Share-split context: A reverse split was recorded on Nov 20, 2025 with coefficient 0.25. A reverse split combines multiple old shares into fewer new shares and mechanically raises the quoted price per share. That mechanical increase does not restore lost investment value. The returns in this report are already split-adjusted, while reverse-split history remains a separate structural warning.

ETF Education Report: ProShares UltraPro Short Russell2000 -3x Shares (SRTY)

What this ETF is trying to do

SRTY is a specialized type of fund known as a leveraged, inverse ETF. This means it is designed to move in the opposite direction of the Russell 2000 index. Because it is "3x leveraged," it aims to provide three times the opposite performance of that index.

What the numbers show

The data shows significant declines in share price over different time periods. It is important to distinguish between "price return" (the change in the share price) and "total return" (which includes distributions).

• Year-to-Date (YTD): The price return is approximately -36.76%, while the total return is approximately -34.81%.

• One Year: The price return is approximately -41.50%, while the total return is approximately -38.59%.

• Three Years: The price return is approximately -86.73%, while the total return is approximately -84.25%.

Because this ETF has a history of reverse splits, we use split-adjusted returns to understand performance. In a reverse split, multiple old shares are combined into fewer new shares. This causes the price per share to rise mechanically, but it does not restore lost investment value.

Income and distribution explanation

This ETF has a distribution yield of approximately 5.77%. This represents the cash distributions paid out relative to the current share price. Over the last 12 months, there were 4 distributions, which usually happen on a quarterly basis. While these payments provide cash, they are not the same as total return.

NAV erosion explanation

This ETF has a severe erosion-risk flag. This warning was triggered because the split-adjusted price trend and the erosion score indicate substantial price deterioration. The fund has an erosion score of 10, which is labeled as "Severe price erosion."

"NAV erosion" refers to a decline in the Net Asset Value (the actual value of the fund's underlying assets). While a falling market price is a "share-price decline," a high erosion score serves as a measurement of the risk that the fund's value is being worn down over time.

Pros

• The ETF provides a distribution yield of approximately 5.77%.

• It offers a way to bet against the Russell 2000 index with 3x leverage.

Cons

• The fund has experienced very high share-price declines over the last one, three, and five years.

• There is a severe erosion-risk flag due to significant price deterioration.

• The fund has a history of six reverse splits.

Beginner takeaway

When looking at ETFs, high distribution yields can sometimes be misleading. A fund might pay out cash even while its share price is falling significantly. For this ETF, the combination of a high erosion-risk score and large negative total returns shows that the share price has declined sharply over long periods.