Company: SVIX
Filing Date: 2025-08-13
Form Type: 10-Q
Source: 0001213900-25-075845
Chunk: 339

Company: VS Trust
Filing Date: 2025-08-13
Form: 10-Q
Item: Part II, Item 8
Chunk 339
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 a daily basis as is the return of a fund with an objective of matching the same benchmark. The daily return of SVIX is designed
to return the inverse (-1x) of the return that would be expected of a fund with an objective of matching the same benchmark. The
Funds are not appropriate for all investors and present significant risks not applicable to other types of funds. The Funds use
leverage and are riskier than similarly benchmarked exchange-traded funds that do not use leverage. An investor should only consider an
investment in a Fund if he or she understands the consequences of seeking daily leveraged or daily inverse investment results. Shareholders
who invest in the Funds should actively manage and monitor their investments, as frequently as daily.

While the Funds seek to meet their investment objectives,
there is no guarantee they will do so. Factors that may affect a Fund’s ability to meet its investment objective include: (1) the
Sponsor’s ability to purchase and sell Financial Instruments in a manner that correlates to a Fund’s objective; (2) an imperfect
correlation between the performance of Financial Instruments held by a Fund and the performance of the applicable benchmark; (3) bid-ask
spreads on such Financial Instruments; (4) fees, expenses, transaction costs, financing costs associated with the use of Financial Instruments
and commission costs; (5) holding or trading instruments in a market that has become illiquid or disrupted; (6) a Fund’s Share prices
being rounded to the nearest cent and/or valuation methodology; (7) changes to a benchmark Index that are not disseminated in advance;
(8) the need to conform a Fund’s portfolio holdings to comply with investment restrictions or policies or regulatory or tax law
requirements; (9) early and unanticipated closings of the markets on which the holdings of a Fund trade, resulting in the inability of
the Fund to execute intended portfolio transactions; (10) accounting standards; and (11) differences caused by a Fund obtaining exposure
to only a representative sample of the components of a benchmark, over weighting or under weighting certain components of a benchmark
or obtaining exposure to assets that are not included in a benchmark.

A number of factors may affect a Fund’s ability
to achieve a high degree of correlation with its benchmark, and there can be no guarantee that a Fund will achieve a high degree of correlation.
Failure to achieve a high degree of correlation may prevent a Fund from achieving its investment objective. In order to achieve a high
degree of correlation