Financial firm Volatility Shares is launching a new line of exchange-traded funds (ETFs) that offer investors 100% leveraged exposure to two different assets simultaneously. The ETFs combine major asset classes, including cryptocurrencies, equity indices, and volatility measures, to provide unique diversification strategies. The one-plus-one ETFs aim to deliver notional exposure to each underlying asset by utilizing futures contracts. While these products have potential for portfolio diversification, the leverage involved introduces additional risks, particularly for volatile assets like cryptocurrencies. Volatility Shares' launch comes amid increased activity in the crypto ETF space, with other firms also filing proposals for similar products. However, regulatory challenges remain as the US Securities and Exchange Commission has been cautious in approving crypto ETFs due to concerns over market manipulation and volatility.



Other News from Today