Defiance ETFs Launches ASTN: The First 2X Short ETF of AST SpaceMobile Inc.

Core Viewpoint - Defiance ETFs has launched the Defiance Daily Target 2X Short ASTS ETF (Ticker: ASTN), aimed at sophisticated traders looking for short-term market expression through leveraged investment strategies [1]. Group 1: Investment Objective - The Fund aims for daily inverse investment results of -2 times (-200%) the daily percentage change in the share price of AST SpaceMobile, Inc. (Nasdaq: ASTS), focusing solely on single trading days [2]. Group 2: Underlying Stock - AST SpaceMobile, Inc. is developing a satellite-based cellular network that connects standard mobile phones to spaceborne platforms, with growth potential linked to successful satellite deployment, partnerships with mobile operators, regulatory approvals, and industry recognition [3]. Group 3: Fund Characteristics - An investment in ASTN does not equate to an investment in AST SpaceMobile, Inc. [4] - The Fund is designed for knowledgeable investors who understand the risks of seeking daily leveraged inverse results and are willing to actively manage their portfolios [5]. - The Fund's performance is subject to compounding effects, which may lead to significant differences from -200% of the underlying security's performance over periods longer than one trading day [14]. Group 4: Risks Associated with ASTS - The Fund's strategy involves swap and options contracts based on ASTS's share price, exposing it to risks similar to short selling, including potential losses if ASTS's share price increases [8]. - Positive developments for ASTS, such as successful satellite deployment or favorable analyst coverage, could lead to appreciation in its stock price, adversely affecting the Fund [11][12].