Company: SVIX
Filing Date: 2025-09-16
Form Type: 424B3
Source: 0001213900-25-087932
Chunk: 14

Company: VS Trust
Filing Date: 2025-09-16
Form: 424B3
Chunk 14
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 DIFFER FROM THE RETURN OF TWICE THE VIX OR A PORTFOLIO OF SHORT -TERM VIX FUTURES CONTRACTS OVER THE SAME PERIOD. THESE DIFFERENCES CAN BE SIGNIFICANT. MOREOVER, THE FUND WILL LOSE MONEY IF THE LONG INDEX’S PERFORMANCE IS FLAT OVER TIME, AND THE FUND CAN LOSE MONEY REGARDLESS OF THE PERFORMANCE OF THE LONG INDEX, TWICE THE PERFORMANCE OF THE VIX OR TWICE THE PERFORMANCE OF A PORTFOLIO OF SHORT -TERM VIX FUTURES CONTRACTS, AS A RESULT OF DAILY REBALANCING, THE LONG INDEX’S VOLATILITY, COMPOUNDING AND OTHER FACTORS. The Funds The Funds invest in Financial Instruments to gain the appropriate exposure to their benchmark. In the case of SVIX, its Benchmark is the Short Index. In the case of UVIX, its Benchmark is twice the Long Index. “Financial Instruments” are instruments whose value is derived from the value of an underlying asset, rate or benchmark (such asset, rate or benchmark, a “Reference Asset”) and include futures contracts, options transactions, swap agreements, forward contracts and similar instruments or transactions. In order to collateralize positions in Financial Instruments, a portion of the NAV of each Fund is held in cash and/or U.S. Treasury securities, agency securities, or other high credit quality short term fixed -incomeor similar securities (such as shares of money market funds, bank deposits, bank money market accounts, certain variable rate -demandnotes and repurchase agreements collateralized by government securities. A portion of these investments may be posted as collateral in connection with Financial Instruments. Each Fund also may invest in long or short positions in pooled investment vehicles that have investment objectives similar to that of a Fund, including investment companies registered under the Investment Company Act of 1940 or exchange -tradedinvestment products whose shares are registered under the Securities Act of 1933. In seeking to achieve each Fund’s investment objective, the Sponsor uses a mathematical approach to investing. The Sponsor determines the type, quantity and mix of Financial Instruments that it believes, in combination, should produce daily returns consistent with a Fund’s objective. The Funds are not actively managed by traditional methods ( e.g.,by effecting changes in the composition of a portfolio on the basis of judgments relating to economic, financial and market conditions with a view toward obtaining positive results under all market conditions). The Funds seek to remain fully invested at all times in Financial Instruments and money market instruments that, in