RWDE ETF — Holdings & Analysis

For informational purposes only. Not financial advice.

Quick Answer

The Direxion MSCI Developed Over Emerging Markets ETF (RWDE) offers a unique approach to equity investing by tracking the MSCI EAFE IMI - Emerging Markets IMI 150/50 Return Spread Index.

With approximately $0.01 billion in assets under management and an expense ratio of 0.53%, RWDE seeks to capture the performance of a portfolio that is 150% long in developed markets (MSCI EAFE IMI Index) and 50% short in emerging markets. This ETF provides investors with a tool to express a view on the relative performance of developed versus emerging market equities.

Direxion MSCI Developed Over Emerging Markets ETF (RWDE) ETF — Price, Holdings & Analysis

The Direxion MSCI Developed Over Emerging Markets ETF (RWDE) offers a unique approach to equity investing by tracking the MSCI EAFE IMI - Emerging Markets IMI 150/50 Return Spread Index. With approximately $0.01 billion in assets under management and an expense ratio of 0.53%, RWDE seeks to capture the performance of a portfolio that is 150% long in developed markets (MSCI EAFE IMI Index) and 50% short in emerging markets. This ETF provides investors with a tool to express a view on the relative performance of developed versus emerging market equities.

ETF Overview

The investment seeks investment results, before fees and expenses, that track the MSCI EAFE IMI - Emerging Markets IMI 150/50 Return Spread Index (the "index"). The fund, under normal circumstances, invests at least 80% of its net assets (plus borrowing for investment purposes) in securities that comprise the Long Component of the index or shares of exchange-traded funds ("ETFs") on the Long Component of the index. The index measures the performance of a portfolio that has 150% long exposure to the MSCI EAFE IMI Index (the "Long Component") and 50% short exposure to the MSCI Emerging Markets IMI Index (the "Short Component"). The fund is non-diversified.

RWDE aims to provide investment results, before fees and expenses, that correlate to the MSCI EAFE IMI - Emerging Markets IMI 150/50 Return Spread Index. The fund achieves this by investing at least 80% of its net assets in securities that comprise the Long Component of the index (MSCI EAFE IMI Index) or shares of ETFs on the Long Component. RWDE effectively implements a strategy that overweights developed markets relative to emerging markets. The ETF's top holding is the iShares Core MSCI EAFE ETF (IEFA) at 96.29%, indicating a strong reliance on this ETF to achieve its long exposure. Sector allocation is diversified across Financial Services (17.4%), Industrials (16.0%), Healthcare (11.8%), and other sectors, reflecting the composition of the MSCI EAFE IMI Index. This ETF is designed for investors who believe developed markets will outperform emerging markets and are seeking a potentially higher return profile through leveraged exposure.

Risk Metrics

RWDE's structure introduces specific risks. The 150/50 long/short strategy can amplify both gains and losses, making it more volatile than a simple long-only equity ETF. The fund's non-diversified status means it may be more susceptible to concentration risk, although its primary holding in IEFA provides some diversification. Sector risk is also present, with significant allocations to Financial Services and Industrials, meaning the fund's performance is tied to the performance of these sectors. The expense ratio of 0.53% will create a drag on performance, especially relevant for a fund with a relatively small AUM of $0.01 billion. Investors should carefully consider their risk tolerance and investment horizon before investing in RWDE, and understand that past performance does not guarantee future results.

Expense Ratio

0.53%

What does RWDE hold?

Holding	Weight
iShares Core MSCI EAFE ETF (IEFA)	96.29%

How Is the Fund Allocated?

Sector	Weight
Financial Services	17.4%
Industrials	16.0%
Healthcare	11.8%
Consumer Cyclical	10.7%
Consumer Defensive	10.4%
Technology	7.7%
Basic Materials	7.1%
Communication Services	5.8%
Real Estate	4.9%
Energy	4.7%
Utilities	3.4%

Dividend Yield

2.32%

iShares Russell 2000 ETF (IWM) — 0.19% expense ratio
ARK Innovation ETF (ARKK) — 0.75% expense ratio
State Street Technology Select Sector SPDR ETF (XLK) — 0.08% expense ratio
Invesco QQQ Trust, Series 1 (QQQ) — 0.18% expense ratio
iShares MSCI Emerging Markets ETF (EEM) — 0.72% expense ratio
iShares MSCI EAFE ETF (EFA) — 0.32% expense ratio
State Street Energy Select Sector SPDR ETF (XLE) — 0.08% expense ratio
State Street SPDR S&P 500 ETF (SPY) — 0.09% expense ratio

Direxion World Without Waste ETF (WWOW) (Equity) — 0.50% expense ratio
Direxion Daily XOM Bull 2X ETF (XOMX) (Equity) — 2.36% expense ratio
Direxion Russell Small Over Large Cap ETF (RWSL) (Equity) — 0.59% expense ratio
Direxion Daily Global Clean Energy Bull 2X Shares (KLNE) (Equity) — 1.33% expense ratio
Direxion Daily Uranium Industry Bull 2X ETF (URAA) (Equity) — 1.46% expense ratio
Direxion Daily AMD Bull 2X ETF (AMUU) (Equity) — 1.16% expense ratio

Risk Metrics

Beta: 0.00

Questions & Answers

What is RWDE and what does it track?

The Direxion MSCI Developed Over Emerging Markets ETF (RWDE) is an exchange-traded fund that seeks to track the MSCI EAFE IMI - Emerging Markets IMI 150/50 Return Spread Index.

This index measures the performance of a portfolio with 150% long exposure to the MSCI EAFE IMI Index (developed markets) and 50% short exposure to the MSCI Emerging Markets IMI Index.

What is the expense ratio for RWDE?

The expense ratio for RWDE is 0.53%. This means that for every $10,000 invested in the fund, $53 is deducted annually to cover operating expenses.

While this is a factor to consider, expense ratios vary across different ETFs and investment strategies. Investors should compare RWDE's expense ratio to those of similar ETFs with comparable investment objectives to assess its cost-effectiveness.

What are the top holdings in RWDE?

As of 2026-03-15, the top holding in RWDE is the iShares Core MSCI EAFE ETF (IEFA), comprising 96.29% of the fund's portfolio. This significant allocation indicates that RWDE primarily gains its long exposure to developed markets through this ETF.

The iShares Core MSCI EAFE ETF (IEFA) provides broad exposure to developed market equities outside of the United States and Canada.

Is RWDE a good long-term investment?

Whether RWDE is a suitable long-term investment depends on an investor's individual circumstances, risk tolerance, and investment objectives.

RWDE's strategy of being long developed markets and short emerging markets can lead to periods of outperformance and underperformance depending on the relative economic conditions and market sentiment.

How does RWDE compare to similar ETFs?

RWDE stands out due to its unique long/short strategy focusing on the relative performance of developed versus emerging markets. Many ETFs offer broad exposure to either developed or emerging markets, but few combine them in a 150/50 long/short structure.

With AUM of $0.01 billion, RWDE is relatively small compared to more established broad market ETFs.

Does RWDE pay dividends?

Yes, RWDE does pay dividends. The current dividend yield for RWDE is 2.32%. This means that investors can expect to receive approximately 2.32% of their investment in the fund as dividend income on an annual basis, although this can fluctuate.

Disclaimer: This content is for informational purposes only and does not constitute investment advice. Always do your own research and consult a financial advisor.

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