Share-split context: A reverse split was recorded on Oct 21, 2025 with coefficient 0.333333. 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.

Understanding TSLQ: TRADR 2X SHORT TSLA DAILY ETF

TSLQ is a specialized ETF designed to provide a "2X short" daily return on the price of Tesla stock. This means it is both leveraged (aiming for double the move) and inverse (aiming to profit when the stock price falls).

What the Numbers Show

The performance data for TSLQ shows a significant decline in share price over several timeframes. Because this ETF has a history of share splits, the following returns are split-adjusted:

• Year-to-Date (YTD): The price return is -6.44%.

• One Year: The price return is -31.52%, while the total return (which includes distributions) is -23.00%.

• Three Year: The price return is -96.97%, and the total return is -95.91%.

The current price as of October 7, 2026, is $16.99.

Income and Distribution Explanation

TSLQ has a distribution yield of approximately 11.29%. Over the last 12 months, it has made one distribution totaling $1.92 per share. The distribution frequency is listed as irregular or less frequent.

It is important for new investors to remember that a high distribution yield does not guarantee a profit. In this case, the total returns are significantly lower than the distribution yield because the share price has declined sharply.

Price and NAV Erosion

TSLQ has a severe erosion-risk flag. This warning was triggered because of the split-adjusted price trend and an erosion score of 30, which is labeled as "significant price erosion."

The ETF has a history of reverse splits, with the most recent occurring on October 21, 2025. In a reverse split, multiple old shares are combined into fewer new shares, which mechanically raises the per-share price. This mechanical increase does not restore lost investment value.

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.

Pros

• Provides a way for investors to bet against the daily movement of a single stock (Tesla) with leverage.

• Has provided some cash distributions to shareholders.

Cons

• Has experienced significant price erosion over the last three years.

• The total returns are deeply negative over one-year and three-year periods.

• The income rating grade is an "F."

• Reverse splits have been used to manage the share price.

Beginner Takeaway

TSLQ is a high-risk, complex tool. It is not a traditional "buy and hold" investment. While it offers a high distribution yield, the total return shows that the decline in share price has far outweighed the cash paid out to investors. This highlights why looking at total return is more important than looking at yield alone.