The Direxion S&P 500 High minus Low Quality ETF strives to achieve investment performance, prior to the deduction of fees and expenses, that closely mirrors that of the S&P 500 150/50 Quality 0.30% Decrement Index. Under ordinary market conditions, the fund allocates a minimum of 80% of its net assets, supplemented by any borrowed capital for investment, into either the specific securities composing the index's Long Component or into exchange-traded funds designed to track this Long Component. The target index itself is constructed from a portfolio featuring a 150% long allocation to the S&P 500 Quality Index (known as the 'Long Component') alongside a 50% short, or inverse, allocation to the S&P 500 Quality - Lowest Quintile Index (designated as the 'Short Component').
