VelocityShares designs exchange-traded products to be issued by well-known financial institutions. Our focus is to create unique instruments that will assist professional traders in managing their market views, risk, or desired exposures.
VelocityShares exchange-traded notes (“ETNs”) are senior, unsecured debt securities issued by financial institutions that provide traders with sophisticated tools for executing their trading strategies. The ETNs provide investors with exposure to the performance of an index minus an investor fee. The ETNs will trade on an exchange and can be sold short.
VelocityShares ETNs’ primary listing is on the NYSE ARCA, but they may trade on other U.S. stock exchanges.
The yearly fee for each product is described in the relevant prospectus.
Each VelocityShares ETN is linked to an index as described in the pricing supplement. Some of the indices are created, maintained, and published by VelocityShares Index and Calculation Services, a division of VelocityShares LLC while others are licensed from third party index providers.
The value of an ETN, including any payment at maturity or on early redemption, is subject to the creditworthiness of the issuer of that ETN. The buyer of an ETN is therefore exposed to the credit risk of the issuer while holding the ETN.
VelocityShares and its affiliates may calculate and publish certain information related to the indices and the ETNs. In the event of a market disruption or force majeure event affecting VelocityShares LLC or the components of any index, there is a risk VelocityShares LLC, may be unable to perform its duties. The consequences of such an event are described in the prospectus for each ETN.
No. VelocityShares has no market making or trading capabilities.
The intraday indicative value, the most current approximation of the closing indicative value of the ETNs, is calculated and disseminated over the Consolidated Tape and/or other major market data vendors every 15 seconds. There is no guarantee the ETNs will trade at their intraday indicative value.
Yes. VelocityShares ETNs can be sold short, subject to applicable laws, rules and regulations.
The ETNs are listed on NYSE Arca and may be bought and sold on one or more U.S. stock exchanges. Secondary market transactions settle regular way, T+3. Subject to certain restrictions, holders of the ETNs may choose to redeem their ETNs with the relevant issuer prior to maturity. Restrictions and instructions for early redemptions of the ETNs are set forth in the relevant prospectus.