Understanding the Leverage Shares 2x Long AAL Daily ETF (AALG)

The Leverage Shares 2x Long AAL Daily ETF (AALG) is a leveraged ETF designed to provide twice the daily return of American Airlines Group Inc. (AAL). This means it is built for investors who want a more aggressive way to track the daily movement of a single airline stock.

What the Numbers Show

As of October 5, 2026, the share price of AALG is $9.54. The fund has seen a significant decline recently:

• Year-to-Date (YTD): The price return is -46.17%.

• One-Year Price Return: The share price has fallen by 14.76%.

• One-Year Total Return: When including distributions, the total return is -13.43%.

For a simple example, if an investor had put $10,000 into the fund roughly one year ago (when the estimated price was $11.19), the value of those shares based on price alone would have decreased.

Income and Distribution Explanation

AALG provides some cash distributions, but they are not frequent. In the last 12 months, it has paid out only once.

• Distribution Yield: 2.89%

• Trailing Distributions: $0.28 per share

• Frequency: Irregular / less frequent

It is important to remember that a distribution yield is not the same as a total return. While the fund paid out some cash, the overall total return for the year remained negative.

Price and NAV Erosion Explanation

The supplied data is sufficient to evaluate price erosion, but it does not include enough historical NAV-per-share data to confirm or rule out NAV erosion.

Based on price-based evidence, AALG has an erosion-risk score of 75, which is labeled as "Mild price erosion." This means the fund's share price has shown a trend of decline, though it has not triggered a "severe erosion-risk flag."

Top Holdings

As of October 7, 2026, the fund holds two assets: 1. American Airlines Group Inc (AAL): 68.37% 2. First American Treasury Obligs X (FXFXX): 8.79%

Pros

• Leverage: Offers a way to get 2x the daily movement of American Airlines.

• Simplicity: A very concentrated portfolio focusing on one main company.

Cons

• High Volatility: The YTD price return of -46.17% shows the fund can lose value quickly.

• Low Income Grade: The fund has an income rating grade of "F."

• Irregular Payments: Distributions are not consistent or frequent.

Beginner Takeaway

AALG is a high-risk tool used to bet on the daily price of American Airlines. It is not designed for steady income or long-term stability. Because it is leveraged, price swings are magnified, which can lead to significant losses in a short time.