REX Shares became a new issuer to the Bats Exchange on Tuesday with the launch of two new exchange traded funds (ETFs).
The pair of ETFs are the REX VolMAXX Long VIX Weekly Futures Strategy ETF (BATS: VMAX) and the REX VolMAXX Inverse VIX Weekly Futures Strategy ETF (BATS: VMIN).
VMAX seeks to provide investors with exposure to the implied volatility of the broad-based, large-cap U.S. equity market. VMIN seeks to provide investors with inverse exposure to the implied volatility of the broad-based, large-cap U.S. equity market.
These two funds set a number of firsts for volatility-focused strategies, which allow investors to express directional views on the widely-followed CBOE Volatility Index (the “VIX”).
VMAX and VMIN are the first regulated investment company funds to invest in VIX futures, and seek to track movements in the VIX Index by maintaining a weighted average time to expiry of their investments in VIX futures contracts of less than 30 days at all times.
Greg King, Founder and CEO of REX Shares, said he believes the two funds are what investors have been asking for: ETFs that get closer to spot VIX.
“Thanks to recent innovations at the CBOE Futures Exchange, we are able to deliver these products to market,” King said.