Education Center
FactorShares is the first family of spread exchange traded funds (ETFs) enabling investors to track two S&P® indices, one long and one short, in one convenient and cost-effective position. Each dollar invested in a FactorShares fund provides approximately two dollars of exposure to a long futures benchmark and two dollars to a short futures benchmark, upon daily rebalancing. FactorShares offer the marketplace simple, systematic, and cost efficient long/short index strategies within one ETF.
Spread investing is common among sophisticated investors and traders; however, implementing a spread strategy using just one ETF is unique. In addition to reading the prospectus and/or consulting with a financial professional, we recommend that prospective investors supplement their research with the literature below which provides an overview of spread investing through ETFs and a more detailed guide about FactorShares ETFs.
Factor Education Series
Introduction to Spread ETFs. This primer discusses how the mechanics of spread strategies can be simplified and enhanced by using spread ETFs which combine a bullish and bearish view of different markets within one ETF.
Introduction to FactorShares. This brochure provides an overview of spread trading, discusses the benefits of using spread ETFs to implement spread strategies, and introduces FactorShares, the first family of spread ETFs.