Investment Strategy Modification - L&S Strategies

Leverage Shares plc is expanding ETP strategy tools with a near-term procedural amendment.

What the company is saying

Leverage Shares plc is notifying holders of its ETP Securities about a modification to the Leveraged and Short Exposure Investment Strategies for a broad set of series. The company frames the amendment as a procedural update, emphasizing that it will allow leveraged and short exposures to be achieved using American Depositary Receipts, American Depositary Shares, or Global Depositary Shares, provided these are listed on approved markets. The announcement stresses regulatory compliance, citing Base Prospectus approvals by the FCA on 9 June 2026 and by the Central Bank of Ireland on 11 June 2026. The effective date for the amendment is 2 November 2026, and the change will be reflected in an updated Base Prospectus currently in progress. The Directors of Leverage Shares plc sign the notice, maintaining a formal and neutral tone throughout. The communication is strictly factual, with no promotional language or claims about financial impact or future performance. Securityholders are advised to consult independent professional advisers if in doubt about actions to take.

What the data suggests

The amendment is a technical change to the investment strategy, broadening the instruments available for leveraged and short exposures across dozens of ETP series, each identified by name and ISIN. The only numerical data disclosed are the effective date of the amendment (2 November 2026) and regulatory approval dates for the Base Prospectus (9 June 2026 by the FCA, 11 June 2026 by the Central Bank of Ireland). No financial performance metrics, AUM, or operational figures are provided. The schedule lists affected ETPs covering sectors and geographies including semiconductors, gold miners, oil & gas, China, South Korea, Taiwan, Japan, and India. The announcement is comprehensive in listing all impacted series and regulatory steps but does not quantify the expected impact or provide any forward-looking financial guidance. The evidence supports a purely procedural update with no immediate financial or operational implications disclosed.

Analysis

The announcement is a regulatory notice informing holders of ETP Securities about an upcoming amendment to investment strategies, specifically broadening the instruments used to achieve leveraged or short exposure. The language is factual and procedural, with no promotional or exaggerated claims about future performance or benefits. The forward-looking elements (such as the amendment's intent and the pending update to the Base Prospectus) are limited and relate to process rather than aspirational outcomes. There is no mention of capital outlay, financial impact, or operational expansion, and no attempt to frame the change as transformative or value-accretive. The effective date is within a week of the announcement, making the execution distance near-term. The disclosure is complete for its purpose, and there is no evidence of narrative inflation or overstatement.

Risk flags

• ●Operational risk arises if the expanded use of depositary receipts introduces new counterparty or market risks not present with direct holdings, especially in less liquid or more volatile reference assets. This matters because the amendment broadens the range of instruments used, potentially affecting tracking error or liquidity.
• ●Disclosure risk is present as the announcement provides no quantitative assessment of how the amendment could affect performance, costs, or risk profiles of the ETPs. Investors lack information on whether the change could alter returns or volatility.
• ●Regulatory risk exists if future updates to the Base Prospectus or changes in market rules affect the eligibility or treatment of depositary receipts, which could impact the ability to maintain the intended exposures.

Bottom line

This is a procedural update enabling Leverage Shares plc to use depositary receipts for leveraged and short exposures across a wide range of ETPs, effective 2 November 2026. The amendment is regulatory in nature, with no disclosed financial or operational impact, and is presented as a compliance-driven expansion of strategy tools. Investors are not given quantitative data on how this change might affect performance, costs, or risk, so the practical implications remain unclear. The most immediate takeaway is that affected ETPs may now use a broader set of instruments to achieve their objectives, but there is no evidence this will materially change investor outcomes. Future disclosures quantifying any impact on tracking, fees, or risk would be needed for a more actionable assessment.

Announcement summary

(LSE:3VT) Leverage Shares plc has issued a notice to holders of its ETP Securities regarding an upcoming modification to the Leveraged and Short Exposure Investment Strategies of the relevant series listed in the attached schedule. The investment objective of each Leveraged and Short Exposure Investment Strategy is to provide Leveraged Exposure or Short Exposure, as determined by the applicable Leverage Factor, to the Reference Assets specified for that Investment Strategy in the Base Prospectus. The amendment will allow the Leveraged Exposure of a relevant series to be achieved by acquiring, and the Short Exposure by borrowing and selling short, American Depositary Receipts, American Depositary Shares, or Global Depositary Shares representing the Reference Assets of that series, provided these are listed or admitted to trading on a specified market or a regulated market or equivalent third country market as approved by the Central Bank of Ireland. This Investment Strategy Amendment is intended to broaden the range of instruments through which the relevant series may obtain their exposure to the Reference Assets. The effective date for the Investment Strategy Amendment is 2 November 2026. The amendment is being made in conjunction with an update of the Base Prospectus, which is currently in progress, and will be reflected in the updated Base Prospectus. The Base Prospectus was approved by the FCA on 9 June 2026 and by the Central Bank on 11 June 2026. The notice lists all relevant series affected, including their names and ISINs, such as Leverage Shares 3x Long Total World ETP Securities (XS2399364822), Leverage Shares 3x Long Semiconductors ETP Securities (XS2399367502), Leverage Shares -3x Short Semiconductors ETP Securities (XS3005160257), and others covering exposures to sectors and geographies including Gold Miners, Oil & Gas, China Tech, South Korea, Taiwan, Japan, India, and more. The Directors of Leverage Shares plc signed the notice. The notice advises ETP Securityholders to consult their own independent professional advisers if in doubt about the action they should take. The information is provided by RNS, the news service of the London Stock Exchange, and notes that terms and conditions relating to the use and distribution of this information may apply.

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