DIREXION NANOTECHNOLOGY ETF (TYNE) Exchange: NYSE ARCA

The Fund, under normal circumstances, invests at least 80% of its assets in the securities that comprise the Index.The Index is provided by S&P Dow Jones Indices LLC (the “Index Provider”) and is designed to measure the performance of U.S.-listed securities, including depositary receipts, of companies involved in the nanotechnology industry. The Index Provider defines nanotechnology as the creation and/or manipulation of matter at the molecular (or smaller) level.The Index includes companies that produce nanomaterials or provide systems, products and services that allow for construction, measurement, simulation or manipulation of nanomaterials. Nanomaterials include the following types of products or services:•Fabrication and manufacturing processes –devices/systems/processes that allow for construction/manipulation of matter at the molecular level as a part of the production process, which includes, but is not limited to, nanobots, nanolithography, atomic layer deposition and molecular self-assembly.•Measurement and simulation – services that simulate design of nanomaterials and products/services related to measurement at the molecular level, which includes, but is not limited to, nanoelectromechanical systems.•Materials – outputs created from nanofabrication and manufacturing processes, which includes, but is not limited to, nanotextiles and nanoparticles.•Delivery systems – systems that enable delivery of nanomaterials to targeted locations, which includes, but is not limited to, engineered nanoparticles and nanocapsules.The Index Provider distills each of the nanotechnology-related business activities down to representative search terms and conducts automated, proprietary natural language processing searches of annual company-issued filings for the representative search terms in order to identify nanotechnology companies. Only companies that prominently discuss such search terms in the applicable filings (i.e., based on the location and context of such terms) are eligible for inclusion in the Index.To be eligible for inclusion, securities must have a minimum float-adjusted market capitalization of $100 million as well as a minimum three-month average daily value traded of $1 million as of each rebalance reference date. The Index constituents are then categorized as “core” and “non-core.”A core nanotechnology company is a pure play company that is singularly focused on providing nanotechnology-related products or services, and a “non-core” nanotechnology company is one that has significant economic stakes tied to nanotechnology activities in addition to providing other products or services. Core constituents are over-weighted as compared to non-core constituents. The Index Provider also applies a diversification screen to ensure that the sum of the weights of all constituents with individual weights over 4.5% does not exceed 45% of the total Index weight. The Index is reconstituted annually and rebalanced quarterly.As of November 12, 2021, the Index was comprised of 29constituents, which had a median total market capitalization of $4 billion, total market capitalizations ranging from $98million to $250 billion, and was concentrated in the healthcareand information technology sectors.The components of the Index and the percentages represented by various sectors in the Index may change over time. The Fund will concentrate its investment in a particular industry or group of industries (i.e., hold 25% or more of its total assets in the stocks of a particular industry or group of industries) to approximately the same extent as the Index is so concentrated.The Fund uses a “passive” or indexing approach to attempt to achieve its investment objective. The Fund does not try to outperform the Index and does not generally take temporary defensive positions. Although the Fund intends to fully replicate the Index, at times the Fund may hold a representative sample of the securities in the Index that have aggregate characteristics similar to those of the Index. This means the Fund may not hold all of the securities included in the Index, its weighting of investment exposure to such stocks or industries may be different from that of the Index and it may hold securities that are not included in the Index. The Fund will rebalance its portfolio when the Index rebalances. Additionally, if the Fund receives a creation unit in cash, the Fund repositions its portfolio in response to assets flowing into or out of the Fund.The Fund is “non-diversified,” meaning that a relatively high percentage of its assets may be invested in a limited number of issuers of securities. Additionally, the Fund’s investment objective is not a fundamental policy and may be changed by the Fund’s Board of Trustees without shareholder approval.