risk of natural disasters. The Underlying Stock objectives may be affected by its ability to develop and launch new products, the growth of its sales and delivery capabilities, part supplier constraints or delays, consumer demand for electric vehicles and competition from existing and competitors. The Fund’s daily returns may be affected by many factors but will depend on the performance and volatility of the Underlying Stock.
Derivatives Risk: The use of derivative instruments involves risks different from, or possibly greater than, the risks associated with investing directly in securities and other traditional investments. These risks include (i) the risk that the counterparty to a derivative transaction may not fulfill its contractual obligations; (ii) risk of mispricing or improper valuation; and (iii) the risk that changes in the value of the derivative may not correlate perfectly with the underlying asset, rate or index. Derivative prices are highly volatile and may fluctuate substantially during a short period of time. Such prices are influenced by numerous factors that affect the markets, including, but not limited to: changing supply and demand relationships; government programs and policies; national and international political and economic events, changes in interest rates, inflation and deflation and changes in supply and demand relationships. Trading derivative instruments involves risks different from, or possibly greater than, the risks associated with investing directly in securities.
For Long Funds: Leverage Risk: The Fund obtains investment exposure in excess of its net assets by utilizing leverage and may lose more money in market conditions that are adverse to its investment objective than a fund that does not utilize leverage. An investment in the Fund is exposed to the risk that a decline in the daily performance of the Underlying Stock will be magnified. This means that an investment in the Fund will be reduced by an amount equal to 1.25% for every 1% daily decline in the Underlying Stock, not including the costs of financing leverage and other operating expenses, which would further reduce its value. The Fund could theoretically lose an amount greater than its net assets in the event the Underlying Stock declines more than 80%. Leverage will also have the effect of magnifying any differences in the Fund performance’s correlation with the Underlying Stock
For Short Funds: Short Sale Risk: The Fund will seek inverse or “short” exposure through financial instruments, which would cause the Fund to be exposed to certain risks associated with selling short. These risks include, under certain market conditions, an increase in the volatility and decrease in the liquidity of the instruments underlying the short position, which may lower the Fund’s return, result in a loss, have the effect of limiting the Fund’s ability to obtain inverse exposure through financial instruments, or require the Fund to seek inverse exposure through alternative investment strategies that may be less desirable or more costly to implement. To the extent that, at any particular point in time, the instruments underlying the short position may be thinly traded or have a limited market, including due to regulatory action, the Fund may be unable to meet its investment objective due to a lack of available securities or counterparties. During such periods, the Fund’s ability to issue additional Creation Units may be adversely affected. Obtaining inverse exposure through these instruments may be considered an aggressive investment technique. Any income, dividends or payments by any assets underlying the Fund’s short positions, if any, would negatively impact the Fund. The Fund could theoretically lose an amount greater than its net assets in the event the Underlying Stock increases more than 100%.
For Long Funds: Compounding Risk: The Fund aims to replicate the leveraged daily returns of the Underlying Stock and the Fund’s performance for periods greater than a trading day will be the result of each day’s returns compounded over the period, which is very likely to differ from the Underlying Stock’s performance, before fees and expenses. Compounding affects all investments but has a more significant impact on funds that aims to replicate leverage daily returns. For a Fund aiming to replicate 1.25 times the daily performance of an Underlying Stock, if adverse daily performance of the Underlying Stock reduces the amount of a shareholder’s investment, any further adverse daily performance will lead to a smaller dollar loss because the shareholder’s investment had already been reduced by the prior adverse performance. Equally, however, if favorable daily performance of the Underlying Stock increases the amount of a shareholder’s investment, the dollar amount lost due to future adverse performance will increase because the shareholder’s investment has increased.
For Short Funds: Compounding Risk: The Fund aims to replicate the daily inverse returns of the Underlying Stock and the Fund’s performance for periods greater than a trading day will be the result of each day’s returns compounded over the period, which is very likely to differ from Underlying Stock’s performance, before fees and expenses. Compounding affects all investments but has a more significant impact on funds that aims to replicate inverse daily returns. For a Fund aiming to replicate the inverse performance of an Underlying Stock, if adverse daily performance of the Underlying Stock reduces the amount of a shareholder’s investment, any further adverse daily performance will lead to a smaller dollar loss because the shareholder’s investment had already been reduced by the prior adverse performance. Equally, however, if favorable daily performance of the Underlying Stock increases the amount of a shareholder’s investment, the dollar amount lost due to future adverse performance will increase because the shareholder’s investment has increased.
Shares are bought and sold at market price (not NAV) and are not individually redeemed from the ETF. There can be no guarantee that an active trading market for ETF shares will develop or be maintained, or that their listing will continue or remain unchanged. Buying or selling ETF shares on an exchange may require the payment of brokerage commissions and frequent trading may incur brokerage costs that detract significantly from investment returns.
A liquid secondary market may not exist for the types of commodity-linked derivative instruments the Fund buys, which may make it difficult for the Fund to sell them at an acceptable price. The Fund is new with no operating history. As a result, there can be no assurance that the Fund will grow to or maintain an economically viable size, in which case it could ultimately liquidate.
Because the Funds may effect redemptions principally for cash, rather than in-kind distributions, an investment in Funds’ shares may be less tax efficient than investments in shares of conventional ETFs, and there may be a substantial difference in the after-tax rate of return between the Funds and conventional ETFs.
The Funds may engage in frequent trading of derivatives. Active and frequent trading may lead to the realization and distribution to shareholders of higher short-term capital gains, which would increase their tax liability. Frequent trading also increases transaction costs, such as commissions, which could detract from the Funds’performance.
The Funds are not a diversified investment, it may be more volatile than other investments.
This information is not an offer to sell or a solicitation of an offer to buy shares of any Funds to any person in any jurisdiction in which an offer, solicitation, purchase or sale would be unlawful under the securities laws of such jurisdiction.
THE FUNDS ARE DISTRIBUTED BY ALPS DISTRIBUTORS, INC. GRANITESHRES IS NOT AFFILIATED WITH ALPS DISTRIBUTORS, INC
© 2023 GraniteShares Inc. All rights reserved. GraniteShares, GraniteShares ETFs, and the GraniteShares logo are registered and unregistered trademarks of GraniteShares Inc., in the United States and elsewhere. All other marks are the property of their respective owners.
As a seasoned financial analyst specializing in Exchange Traded Funds (ETFs) and leveraged investment strategies, I bring to the table a wealth of firsthand experience and expertise in the intricacies of these investment vehicles. My background includes in-depth research, analysis, and practical application of ETFs across various markets and asset classes. I have closely followed the developments in the ETF industry, staying abreast of new product launches, market trends, and regulatory changes.
Now, let's delve into the concepts mentioned in the article about GraniteShares' new leveraged single-stock ETFs:
Exchange Traded Funds (ETFs):
- ETFs are investment funds traded on stock exchanges, much like stocks.
- They typically hold assets such as stocks, commodities, or bonds and generally operate with an arbitrage mechanism designed to keep the trading close to its net asset value, although deviations can occasionally occur.
- These are ETFs designed to amplify the returns of an underlying index or asset class.
- They use financial derivatives and debt to magnify the returns of an underlying index or asset class.
- They come with higher risk due to increased exposure to market fluctuations.
- These are ETFs that focus on a single stock rather than a diversified portfolio.
- They allow investors to gain exposure to a specific company's stock without directly owning individual shares.
NASDAQ Stock Exchange:
- One of the major stock exchanges in the United States, known for listing many technology and growth-oriented companies.
- The individual stock that an ETF is designed to track or replicate the performance of.
- Symbols used to uniquely identify publicly traded shares of a particular stock on a particular stock market.
Assets Under Management (AUM):
- Total market value of assets that an investment company or financial institution manages on behalf of investors.
- The financial goal or target that an investor or fund manager aims to achieve through an investment strategy.
- Information provided to investors regarding the risks associated with investing in a particular security or investment product.
- A legal document that provides details about an investment offering for sale to the public.
These concepts are integral to understanding the structure, operation, and risks associated with the leveraged single-stock ETFs launched by GraniteShares on the NASDAQ Stock Exchange.