Company: EUO
Filing Date: 2025-03-18
Form Type: S-1/A
Source: 0001193125-25-056734
Chunk: 20

Company: ProShares Trust II
Filing Date: 2025-03-18
Form: S-1/A
Chunk 20
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 continued military actions against Ukraine which started in February 2022, the Israel-Hamas conflict, and the Houthi movement’s attacks on marine vessels in the Red Sea have had, and may continue to have, an impact on certain commodities markets, particularly the market for natural gas, commodity futures markets, including futures on natural gas, and the prices of the Natural Gas Funds. Historically, Russia is a significant global exporter of natural gas. The front end of the natural gas futures curve was in contango for most of 2024 until December, when it shifted into backwardation. The natural gas front month future settled at a low of under $2 in February of 2024. Natural gas rallied throughout the rest of 2024 culminating in a high of $4 at year-end mostly due to weather related forecasts. While a ceasefire agreement between Israel and Hamas has been reached, there is no guarantee that the parties will continue to comply with the terms of the agreement and the agreement does not mean the conflict will be resolved. The possibility of a continued and prolonged conflict between Hamas and Israel, and the potential expansion of the conflict in the surrounding areas and the involvement of other nations in such conflict, could further destabilize the Middle East region and introduce new uncertainties in global markets, including the natural gas markets. This may increase or decrease volatility of the Fund’s shares. Important Tax Information Please note that each Fund will distribute to each shareholder a Schedule K-1 that will contain information regarding the shareholder’s share of income and expense items of the Fund. Schedule K-1 is a complex form and shareholders may find that preparing tax returns may require additional time or may require the assistance of an accountant or other tax preparer, at an additional expense to the shareholder.

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RISK FACTOR SUMMARY Risks Related to All Funds • There is no guarantee that any Geared Fund will achieve its investment objective. • Potential negative impact from rolling futures positions; there have been extended periods in the past where the investment strategies utilized by the Funds have caused significant and sustained losses. • The number of underlying components included in a Fund’s benchmark may impact the volatility of such benchmark, which could adversely affect an investment in the Shares. • Possible illiquid markets may cause or exacerbate losses; the large size of the positions the Funds may acquire increases these risks. • Changes implemented by the benchmark provider that affect the composition and valuation of the benchmark could negatively impact the performance of the benchmark and therefore the performance of the Funds. • For the Funds linked to a benchmark