MicroSectors Launches Energy Long and Short ETNs | ETF Trends

REX Shares, a provider of alternative investment products, announced the launch of two new MicroSectors Exchange Traded Notes issued by Bank of Montreal linked to the Solactive MicroSectors Energy Index. The MicroSectors Energy 3x Leveraged ETNs (NYSE Arca: WTIU) and the MicroSectors Energy -3x Inverse Leveraged ETNs (NYSE Arca: WTID) will start trading today on NYSE Arca.

Launched in January, the Solactive MicroSectors Energy Index tracks the performance of 12 highly liquid U.S. stocks from the energy and oil sector. As of the date of this release, Chevron Corp. (CVX), Exxon Mobil Corp. (XOM), Occidental Petroleum Corp. (OXY), ConocoPhillips (COP), and Devon Energy Corp. (DVN) were the five largest common stocks in the index.

Each ETN offers investors a return based on changes in the level of the index on a daily compounded basis, before taking fees into account. Each ETN has a specified leverage factor that is reset daily.

REX continues to see strong demand for hedging and trading tools based on specific segments of the market, such as equity securities of companies in the energy and oil sector.

“We are excited to expand on our existing energy related offerings with a new suite of leveraged and inverse leveraged exchange-traded notes,” said Scott Acheychek, CEO of REX, in a news release. “The energy suite will provide investors with exposure to 12 highly liquid companies that are at the forefront of global energy trends.”

Acheychek added: “Since founding MicroSectors in 2018, we have been dedicated to innovating the ETP landscape by offering unique exposures to popular investable market segments. We believe the addition of these ETNs to the product lineup furthers this objective.”

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