Direxion, one of the leading issuers of leveraged ETFs, announced reverse splits for six of its 3x bear funds. Five of the leveraged products will undergo 1-for-5 reverse splits for shareholders of record after the close of the markets on Wednesday, Feb. 23, 2011:
- Daily Financial Bear 3x Shares (FAZ)
- Daily Large Cap Bear 3x Shares (BGZ)
- Daily Mid Cap Bear 3x Shares (MWN)
- Daily Developed Markets Bear 3x Shares (DPK)
- Daily Semiconductor Bear 3x Shares (SOXS)
Additionally, the Daily Small Cap Bear 3x Shares (TZA) will undergo a reverse 1-for-3 split. Each of the six ETFs will be assigned a new CUSIP following the reverse splits.
Disclosure: No positions at time of writing.