On Monday evening, Direxion announced it would be shuttering the Direxion Daily Russia Bull 2X Shares (RUSL).
The leveraged ETF was hit hard by the plunge in Russia’s stock market as its underlying benchmark lost roughly half its value in the aftermath of Russia’s invasion of Ukraine. RUSL provides 2x the return of the unleveraged index tied to the VanEck Russia ETF (RSX).
The fund is set to have its last day of trading on March 11 before it is liquidated. RUSL closed to new creations as of Feb. 24, the same day Russia launched its invasion of neighboring Ukraine and after multiple countries imposed immediate sanctions.
On March 1, Direxion issued a press release stating RUSL would be underexposed to its target market because of the sanctions and restrictions that had been levied against Russia. Instead of offering 200% exposure, the press released noted that the fund would only be 111% exposed.
Contact Heather Bell at [email protected]
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