Company: EUO
Filing Date: 2025-03-27
Form Type: 424B3
Source: 0001193125-25-065644
Chunk: 107

Company: ProShares Trust II
Filing Date: 2025-03-27
Form: 424B3
Chunk 107
---
 not invest directly in natural gas. In the event position accountability rules are reached with respect to such contracts, the Sponsor may, in its commercially reasonable judgment, cause the Natural Gas Funds to obtain exposure through swaps referencing its index or particular Natural Gas futures contracts. The Fund may invest in other futures contracts or swaps not based on the particular Natural Gas futures contracts if such instruments tend to exhibit trading prices or returns that correlate with its index or any Natural Gas futures contract and the sponsor believes such investment will further the investment objective of such Fund. The Natural Gas Funds may also invest in swaps if the market for a specific futures contract experiences emergencies ( e.g ., natural disaster, terrorist attack, or an act of God) or disruptions ( e.g ., a trading halt or a flash crash) or in situations where the Sponsor deems it impractical or inadvisable to buy or sell futures contracts (such as during periods of market volatility or illiquidity). In addition, each Natural Gas Fund may, but is not required to, seek to use options strategies and/or swap agreements that limit losses ( i.e ., have “floors”) or are otherwise designed to prevent the Fund’s NAV from going to or below zero. Use of such options strategies and/or swap agreements will not prevent a Natural Gas Fund from losing value, and their use may not prevent the Fund’s NAV from going to or below zero. Rather, it is intended to allow a Natural Gas Fund to preserve a small portion of its value in the event of significant movements in its benchmark or Financial Instruments based on its benchmark. Each Natural Gas Fund will also hold cash or cash equivalents such as U.S. Treasury securities or other high credit quality, short-term fixed-income or similar securities (such as shares of money market funds) as collateral for Financial Instruments and pending investment in Financial Instruments. Investment Strategies of the UltraShort Euro Fund: The UltraShort Euro Fund seeks to meet its investment objective under normal market conditions by obtaining short exposures to its benchmark through futures contracts on its underlying currency. The UltraShort Euro Fund will not invest directly in any currency. In the event position accountability rules or position limits are reached with respect to futures contracts, the Sponsor may in its commercially reasonable judgment, cause the UltraShort Euro Fund to obtain exposure to its benchmark through forward contracts referencing the benchmark. The Fund may invest in other forward contracts if such instruments tend to exhibit trading prices or returns that correlate with the benchmark or a component of the benchmark and will further the investment objective of the Fund. The UltraShort Euro Fund