The CLSX ETF is an actively managed ETF designed to deliver amplified exposure to the daily performance of CleanSpark common stock. Over any period longer than one trading day, actual results can differ from the targeted exposure, so it is important to understand the daily reset structure.

It is suited to experienced investors who hold a clear short-term view on CleanSpark-related volatility and who can manage the daily reset and the potential for magnified losses.

The ETF is run with an active management approach by Tradr ETFs.

This product is structured to amplify CleanSpark's share price movements on a daily basis. Management focuses on adjusting the target exposure each trading day, so cumulative performance cannot simply be read as a long-term holding return. Sharp rises and falls in the underlying stock can be magnified in the fund's price.

• Daily leveraged exposure concentrated in a single stock, CleanSpark
• An active structure that focuses on managing the daily target rather than long-term cumulative returns

Assets under management (AUM) stand at $15.4M, and the expense ratio is 1.46% per year.

The gains and losses of the CLSX ETF are affected not only by the movement of the underlying stock but also by the daily reset process. Investors therefore need to judge short-term direction and manage their holding period together, and should not read long-term cumulative returns as a simple multiple of the underlying stock's performance.

Recent trends can react sensitively to CleanSpark's business environment, expectations for the Bitcoin market, volatility in the mining industry, and shifts in risk appetite. In a single-stock leveraged structure, not only the direction of the underlying stock but also the size and path of its moves have a major impact on performance.

For single-stock leveraged products of micro-cap size, fund inflows and outflows can swing widely depending on investors' short-term views and market volatility. Because there is no distribution history, investors should consider whether they prioritize price-driven gains and losses over cash flow, and whether they can tolerate the trading conditions.

The ETF can concentrate exposure on a CleanSpark upside scenario, but daily leverage and micro-cap characteristics mean investors must also consider losses and changing trading conditions.

Among the ETFs shown in the table, the TQQQ ETF focuses on a broad growth stock index, the SOXL ETF on the semiconductor sector, and the QLD ETF on leveraged exposure to the same growth stock index. The SSO ETF and the SPXL ETF are leveraged products based on a large-cap index, so their underlying assets and sources of volatility differ from the single-stock concentration of the CLSX ETF. Because information on directly comparable CleanSpark ETFs is limited, investors should compare product structures and the volatility of the underlying stocks together.

When considering the CLSX ETF, do not look only at the direction of the underlying stock. Also review how the daily reset affects your holding period, trading conditions, and the lack of distribution history. A single-stock leveraged structure can reflect even small market changes heavily in gains and losses.

With the CLSX ETF, sharp swings in the underlying stock can be magnified, and because of the daily reset, the longer the holding period, the more likely cumulative results are to differ from expectations. Changes in trading conditions tied to its micro-cap characteristics and exchange rate fluctuations can also affect gains and losses in Korean won terms.

The CLSX ETF is a product that investors can consider if they want to express a short-term directional view on CleanSpark through a leveraged structure. It is appropriate to decide whether to use it only after understanding the daily reset, micro-cap characteristics, and lack of distribution history, and after setting standards for trading costs and loss management.