Item 2. Management’s Discussion and Analysis
Item 2. Management’s Discussion and Analysis of Financial Condition and Results of Operations.
This information should be read in conjunction with the financial statements and notes to the financial statements included with this Quarterly Report on Form 10-Q. The discussion and analysis that follows may contain statements that relate to future events or future performance. In some cases, such forward-looking statements can be identified by terminology such as “will,” “may,” “should,” “expect,” “plan,” “anticipate,” “believe,” “estimate,” “predict,” “potential,” “intend,” “project,” “seek” or the negative of these terms or other comparable terminology. Because forward-looking statements relate to the future, they are subject to inherent uncertainties, risk and changes in circumstances that are difficult to predict and many of which are outside of the Funds’ control. The Funds’ forward-looking statements are not guarantees of future results and conditions and important factors, risks and uncertainties \in the markets for financial instruments that the Funds trade, in the markets for related physical commodities, in the legal and regulatory regimes applicable to the Sponsor, the Funds, and the Funds’ service providers, and in the broader economy may cause the Funds’ actual results to differ materially from those expressed in forward-looking statements. These forward-looking statements are based on information currently available to the Sponsor and are subject to a number of risks, uncertainties and other factors, both known, such as those described in “Risk Factors” in our Annual Report on Form 10-K for the fiscal year ended December 31, 2024 and in this Quarterly Report on Form 10-Q for the period ended March 31, 2025, and unknown, that could cause the actual results, performance, prospects or opportunities of the Funds to differ materially from those expressed in, or implied by, these forward-looking statements. Factors that could cause results to differ from those expressed in the forward-looking statements include those described in the aforementioned filings and in other SEC filings by the Funds, as well as the following: risks and uncertainty related to geopolitical conflict, world health crises and the global economic markets; risks associated with a rising rate environment; risks associated with regulatory and exchange daily price limits, position limits and accountability levels; and risks related to market competition. None of the Trust, the Sponsor, the Trustee, or the Administrator assumes responsibility for the accuracy or completeness of any forward-looking statements. Except as expressly required by federal securities laws, none of the Trust, the Sponsor, the Trustee, or the Administrator is under a duty to update any of the forward-looking statements to conform such statements to actual results or to a change in expectations or predictions.
Introduction
Each of the Funds generally invests in instruments whose value is derived from the value of an underlying asset, rate or index (Collectively, “Financial Instruments”), including futures contracts, swap agreements, forward contracts and other instruments as a substitute for investing directly in commodities, currencies, or spot volatility products in order to gain exposure to its applicable underlying commodity futures index, commodity, currency exchange rate or equity volatility index. Financial Instruments also are used to produce economically “inverse,” “inverse leveraged” or “leveraged” investment results for the Geared Funds.
The “Short” Fund seeks daily investment results, before fees and expenses, that correspond to one-half the inverse (-0.5x) of the daily performance of its corresponding benchmark. Each “UltraShort” Fund seeks daily investment results, before fees and expenses, that correspond to two times the inverse (-2x) of the daily performance of its corresponding benchmark. Each “Ultra” Fund seeks daily investment results, before fees and expenses, that correspond to either one and one-half times (1.5x) or two times (2x) the daily performance of its corresponding benchmark. Each Matching VIX Fund seeks investment results, before fees and expenses, both for a single day and over time, that match (1x) the performance of its corresponding benchmark. Daily performance is measured from the calculation of each Fund’s net asset value (“NAV”) to the Fund’s next NAV calculation.
Each Geared Fund seeks investment results for a single day only, not for any other period. This is different from most exchange-traded funds and means that the return of such Fund for a period longer than a single trading day will be the result of each day’s returns compounded over the period, which will very likely differ in amount and possibly even direction from -0.5x, -2x, 1.5x, or 2x, of the return of the benchmark to which such Fund is benchmarked for that period. Volatility of the benchmark may be at least as important to a Geared Fund’s return for the period as the return of the benchmark. Geared Funds that use leverage, are riskier than similarly benchmarked exchange-traded funds that do not use leverage. Accordingly, these Funds may not be suitable for all investors and should be used only by knowledgeable investors who understand the potential consequences of seeking daily leveraged, inverse or inverse leveraged investment results. Shareholders who invest in the Geared Funds should actively manage and monitor their investments, as frequently as daily.
Each Matching VIX Fund seeks investment results, before fees and expenses, that match the performance of the S&P 500 VIX Short-Term Futures Index (the “Short-Term VIX Index”) or the S&P 500 VIX Mid-Term Futures Index (the “Mid-Term VIX Index”) (each a “VIX Futures Index”). Each Geared VIX Fund seeks daily investment results, before fees and expenses, that correspond to a multiple or the inverse of the daily performance of the Short-Term VIX Index. Each VIX Fund intends to obtain exposure to its benchmark by taking positions in futures contracts (“VIX futures contracts”) based on the Chicago Board Options Exchange (“Cboe”) Volatility Index (the “VIX”).
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ProShares UltraShort Bloomberg Crude Oil, ProShares Ultra Gold, ProShares Ultra Silver, ProShares UltraShort Gold, ProShares UltraShort Silver, ProShares UltraShort Bloomberg Natural Gas, ProShares Ultra Bloomberg Crude Oil, and ProShares Ultra Bloomberg Natural Gas are benchmarked to indexes designed to track the performance of commodity futures contracts, as applicable. The daily performance of these Indexes and the corresponding Funds will likely be very different in amount and possibly even direction from the daily performance of the price of the related physical commodities.
Each Geared Fund continuously offers and redeems its Shares in blocks of 50,000 Shares and each Matching VIX Fund continuously offers and redeems its Shares in blocks of 25,000 Shares (each such block a “Creation Unit”). Only Authorized Participants may purchase and redeem Shares from a Fund and then only in Creation Units. An Authorized Participant is an entity that has entered into an Authorized Participant Agreement with one or more of the Funds. Shares of the Funds are offered to Authorized Participants in Creation Units at each Fund’s respective NAV. Authorized Participants may then offer to the public, from time to time, Shares from any Creation Unit they create at a per-Share market price that varies depending on, among other factors, the trading price of the Shares of each Fund on its applicable listing exchange, the NAV and the supply of and demand for the Shares at the time of the offer. Shares from the same Creation Unit may be offered at different times and may have different offering prices based upon the above factors. The form of Authorized Participant Agreement and related Authorized Participant Handbook set forth the terms and conditions under which an Authorized Participant may purchase or redeem a Creation Unit. Authorized Participants do not receive from any Fund, the Sponsor, or any of their affiliates, any underwriting fees or compensation in connection with their sale of Shares to the public.
The Sponsor maintains a website at www.ProShares.com, through which monthly account statements and the Trust’s Annual Report on Form 10-K, Quarterly Reports on Form 10-Q, Current Reports on Form 8-K and amendments to those reports filed or furnished pursuant to Section 13(a) or 15(d) of the Securities Exchange Act of 1934, as amended (the “1934 Act”), can be accessed free of charge, as soon as reasonably practicable after such material is electronically filed with, or furnished to, the U.S. Securities and Exchange Commission (the “SEC”). Additional information regarding the Trust may also be found on the SEC’s EDGAR database at www.sec.gov.
Forward and Reverse Splits
On March 20, 2024, the Trust issued a press release announcing a forward share split on ProShares Short VIX Short-Term Futures, ProShares UltraShort Bloomberg Natural Gas and a reverse share split on ProShares Ultra VIX Short-Term Futures. The Splits did not change the value of a shareholder’s investment. ProShares Short VIX Short-Term Futures executed a 2:1 Forward Split of its shares. ProShares UltraShort Bloomberg Natural Gas also executed a 2:1 Forward Split of its shares. The Forward Splits were effective at the market open on April 11, 2024, when the Funds begin trading at their post-Forward Split prices. The Forward Split decreased the price per share of each Funds with a proportionate increase in the number of its shares outstanding. ProShares Ultra VIX Short-Term Futures executed a 1:5 Reverse Split of its shares. The Reverse Split was effective at the market open on April 11, 2024, when the Fund began trading at its post-Reverse Split price. The ticker symbol for the Fund did not change, but the Fund was issued a new CUSIP number (74347Y755 for UVXY). The Reverse Split increased the price per share of the Fund with a proportionate decrease in the number of shares outstanding.
On October 28, 2024, the Trust issued a press release announcing a forward share split on ProShares UltraShort Yen and a reverse share split on ProShares UltraShort Silver, ProShares VIX Short-Term Futures, ProShares Ultra Bloomberg Natural Gas. The Splits did not change the value of a shareholder’s investment. ProShares UltraShort Yen executed a 2:1 Forward Split of its shares. The Forward Splits were effective at the market open on November 7, 2024, when the Funds began trading at their post-Forward Split prices. The Forward Split decreased the price per share of each Funds with a proportionate increase in the number of its shares outstanding. ProShares UltraShort Silver and ProShares ProShares VIX Short-Term Futures executed a 1:4 Reverse Split of its shares and ProShares Ultra Bloomberg Natural Gas executed a 1:5 Reverse Split of its shares. The Reverse Split was effective at the market open on November 7, 2024, when the Fund begins trading at its post-Reverse Split price. The ticker symbol for the Fund did not change, but the Fund was issued a new CUSIP number (74347Y722 for ZSL), (74347Y730 for VIXY), (74347Y748 for BOIL). The Reverse Split increased the price per share of the Fund with a proportionate decrease in the number of shares outstanding.
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Liquidity and Capital Resources
In order to collateralize derivatives positions in indices, commodities or currencies, a portion of the NAV of each Fund is held in cash and/or U.S. Treasury securities, agency securities, or other high credit quality short term fixed-income or similar securities (such as shares of money market funds, bank deposits, bank money market accounts, certain variable rate-demand notes and repurchase agreements collateralized by government securities, whether denominated in U.S. dollars or the applicable foreign currency with respect to a Currency Fund). A portion of these investments may be posted as collateral in connection with swap agreements, futures, and/or forward contracts. The percentage that U.S. Treasury bills and other short-term fixed-income securities bear to the shareholders’ equity of each Fund varies from period to period as the market values of the underlying swaps, futures contracts and forward contracts change. During the three months ended March 31, 2025 and 2024, each of the Funds earned interest income as follows:
Fund
Interest Income
Three Months
Ended
March 31, 2025
Interest Income
Three Months
Ended
March 31, 2024
ProShares Short VIX Short-Term Futures ETF
$
2,155,917
$
3,309,285
ProShares Ultra Bloomberg Crude Oil
3,505,104
5,010,450
ProShares Ultra Bloomberg Natural Gas
2,901,053
6,452,140
ProShares Ultra Euro
45,472
78,486
ProShares Ultra Gold
3,738,547
2,013,915
ProShares Ultra Silver
6,019,905
3,634,857
ProShares Ultra VIX Short-Term Futures ETF
2,887,526
2,758,242
ProShares Ultra Yen
528,121
370,254
ProShares UltraShort Bloomberg Crude Oil
1,934,823
2,242,767
ProShares UltraShort Bloomberg Natural Gas
4,443,450
1,347,078
ProShares UltraShort Euro
348,055
458,317
ProShares UltraShort Gold
212,707
143,203
ProShares UltraShort Silver
177,855
381,433
ProShares UltraShort Yen
208,973
315,417
ProShares VIX Mid-Term Futures ETF
281,099
515,164
ProShares VIX Short-Term Futures ETF
1,562,298
1,758,262
Each Fund’s underlying swaps, futures, options, forward contracts and foreign currency forward contracts, as applicable, may be subject to periods of illiquidity because of market conditions, regulatory considerations and other reasons. For example, swaps and forward contracts are not traded on an exchange, do not have uniform terms and conditions, and in general are not transferable without the consent of the counterparty. In the case of futures contracts, commodity exchanges may limit fluctuations in certain futures contract prices during a single day by regulations referred to as “daily limits.” During a single day, no futures trades may be executed at prices beyond the daily limit. Once the price of a futures contract has increased or decreased by an amount equal to the daily limit, positions in such futures contracts can neither be taken nor liquidated unless the traders are willing to effect trades at or within the limit. Futures contract prices have occasionally moved to the daily limit for several consecutive days with little or no trading. Such market conditions could prevent a Fund from promptly liquidating its futures positions.
Entry into swap agreements or forward contracts may further impact liquidity because these contractual agreements are executed “off-exchange” between private parties and, therefore, the time required to offset or “unwind” these positions may be greater than that for exchange-traded instruments. This potential delay could be exacerbated to the extent a counterparty is not a United States person.
The large size of the positions in which a Fund may acquire increases the risk of illiquidity by both making their positions more difficult to liquidate and increasing the losses incurred while trying to do so. Any type of disruption or illiquidity will potentially be exacerbated due to the fact that the Funds will typically invest in Financial Investments related to one benchmark, which in many cases is highly concentrated.
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Because each Fund may enter into swaps and may trade futures and forward contracts, its capital is at risk due to changes in the value of these contracts (market risk) or the inability of counterparties to perform under the terms of the contracts (credit risk).
Market Risk
Trading in derivatives contracts involves each Fund entering into contractual commitments to purchase or sell a commodity, currency or spot volatility product underlying such Fund’s benchmark at a specified date and price, should it hold such derivative contract into the deliverable period. Should a Fund enter into a contractual commitment to sell a physical commodity, currency or spot volatility product, it would be required to make delivery of that commodity, currency or spot volatility product at the contract price and then repurchase the contract at prevailing market prices or settle in cash. Since the repurchase price to which the value of a commodity, currency or spot volatility product can rise is unlimited, entering into commitments to sell commodities, currencies or spot volatility products would expose a Fund to theoretically unlimited risk.
For more information, see “Item 3. Quantitative and Qualitative Disclosures About Market Risk” in this Quarterly Report on Form 10-Q.
Credit Risk
When a Fund enters into swap agreements, futures contracts or forward contracts, the Fund is exposed to credit risk that the counterparty to the contract will not meet its obligations.
The counterparty for futures contracts traded on United States and most foreign futures exchanges as well as certain swaps is the clearing house associated with the particular exchange. In general, clearing houses are backed by their corporate members who may be required to share in the financial burden resulting from the nonperformance by one of their members and, as such, should significantly reduce this credit risk. In cases where the clearing house is not backed by the clearing members (i.e., some foreign exchanges, which may become applicable in the future), it may be backed by a consortium of banks or other financial institutions.
Certain swap and forward agreements are contracted for directly with counterparties. There can be no assurance that any counterparty, clearing member or clearing house will meet its obligations to a Fund.
Swap agreements do not generally involve the delivery of underlying assets either at the outset of a transaction or upon settlement. Accordingly, if the counterparty to an OTC swap agreement defaults, the Fund’s risk of loss typically consists of the net amount of payments that the Fund is contractually entitled to receive, if any. Swap counterparty risk is generally limited to the amount of any unrealized gains, although in the event of a counterparty bankruptcy, there could be delays and costs associated with the recovery of collateral posted in segregated tri-party accounts at the Fund’s custodian bank.
Forward agreements do not involve the delivery of assets at the onset of a transaction, but may be settled physically in the underlying asset if such contracts are held to expiration, particularly in the case of currency forwards. Thus, prior to settlement, if the counterparty to a forward contract defaults, a Fund’s risk of loss will generally consist of the net amount of payments that the Fund is contractually entitled to receive, if any. However, if physically settled forwards are held until expiration (presently, there is no plan to do this), at the time of settlement, a Fund may be at risk for the full notional value of the forward contracts depending on the type of settlement procedures used.
The Sponsor attempts to minimize certain of these market and credit risks by normally:
•
executing and clearing trades with creditworthy counterparties, as determined by the Sponsor;
•
limiting the outstanding amounts due from counterparties to the Funds;
•
not posting margin directly with a counterparty;
•
requiring that the counterparty posts collateral in amounts approximately equal to that owed to the Funds, as marked to market daily, subject to certain minimum thresholds;
•
limiting the amount of margin or premium posted at a FCM; and
•
ensuring that deliverable contracts are not held to such a date when delivery of the underlying asset could be called for.
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Off-Balance Sheet Arrangements and Contractual Obligations
As of May 7, 2025, the Funds have not used, nor do they expect to use in the future, special purpose entities to facilitate off-balance sheet financing arrangements and have no loan guarantee arrangements or off-balance sheet arrangements of any kind other than agreements entered into in the normal course of business, which may include indemnification provisions related to certain risks service providers undertake in performing services which are in the best interests of the Funds. While each Fund’s exposure under such indemnification provisions cannot be estimated, these general business indemnifications are not expected to have a material impact on a Fund’s financial position.
Management fee payments made to the Sponsor are calculated as a fixed percentage of each Fund’s NAV. As such, the Sponsor cannot anticipate the payment amounts that will be required under these arrangements for future periods as NAVs are not known until a future date. The agreement with the Sponsor may be terminated by either party upon 30 days written notice to the other party.
Critical Accounting Policies
Preparation of the financial statements and related disclosures in compliance with accounting principles generally accepted in the United States of America requires the application of appropriate accounting rules and guidance, as well as the use of estimates. The Trust’s and the Funds’ application of these policies involves judgments and actual results may differ from the estimates used.
Each Fund has significant exposure to Financial Instruments. The Funds hold a significant portion of their assets in swaps, futures, forward contracts or foreign currency forward contracts, all of which are recorded on a trade date basis and at fair value in the financial statements, with changes in fair value reported in the Statements of Operations.
The use of fair value to measure Financial Instruments, with related unrealized gains or losses recognized in earnings in each period, is fundamental to the Trust’s and the Funds’ financial statements. The fair value of a Financial Instrument is the amount that would be received to sell an asset or paid to transfer a liability in an orderly transaction between market participants at the measurement date (the exit price).
For financial reporting purposes, the Funds value investments based upon the closing price in their primary markets. Accordingly, the investment valuations in these financial statements may differ from those used in the calculation of certain Funds’ final creation/redemption NAV for the period ended March 31, 2025.
Short-term investments are valued at amortized cost which approximates fair value for daily NAV purposes. For financial reporting purposes, short-term investments are valued at their market price using information provided by a third-party pricing service or market quotations.
Repurchase agreements are generally valued at amortized cost, provided such amounts approximate fair value.
Derivatives (e.g., futures contracts, options, swap agreements, forward agreements and foreign currency forward contracts) are generally valued using independent sources and/or agreements with counterparties or other procedures as determined by the Sponsor. Futures contracts, are generally valued at the last settled price on the applicable exchange on which that future trades. For financial reporting purposes, all futures contracts are valued at last settled price. The Sponsor may in its sole discretion choose to determine a fair value price as the basis for determining the market value of such position. Such fair value prices would be generally determined based on available inputs about the current value of the underlying financial instrument or commodity and would be based on principles that the Sponsor deems fair and equitable so long as such principles are consistent with normal industry standards. The Sponsor may fair value an asset of a Fund pursuant to the policies the Sponsor has adopted, which are consistent with normal industry standards.
Fair value pricing may require subjective determinations about the value of an investment. While each Fund’s policy is intended to result in a calculation of the Fund’s NAV that fairly reflects investment values as of the time of pricing, the Funds cannot ensure that fair values determined by the Sponsor or persons acting at their direction would accurately reflect the price that the Fund could obtain for an investment if it were to dispose of that investment as of the time of pricing (for instance, in a forced or distressed sale).
The prices used by a Fund may differ from the value that would be realized if the investments were sold and the differences could be material to the financial statements.
Interest income is recognized on an accrual basis and includes, where applicable, the amortization of premium or discount, and is reflected as Interest Income in the Statement of Operations. Additionally, interest income may be earned on Repurchase Agreements, cash held at the custodian bank and/or cash held on deposit with brokers for futures contracts.
Realized gains (losses) and changes in unrealized gain (loss) on open investments are determined on a specific identification basis and recognized in the Statements of Operations in the period in which the contract is closed or the changes occur, respectively.
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Each Fund pays its respective brokerage commissions, including applicable exchange fees, NFA fees, give up fees, pit futures account fees and other transaction related fees and expenses charged in connection with trading activities for each Fund’s investment in U.S. Commodity Futures Trading Commission regulated investments. Brokerage commissions on futures contracts are recognized on a half-turn basis. The Sponsor is currently paying brokerage commissions in VIX futures contracts for the Matching VIX Funds that exceed variable create/redeem fees collected by more than 0.02% of the Matching VIX Fund’s average net assets annually.
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Results of Operations for the Three Months Ended March 31, 2025 Compared to the Three Months Ended March 31, 2024
ProShares Short VIX Short-Term Futures ETF
Fund Performance
The following table provides summary performance information for the Fund for the three months ended March 31, 2025 and 2024:
Three Months Ended
March 31, 2025
Three Months Ended
March 31, 2024
NAV beginning of period
$
266,090,233
$
267,184,359
NAV end of period
$
232,107,856
$
313,978,799
Percentage change in NAV
(12.8
)%
17.5
%
Shares outstanding beginning of period
5,318,614
5,168,614
Shares outstanding end of period
5,068,614
5,568,614
Percentage change in shares outstanding
(4.7
)%
7.7
%
Shares created
2,250,000
2,400,000
Shares redeemed
2,500,000
2,000,000
Per share NAV beginning of period
$
50.03
$
51.69
Per share NAV end of period
$
45.79
$
56.38
Percentage change in per share NAV
(8.5
)%
9.1
%
Percentage change in benchmark
12.4
%
(16.2
)%
Benchmark annualized volatility
69.4
%
39.6
%
During the three months ended March 31, 2025, the decrease in the Fund’s NAV resulted primarily from the cumulative effect of the Fund seeking daily investment results, before fees and expenses, that correspond to one-half the inverse (-0.5x) of the daily performance of the S&P 500 VIX Short-Term Futures Index. The decrease in the Fund’s NAV also resulted in part from a decrease from 5,318,614 outstanding Shares at December 31, 2024 to 5,068,614 outstanding Shares at March 31, 2025. By comparison, during the three months ended March 31, 2024, the increase in the Fund’s NAV resulted primarily from the cumulative effect of the Fund seeking daily investment results, before fees and expenses, that correspond to one-half the inverse (-0.5x) of the daily performance of the S&P 500 VIX Short-Term Futures Index. The increase in the Fund’s NAV also resulted in part from an increase from 5,168,614 outstanding Shares at December 31, 2023 to 5,568,614 outstanding Shares at March 31, 2024.
For the three months ended March 31, 2025 and 2024, the Fund’s daily performance had a statistical correlation over 0.99 to 0.5x of the inverse of the daily performance of its benchmark. The Fund’s per Share NAV decrease of 8.5% for the three months ended March 31, 2025, as compared to the Fund’s per Share NAV increase of 9.1% for the three months ended March 31, 2024, was primarily due to a depreciation in the value of the assets held by the Fund during the three months ended March 31, 2025.
The benchmark’s rise of 12.4% for the three months ended March 31, 2025, as compared to the benchmark’s decline of 16.2% for the three months ended March 31, 2024, can be attributed to an increase in the value of near-term futures contracts on the VIX futures curve during the period ended March 31, 2025.
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Net Income/Loss
The following table provides summary income information for the Fund for the three months ended March 31, 2025 and 2024:
Three Months Ended
March 31, 2025
Three Months Ended
March 31, 2024
Net investment income (loss)
$
1,447,619
$
2,397,290
Management fee
555,389
740,396
Brokerage commission
127,212
171,599
Futures account fees
25,697
—
Net realized gain (loss)
(17,636,853
)
28,514,617
Change in net unrealized appreciation (depreciation)
(242,938
)
(4,654,821
)
Net Income (loss)
$
(16,432,172
)
$
26,257,086
The Fund’s net income decreased for the three months ended March 31, 2025 as compared to the three months ended March 31, 2024, primarily due an increase in the value of futures prices during the three months ended March 31, 2025.
ProShares Ultra Bloomberg Crude Oil
Fund Performance
The following table provides summary performance information for the Fund for the three months ended March 31, 2025 and 2024:
Three Months Ended
March 31, 2025
Three Months Ended
March 31, 2024
NAV beginning of period
$
523,420,064
$
652,793,437
NAV end of period
$
432,463,827
$
597,176,895
Percentage change in NAV
(17.4
)%
(8.5
)%
Shares outstanding beginning of period
19,043,096
24,843,096
Shares outstanding end of period
15,943,096
17,993,096
Percentage change in shares outstanding
(16.3
)%
(27.6
)%
Shares created
5,700,000
4,050,000
Shares redeemed
8,800,000
10,900,000
Per share NAV beginning of period
$
27.49
$
26.28
Per share NAV end of period
$
27.13
$
33.19
Percentage change in per share NAV
(1.3
)%
26.3
%
Percentage change in benchmark
(0.5
)%
12.8
%
Benchmark annualized volatility
19.6
%
21.4
%
During the three months ended March 31, 2025, the decrease in the Fund’s NAV resulted primarily from a decrease from 19,043,096 outstanding Shares at December 31, 2024 to 15,943,096 outstanding Shares at March 31, 2025. The decrease in the Fund’s NAV also resulted in part from the cumulative effect of the Fund seeking daily investment results, before fees and expenses, that correspond to two times (2x) the daily performance of the Bloomberg Commodity Balanced WTI Crude Oil Index SM . By comparison, during the three months ended March 31, 2024, the decrease in the Fund’s NAV resulted primarily from a decrease from 24,843,096 outstanding Shares at December 31, 2023 to 17,993,096 outstanding Shares at March 31, 2024. The decrease in the Fund’s NAV was offset by the cumulative effect of the Fund seeking daily investment results, before fees and expenses, that correspond to two times (2x) the daily performance of the Bloomberg Commodity Balanced WTI Crude Oil Index SM .
For the three months ended March 31, 2025 and 2024, the Fund’s daily performance had a statistical correlation over 0.99 to 2x of the daily performance of its benchmark. The Fund’s per Share NAV decrease of 1.3% for the three months ended March 31, 2025, as compared to the Fund’s per Share NAV increase of 26.3% for the three months ended March 31, 2024, was primarily due to a depreciation in the value of the assets held by the Fund during the three months ended March 31, 2025.
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The benchmark’s decline of 0.5% for the three months ended March 31, 2025, as compared to the benchmark’s rise of 12.8% for the three months ended March 31, 2024, can be attributed to a decrease in the value of WTI Crude Oil during the period ended March 31, 2025.
Net Income/Loss
The following table provides summary income information for the Fund for the three months ended March 31, 2025 and 2024:
Three Months Ended
March 31, 2025
Three Months Ended
March 31, 2024
Net investment income (loss)
$
2,493,623
$
3,471,629
Management fee
964,913
1,477,017
Brokerage commission
46,568
61,804
Net realized gain (loss)
15,516,861
93,131,105
Change in net unrealized appreciation (depreciation)
(464,350
)
55,083,842
Net Income (loss)
$
17,546,134
$
151,686,576
The Fund’s net income decreased for the three months ended March 31, 2025 as compared to the three months ended March 31, 2024, primarily due a decrease in the value of WTI Crude Oil during the three months ended March 31, 2025.
ProShares Ultra Bloomberg Natural Gas
Fund Performance
The following table provides summary performance information for the Fund for the three months ended March 31, 2025 and 2024:
Three Months Ended
March 31, 2025
Three Months Ended
March 31, 2024
NAV beginning of period
$
396,081,499
$
729,892,808
NAV end of period
$
232,237,503
$
580,741,377
Percentage change in NAV
(41.4
)%
(20.4
)%
Shares outstanding beginning of period
7,223,047
5,113,709
Shares outstanding end of period
2,723,047
8,843,709
Percentage change in shares outstanding
(62.3
)%
72.9
%
Shares created
5,300,000
8,020,000
Shares redeemed
9,800,000
4,290,000
Per share NAV beginning of period
$
54.84
$
142.73
Per share NAV end of period
$
85.29
$
65.67
Percentage change in per share NAV
55.5
%
(54.0
)%
Percentage change in benchmark
31.4
%
(28.7
)%
Benchmark annualized volatility
61.6
%
57.3
%
During the three months ended March 31, 2025, the decrease in the Fund’s NAV resulted primarily from a decrease from 7,223,047 outstanding Shares at December 31, 2024 to 2,723,047 outstanding Shares at March 31, 2025. The decrease in the Fund’s NAV was offset by the cumulative effect of the Fund seeking daily investment results, before fees and expenses, that correspond to two times (2x) the daily performance of the Bloomberg Natural Gas Subindex SM . By comparison, during the three months ended March 31, 2024, the
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decrease in the Fund’s NAV resulted primarily from the cumulative effect of the Fund seeking daily investment results, before fees and expenses, that correspond to two times (2x) the daily performance of the Bloomberg Natural Gas Subindex SM . The decrease in the Fund’s NAV was offset by an increase from 5,113,709 outstanding Shares at December 31, 2023 to 8,843,709 outstanding Shares at March 31, 2024.
For the three months ended March 31, 2025 and 2024, the Fund’s daily performance had a statistical correlation over 0.99 to 2x of the daily performance of its benchmark. The Fund’s per Share NAV increase of 55.5% for the three months ended March 31, 2025, as compared to the Fund’s per Share NAV decrease of 54.0% for the three months ended March 31, 2024, was primarily due to an appreciation in the value of the assets held by the Fund during the three months ended March 31, 2025.
The benchmark’s rise of 31.4% for the three months ended March 31, 2025, as compared to the benchmark’s decline of 28.7% for the three months ended March 31, 2024, can be attributed to an increase in the value of Henry Hub Natural Gas during the period ended March 31, 2025.
Net Income/Loss
The following table provides summary income information for the Fund for the three months ended March 31, 2025 and 2024:
Three Months Ended
March 31, 2025
Three Months Ended
March 31, 2024
Net investment income (loss)
$
1,817,307
$
4,210,636
Management fee
703,053
1,449,427
Brokerage commission
282,155
703,092
Futures account fees
98,538
88,985
Net realized gain (loss)
222,605,228
(242,180,914
)
Change in net unrealized appreciation (depreciation)
(42,138,893
)
(136,392,955
)
Net Income (loss)
$
182,283,642
$
(374,363,233
)
The Fund’s net income increased for the three months ended March 31, 2025 as compared to the three months ended March 31, 2024, primarily due an increase in the value of Henry Hub Natural Gas during the three months ended March 31, 2025.
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ProShares Ultra Euro
Fund Performance
The following table provides summary performance information for the Fund for the three months ended March 31, 2025 and 2024:
Three Months Ended
March 31, 2025
Three Months Ended
March 31, 2024
NAV beginning of period
$
5,751,156
$
7,114,015
NAV end of period
$
5,111,473
$
6,804,048
Percentage change in NAV
(11.1
)%
(4.4
)%
Shares outstanding beginning of period
550,000
600,000
Shares outstanding end of period
450,000
600,000
Percentage change in shares outstanding
(18.2
)%
—
%
Shares created
—
100,000
Shares redeemed
100,000
100,000
Per share NAV beginning of period
$
10.46
$
11.86
Per share NAV end of period
$
11.36
$
11.34
Percentage change in per share NAV
8.6
%
(4.4
)%
Percentage change in benchmark
4.4
%
(2.3
)%
Benchmark annualized volatility
8.9
%
5.0
%
During the three months ended March 31, 2025, the decrease in the Fund’s NAV resulted primarily from a decrease from 550,000 outstanding Shares at December 31, 2024 to 450,000 outstanding Shares at March 31, 2025. The decrease in the Fund’s NAV was offset by the cumulative effect of the Fund seeking daily investment results, before fees and expenses, that correspond to two times (2x) the daily performance of the spot price of the euro versus the U.S. dollar. By comparison, during the three months ended March 31, 2024, the decrease in the Fund’s NAV resulted primarily from the cumulative effect of the Fund seeking daily investment results, before fees and expenses, that correspond to two times (2x) the daily performance of the spot price of the euro versus the U.S. dollar. There was no net change in the Fund’s outstanding Shares from December 31, 2023 to March 31, 2024.
For the three months ended March 31, 2025 and 2024, the Fund’s daily performance had a statistical correlation over 0.99 to 2x of the daily performance of its benchmark. The Fund’s per Share NAV increase of 8.6% for the three months ended March 31, 2025, as compared to the Fund’s per Share NAV decrease of 4.4% for the three months ended March 31, 2024, was primarily due to appreciation in the value of the assets held by the Fund during the three months ended March 31, 2025.
The benchmark’s rise of 4.4% for the three months ended March 31, 2025, as compared to the benchmark’s decline of 2.3% for the three months ended March 31, 2024, can be attributed to an increase in the value of the euro versus the U.S. dollar during the period ended March 31, 2025.
Net Income/Loss
The following table provides summary income information for the Fund for the three months ended March 31, 2025 and 2024:
Three Months Ended
March 31, 2025
Three Months Ended
March 31, 2024
Net investment income (loss)
$
33,660
$
62,551
Management fee
11,812
15,935
Net realized gain (loss)
160,517
144,574
Change in net unrealized appreciation (depreciation)
194,877
(509,514
)
Net Income (loss)
$
389,054
$
(302,389
)
The Fund’s net income increased for the three months ended March 31, 2025 as compared to the three months ended March 31, 2024, primarily due an increase in the value of the euro versus the U.S. dollar during the three months ended March 31, 2025.
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ProShares Ultra Gold
Fund Performance
The following table provides summary performance information for the Fund for the three months ended March 31, 2025 and 2024:
Three Months Ended
March 31, 2025
Three Months Ended
March 31, 2024
NAV beginning of period
$
289,709,332
$
191,502,023
NAV end of period
$
480,619,425
$
215,970,841
Percentage change in NAV
65.9
%
12.8
%
Shares outstanding beginning of period
3,100,000
3,000,000
Shares outstanding end of period
3,750,000
3,000,000
Percentage change in shares outstanding
21.0
%
—
%
Shares created
850,000
450,000
Shares redeemed
200,000
450,000
Per share NAV beginning of period
$
93.45
$
63.83
Per share NAV end of period
$
128.17
$
71.99
Percentage change in per share NAV
37.2
%
12.8
%
Percentage change in benchmark
18.2
%
7.4
%
Benchmark annualized volatility
13.6
%
11.3
%
During the three months ended March 31, 2025, the increase in the Fund’s NAV resulted primarily from the cumulative effect of the Fund seeking daily investment results, before fees and expenses, that correspond to two times (2x) the daily performance of the Bloomberg Gold Subindex SM . The increase in the Fund’s NAV also resulted in part from an increase from 3,100,000 outstanding Shares at December 31, 2024 to 3,750,000 outstanding Shares at March 31, 2025. By comparison, during the three months ended March 31, 2024, the increase in the Fund’s NAV resulted primarily from the cumulative effect of the Fund seeking daily investment results, before fees and expenses, that correspond to two times (2x) the daily performance of the Bloomberg Gold Subindex SM . There was no net change in the Fund’s outstanding Shares from December 31, 2023 to March 31, 2024.
For the three months ended March 31, 2025 and 2024, the Fund’s daily performance had a statistical correlation over 0.99 to 2x of the daily performance of its benchmark. The Fund’s per Share NAV increase of 37.2% for the three months ended March 31, 2025, as compared to the Fund’s per Share NAV increase of 12.8% for the three months ended March 31, 2024, was primarily due to a greater appreciation in the value of the assets held by the Fund during the three months ended March 31, 2025.
The benchmark’s rise of 18.2% for the three months ended March 31, 2025, as compared to the benchmark’s rise of 7.4% for the three months ended March 31, 2024, can be attributed to a greater increase in the value of gold futures contracts during the period ended March 31, 2025.
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Net Income/Loss
The following table provides summary income information for the Fund for the three months ended March 31, 2025 and 2024:
Three Months Ended
March 31, 2025
Three Months Ended
March 31, 2024
Net investment income (loss)
$
2,855,659
$
1,567,439
Management fee
863,544
436,603
Brokerage commission
19,344
9,873
Net realized gain (loss)
58,428,586
18,474,282
Change in net unrealized appreciation (depreciation)
56,024,718
2,721,192
Net Income (loss)
$
117,308,963
$
22,762,913
The Fund’s net income increased for the three months ended March 31, 2025 as compared to the three months ended March 31, 2024, primarily due a greater increase in the value of futures prices, during the three months ended March 31, 2025.
ProShares Ultra Silver
Fund Performance
The following table provides summary performance information for the Fund for the three months ended March 31, 2025 and 2024:
Three Months Ended
March 31, 2025
Three Months Ended
March 31, 2024
NAV beginning of period
$
562,083,293
$
390,146,373
NAV end of period
$
717,992,459
$
403,584,744
Percentage change in NAV
27.7
%
3.4
%
Shares outstanding beginning of period
16,746,526
14,296,526
Shares outstanding end of period
15,696,526
14,146,526
Percentage change in shares outstanding
(6.3
)%
(1.0
)%
Shares created
4,850,000
2,300,000
Shares redeemed
5,900,000
2,450,000
Per share NAV beginning of period
$
33.56
$
27.29
Per share NAV end of period
$
45.74
$
28.53
Percentage change in per share NAV
36.3
%
4.6
%
Percentage change in benchmark
18.5
%
3.8
%
Benchmark annualized volatility
24.6
%
21.3
%
During the three months ended March 31, 2025, the increase in the Fund’s NAV resulted primarily from the cumulative effect of the Fund seeking daily investment results, before fees and expenses, that correspond to two times (2x) the daily performance of the Bloomberg Silver Subindex SM . The increase in the Fund’s NAV was offset by a decrease from 16,746,526 outstanding Shares at December 31, 2024 to 15,696,526 outstanding Shares at March 31, 2025. By comparison, during the three months ended March 31, 2024, the increase in the Fund’s NAV resulted primarily from the cumulative effect of the Fund seeking daily investment results, before fees and expenses, that correspond to two times (2x) the daily performance of the Bloomberg Silver Subindex SM . The increase in the Fund’s NAV was offset by a decrease from 14,296,526 outstanding Shares at December 31, 2023 to 14,146,526 outstanding Shares at March 31, 2024.
For the three months ended March 31, 2025 and 2024, the Fund’s daily performance had a statistical correlation over 0.99 to 2x of the daily performance of its benchmark. The Fund’s per Share NAV increase of 36.3% for the three months ended March 31, 2025, as compared to the Fund’s per Share NAV increase of 4.6% for the three months ended March 31, 2024, was primarily due to a greater appreciation in the value of the assets held by the Fund during the three months ended March 31, 2025.
The benchmark’s rise of 18.5% for the three months ended March 31, 2025, as compared to the benchmark’s rise of 3.8% for the three months ended March 31, 2024, can be attributed to a greater increase in the value of silver futures contracts during the period ended March 31, 2025.
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Net Income/Loss
The following table provides summary income information for the Fund for the three months ended March 31, 2025 and 2024:
Three Months Ended
March 31, 2025
Three Months Ended
March 31, 2024
Net investment income (loss)
$
4,456,894
$
2,732,914
Management fee
1,516,455
873,901
Brokerage commission
46,556
28,042
Net realized gain (loss)
54,710,787
(4,465,915
)
Change in net unrealized appreciation (depreciation)
139,277,471
21,608,599
Net Income (loss)
$
198,445,152
$
19,875,598
The Fund’s net income increased for the three months ended March 31, 2025 as compared to the three months ended March 31, 2024, primarily due a greater increase in the value of futures prices during the three months ended March 31, 2025.
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ProShares Ultra VIX Short-Term Futures ETF
Fund Performance
The following table provides summary performance information for the Fund for the three months ended March 31, 2025 and 2024:
Three Months Ended
March 31, 2025
Three Months Ended
March 31, 2024
NAV beginning of period
$
284,452,060
$
348,555,743
NAV end of period
$
323,381,943
$
278,240,649
Percentage change in NAV
13.7
%
(20.2
)%
Shares outstanding beginning of period
13,693,643
8,264,892
Shares outstanding end of period
13,793,643
8,844,891
Percentage change in shares outstanding
0.7
%
7.0
%
Shares created
45,350,000
2,820,000
Shares redeemed
45,250,000
2,240,000
Per share NAV beginning of period
$
20.77
$
42.17
Per share NAV end of period
$
23.44
$
31.46
Percentage change in per share NAV
12.9
%
(25.4
)%
Percentage change in benchmark
12.4
%
(16.2
)%
Benchmark annualized volatility
69.4
%
39.6
%
During the three months ended March 31, 2025, the increase in the Fund’s NAV resulted primarily from the cumulative effect of the Fund seeking daily investment results, before fees and expenses, that correspond to one and one-half times (1.5x) the daily performance of the S&P 500 VIX Short-Term Futures Index. The increase in the Fund’s NAV also resulted in part from an increase from 13,693,643 outstanding Shares at December 31, 2024 to 13,793,643 outstanding Shares at March 31, 2025. By comparison, during the three months ended March 31, 2024, the decrease in the Fund’s NAV resulted primarily from the cumulative effect of the Fund seeking daily investment results, before fees and expenses, that correspond to one and one-half times (1.5x) the daily performance of the S&P 500 VIX Short-Term Futures Index. The decrease in the Fund’s NAV was offset by an increase from 8,264,892 outstanding Shares at December 31, 2023 to 8,844,891 outstanding Shares at March 31, 2024.
For the three months ended March 31, 2025 and 2024, the Fund’s daily performance had a statistical correlation over 0.99 to 1.5x of the daily performance of its benchmark. The Fund’s per Share NAV increase of 12.9% for the three months ended March 31, 2025, as compared to the Fund’s per Share NAV decrease of 25.4% for the three months ended March 31, 2024, was primarily due to an appreciation in the value of the assets held by the Fund during the three months ended March 31, 2025.
The benchmark’s rise of 12.4% for the three months ended March 31, 2025, as compared to the benchmark’s decline of 16.2% for the three months ended March 31, 2024, can be attributed to an increase in the value of near-term futures contracts on the VIX futures curve during the period ended March 31, 2025.
Net Income/Loss
The following table provides summary income information for the Fund for the three months ended March 31, 2025 and 2024:
Three Months Ended
March 31, 2025
Three Months Ended
March 31, 2024
Net investment income (loss)
$
1,076,597
$
1,517,995
Management fee
836,310
667,531
Brokerage commission
887,712
486,546
Futures account fees
86,907
86,170
Net realized gain (loss)
99,921,387
(90,992,592
)
Change in net unrealized appreciation (depreciation)
19,633,361
13,280,569
Net Income (loss)
$
120,631,345
$
(76,194,028
)
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The Fund’s net income increased for the three months ended March 31, 2025 as compared to the three months ended March 31, 2024, primarily due an increase in the value of futures prices during the three months ended March 31, 2025.
ProShares Ultra Yen
Fund Performance
The following table provides summary performance information for the Fund for the three months ended March 31, 2025 and 2024:
Three Months Ended
March 31, 2025
Three Months Ended
March 31, 2024
NAV beginning of period
$
44,505,646
$
30,205,770
NAV end of period
$
61,327,343
$
41,994,545
Percentage change in NAV
37.8
%
39.0
%
Shares outstanding beginning of period
2,199,970
1,099,970
Shares outstanding end of period
2,799,970
1,799,970
Percentage change in shares outstanding
27.3
%
63.6
%
Shares created
900,000
800,000
Shares redeemed
300,000
100,000
Per share NAV beginning of period
$
20.23
$
27.46
Per share NAV end of period
$
21.90
$
23.33
Percentage change in per share NAV
8.3
%
(15.1
)%
Percentage change in benchmark
4.9
%
(6.9
)%
Benchmark annualized volatility
8.5
%
7.8
%
During the three months ended March 31, 2025, the increase in the Fund’s NAV resulted primarily from an increase from 2,199,970 outstanding Shares at December 31, 2024 to 2,799,970 outstanding Shares at March 31, 2025. The increase in the Fund’s NAV also resulted in part from the cumulative effect of the Fund seeking daily investment results, before fees and expenses, that correspond to two times (2x) the daily performance of the spot price of the Japanese yen versus the U.S. dollar. By comparison, during the three months ended March 31, 2024, the increase in the Fund’s NAV resulted primarily from an increase from 1,099,970 outstanding Shares at December 31, 2023 to 1,799,970 outstanding Shares at March 31, 2024. The increase in the Fund’s NAV was offset by the cumulative effect of the Fund seeking daily investment results, before fees and expenses, that correspond to two times (2x) the daily performance of the spot price of the Japanese yen versus the U.S. dollar.
For the three months ended March 31, 2025 and 2024, the Fund’s daily performance had a statistical correlation over 0.99 to 2x of the daily performance of its benchmark. The Fund’s per Share NAV increase of 8.3% for the three months ended March 31, 2025, as compared to the Fund’s per Share NAV decrease of 15.1% for the three months ended March 31, 2024, was primarily due to appreciation in the value of the assets held by the Fund during the three months ended March 31, 2025.
The benchmark’s rise of 4.9% for the three months ended March 31, 2025, as compared to the benchmark’s decline of 6.9% for the three months ended March 31, 2024, can be attributed to an increase in the value of the Japanese yen versus the U.S. dollar during the period ended March 31, 2025.
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Net Income/Loss
The following table provides summary income information for the Fund for the three months ended March 31, 2025 and 2024:
Three Months Ended
March 31, 2025
Three Months Ended
March 31, 2024
Net investment income (loss)
$
391,107
$
293,018
Management fee
137,014
77,236
Net realized gain (loss)
1,642,642
(2,031,575
)
Change in net unrealized appreciation (depreciation)
2,667,939
(3,578,931
)
Net Income (loss)
$
4,701,688
$
(5,317,488
)
The Fund’s net income increased for the three months ended March 31, 2025 as compared to the three months ended March 31, 2024, primarily due an increase in the value of the Japanese yen versus the U.S. dollar during the three months ended March 31, 2025.
ProShares UltraShort Bloomberg Crude Oil
Fund Performance
The following table provides summary performance information for the Fund for the three months ended March 31, 2025 and 2024:
Three Months Ended
March 31, 2025
Three Months Ended
March 31, 2024
NAV beginning of period
$
121,997,334
$
188,963,592
NAV end of period
$
179,185,227
$
197,512,295
Percentage change in NAV
46.9
%
4.5
%
Shares outstanding beginning of period
7,205,220
9,105,220
Shares outstanding end of period
10,705,220
12,405,220
Percentage change in shares outstanding
48.6
%
36.2
%
Shares created
10,100,000
8,450,000
Shares redeemed
6,600,000
5,150,000
Per share NAV beginning of period
$
16.93
$
20.75
Per share NAV end of period
$
16.74
$
15.92
Percentage change in per share NAV
(1.1
)%
(23.3
)%
Percentage change in benchmark
(0.5
)%
12.8
%
Benchmark annualized volatility
19.6
%
21.4
%
During the three months ended March 31, 2025, the increase in the Fund’s NAV resulted primarily from an increase from 7,205,220 outstanding Shares at December 31, 2024 to 10,705,220 outstanding Shares at March 31, 2025. The increase in the Fund’s NAV was offset by the cumulative effect of the Fund seeking daily investment results, before fees and expenses, that correspond to two times the inverse (-2x) of the daily performance of the Bloomberg Commodity Balanced WTI Crude Oil Index SM . By comparison, during the three months ended March 31, 2024, the increase in the Fund’s NAV resulted primarily from an increase from 9,105,220 outstanding Shares at December 31, 2023 to 12,405,220 outstanding Shares at March 31, 2024. The increase in the Fund’s NAV was offset by the cumulative effect of the Fund seeking daily investment results, before fees and expenses, that correspond to two times the inverse (-2x) of the daily performance of the Bloomberg Commodity Balanced WTI Crude Oil Index SM .
For the three months ended March 31, 2025 and 2024, the Fund’s daily performance had a statistical correlation over 0.99 to 2x of the inverse of the daily performance of its benchmark. The Fund’s per Share NAV decrease of 1.1% for the three months ended March 31, 2025, as compared to the Fund’s per Share NAV decrease of 23.3% for the three months ended March 31, 2024, was primarily due to a lesser depreciation in the value of the assets held by the Fund during the three months ended March 31, 2025.
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The benchmark’s decline of 0.5% for the three months ended March 31, 2025, as compared to the benchmark’s rise of 12.8% for the three months ended March 31, 2024, can be attributed to a decrease in the value of WTI Crude Oil during the period ended March 31, 2025.
Net Income/Loss
The following table provides summary income information for the Fund for the three months ended March 31, 2025 and 2024:
Three Months Ended
March 31, 2025
Three Months Ended
March 31, 2024
Net investment income (loss)
$
1,392,723
$
1,737,221
Management fee
481,324
451,585
Brokerage commission
60,776
53,961
Net realized gain (loss)
8,933,899
(12,508,822
)
Change in net unrealized appreciation (depreciation)
3,484,550
(34,449,133
)
Net Income (loss)
$
13,811,172
$
(45,220,734
)
The Fund’s net income increased for the three months ended March 31, 2025 as compared to the three months ended March 31, 2024, primarily due a decrease in the value of WTI Crude Oil, during the three months ended March 31, 2025.
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ProShares UltraShort Bloomberg Natural Gas
Fund Performance
The following table provides summary performance information for the Fund for the three months ended March 31, 2025 and 2024:
Three Months Ended
March 31, 2025
Three Months Ended
March 31, 2024
NAV beginning of period
$
260,940,143
$
140,963,092
NAV end of period
$
573,853,468
$
94,345,355
Percentage change in NAV
119.9
%
(33.1
)%
Shares outstanding beginning of period
5,983,712
2,933,712
Shares outstanding end of period
29,133,712
1,233,712
Percentage change in shares outstanding
386.9
%
(57.9
)%
Shares created
47,000,000
6,600,000
Shares redeemed
23,850,000
8,300,000
Per share NAV beginning of period
$
43.61
$
48.05
Per share NAV end of period
$
19.70
$
76.47
Percentage change in per share NAV
(54.8
)%
59.2
%
Percentage change in benchmark
31.4
%
(28.7
)%
Benchmark annualized volatility
61.6
%
57.3
%
During the three months ended March 31, 2025, the increase in the Fund’s NAV resulted primarily from an increase from 5,983,712 outstanding Shares at December 31, 2024 to 29,133,712 outstanding Shares at March 31, 2025. The increase in the Fund’s NAV was offset by the cumulative effect of the Fund seeking daily investment results, before fees and expenses, that correspond to two times the inverse (-2x) of the daily performance of the Bloomberg Natural Gas Subindex SM . By comparison, during the three months ended March 31, 2024, the decrease in the Fund’s NAV resulted primarily from a decrease from 2,933,712 outstanding Shares at December 31, 2023 to 1,233,712 outstanding Shares at March 31, 2024. The decrease in the Fund’s NAV was offset by the cumulative effect of the Fund seeking daily investment results, before fees and expenses, that correspond to two times the inverse (-2x) of the daily performance of the Bloomberg Natural Gas Subindex SM .
For the three months ended March 31, 2025 and 2024, the Fund’s daily performance had a statistical correlation over 0.99 to 2x of the inverse of the daily performance of its benchmark. The Fund’s per Share NAV decrease of 54.8% for the three months ended March 31, 2025, as compared to the Fund’s per Share NAV increase of 59.2% for the three months ended March 31, 2024, was primarily due to a depreciation in the value of the assets held by the Fund during the three months ended March 31, 2025.
The benchmark’s rise of 31.4% for the three months ended March 31, 2025, as compared to the benchmark’s decline of 28.7% for the three months ended March 31, 2024, can be attributed to an increase in the value of Henry Hub Natural Gas during the period ended March 31, 2025.
Net Income/Loss
The following table provides summary income information for the Fund for the three months ended March 31, 2025 and 2024:
Three Months Ended
March 31, 2025
Three Months Ended
March 31, 2024
Net investment income (loss)
$
2,805,691
$
807,347
Management fee
1,087,219
262,444
Brokerage commission
504,500
261,254
Futures account fees
46,040
16,033
Net realized gain (loss)
(221,827,712
)
44,652,614
Change in net unrealized appreciation (depreciation)
(14,598,037
)
23,826,488
Net Income (loss)
$
(233,620,058
)
$
69,286,449
The Fund’s net income decreased for the three months ended March 31, 2025 as compared to the three months ended March 31, 2024, primarily due an increase in the value of Henry Hub Natural Gas during the three months ended March 31, 2025.
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ProShares UltraShort Euro
Fund Performance
The following table provides summary performance information for the Fund for the three months ended March 31, 2025 and 2024:
Three Months Ended
March 31, 2025
Three Months Ended
March 31, 2024
NAV beginning of period
$
41,892,674
$
39,367,550
NAV end of period
$
33,912,850
$
38,712,882
Percentage change in NAV
(19.0
)%
(1.7
)%
Shares outstanding beginning of period
1,200,000
1,350,000
Shares outstanding end of period
1,050,000
1,250,000
Percentage change in shares outstanding
(12.5
)%
(7.4
)%
Shares created
50,000
—
Shares redeemed
200,000
100,000
Per share NAV beginning of period
$
34.91
$
29.16
Per share NAV end of period
$
32.30
$
30.97
Percentage change in per share NAV
(7.5
)%
6.2
%
Percentage change in benchmark
4.4
%
(2.3
)%
Benchmark annualized volatility
8.9
%
5.0
%
During the three months ended March 31, 2025, the decrease in the Fund’s NAV resulted primarily from a decrease from 1,200,000 outstanding Shares at December 31, 2024 to 1,050,000 outstanding Shares at March 31, 2025. The decrease in the Fund’s NAV also resulted in part from the cumulative effect of the Fund seeking daily investment results, before fees and expenses, that correspond to two times the inverse (-2x) of the daily performance of the spot price of the euro versus the U.S. dollar. By comparison, during the three months ended March 31, 2024, the decrease in the Fund’s NAV resulted primarily from a decrease from 1,350,000 outstanding Shares at December 31, 2023 to 1,250,000 outstanding Shares at March 31, 2024. The decrease in the Fund’s NAV was offset by the cumulative effect of the Fund seeking daily investment results, before fees and expenses, that correspond to two times the inverse (-2x) of the daily performance of the spot price of the euro versus the U.S. dollar.
For the three months ended March 31, 2025 and 2024, the Fund’s daily performance had a statistical correlation over 0.99 to 2x of the inverse of the daily performance of its benchmark. The Fund’s per Share NAV decrease of 7.5% for the three months ended March 31, 2025, as compared to the Fund’s per Share NAV increase of 6.2% for the three months ended March 31, 2024, was primarily due to depreciation in the value of the assets held by the Fund during the three months ended March 31, 2025.
The benchmark’s rise of 4.4% for the three months ended March 31, 2025, as compared to the benchmark’s decline of 2.3% for the three months ended March 31, 2024, can be attributed to an increase in the value of the euro versus the U.S. dollar during the period ended March 31, 2025.
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Net Income/Loss
The following table provides summary income information for the Fund for the three months ended March 31, 2025 and 2024:
Three Months Ended
March 31, 2025
Three Months Ended
March 31, 2024
Net investment income (loss)
$
258,107
$
363,067
Management fee
89,948
95,250
Net realized gain (loss)
(1,630,953
)
(939,220
)
Change in net unrealized appreciation (depreciation)
(1,344,718
)
2,967,733
Net Income (loss)
$
(2,717,564
)
$
2,391,580
The Fund’s net income decreased for the three months ended March 31, 2025 as compared to the three months ended March 31, 2024, primarily due an increase in the value of the euro versus the U.S. dollar during the three months ended March 31, 2025.
ProShares UltraShort Gold
Fund Performance
The following table provides summary performance information for the Fund for the three months ended March 31, 2025 and 2024:
Three Months Ended
March 31, 2025
Three Months Ended
March 31, 2024
NAV beginning of period
$
16,624,428
$
11,795,779
NAV end of period
$
45,122,935
$
15,170,884
Percentage change in NAV
171.4
%
28.6
%
Shares outstanding beginning of period
946,977
446,977
Shares outstanding end of period
3,546,977
646,977
Percentage change in shares outstanding
274.6
%
44.7
%
Shares created
3,000,000
200,000
Shares redeemed
400,000
—
Per share NAV beginning of period
$
17.56
$
26.39
Per share NAV end of period
$
12.72
$
23.45
Percentage change in per share NAV
(27.5
)%
(11.1
)%
Percentage change in benchmark
18.2
%
7.4
%
Benchmark annualized volatility
13.6
%
11.3
%
During the three months ended March 31, 2025, the increase in the Fund’s NAV resulted primarily from an increase from 946,977 outstanding Shares at December 31, 2024 to 3,546,977 outstanding Shares at March 31, 2025. The increase in the Fund’s NAV was offset by the cumulative effect of the Fund seeking daily investment results, before fees and expenses, that correspond to two times the inverse (-2x) of the daily performance of the Bloomberg Gold Subindex SM . By comparison, during the three months ended March 31, 2024, the increase in the Fund’s NAV resulted primarily from an increase from 446,977 outstanding Shares at December 31, 2023 to 646,977 outstanding Shares at March 31, 2024. The increase in the Fund’s NAV was offset by the cumulative effect of the Fund seeking daily investment results, before fees and expenses, that correspond to two times the inverse (-2x) of the daily performance of the Bloomberg Gold Subindex SM .
For the three months ended March 31, 2025 and 2024, the Fund’s daily performance had a statistical correlation over 0.99 to 2x of the inverse of the daily performance of its benchmark. The Fund’s per Share NAV decrease of 27.5% for the three months ended March 31, 2025, as compared to the Fund’s per Share NAV decrease of 11.1% for the three months ended March 31, 2024, was primarily due to a greater depreciation in the value of the assets held by the Fund during the three months ended March 31, 2025.
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The benchmark’s rise of 18.2% for the three months ended March 31, 2025, as compared to the benchmark’s rise of 7.4% for the three months ended March 31, 2024, can be attributed to a greater increase in the value of gold futures contracts during the period ended March 31, 2025.
Net Income/Loss
The following table provides summary income information for the Fund for the three months ended March 31, 2025 and 2024:
Three Months Ended
March 31, 2025
Three Months Ended
March 31, 2024
Net investment income (loss)
$
152,848
$
109,867
Management fee
57,780
32,401
Brokerage commission
2,079
935
Net realized gain (loss)
(3,442,604
)
(1,397,813
)
Change in net unrealized appreciation (depreciation)
(4,325,716
)
(344,579
)
Net Income (loss)
$
(7,615,472
)
$
(1,632,525
)
The Fund’s net income decreased for the three months ended March 31, 2025 as compared to the three months ended March 31, 2024, primarily due a greater increase in the value of the futures prices during the three months ended March 31, 2025.
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ProShares UltraShort Silver
Fund Performance
The following table provides summary performance information for the Fund for the three months ended March 31, 2025 and 2024:
Three Months Ended
March 31, 2025
Three Months Ended
March 31, 2024
NAV beginning of period
$
23,752,619
$
65,149,686
NAV end of period
$
32,867,619
$
24,245,029
Percentage change in NAV
38.4
%
(62.8
)%
Shares outstanding beginning of period
560,264
897,832
Shares outstanding end of period
1,110,264
360,332
Percentage change in shares outstanding
98.2
%
(59.9
)%
Shares created
1,150,000
350,000
Shares redeemed
600,000
887,500
Per share NAV beginning of period
$
42.40
$
72.56
Per share NAV end of period
$
29.60
$
67.29
Percentage change in per share NAV
(30.2
)%
(7.3
)%
Percentage change in benchmark
18.5
%
3.8
%
Benchmark annualized volatility
24.6
%
21.3
%
During the three months ended March 31, 2025, the increase in the Fund’s NAV resulted primarily from an increase from 560,264 outstanding Shares at December 31, 2024 to 1,110,264 outstanding Shares at March 31, 2025. The increase in the Fund’s NAV was offset by the cumulative effect of the Fund seeking daily investment results, before fees and expenses, that correspond to two times the inverse (-2x) of the daily performance of the Bloomberg Silver Subindex SM . By comparison, during the three months ended March 31, 2024, the decrease in the Fund’s NAV resulted primarily from a decrease from 897,832 outstanding Shares at December 31, 2023 to 360,332 outstanding Shares at March 31, 2024. The decrease in the Fund’s NAV also resulted in part from the cumulative effect of the Fund seeking daily investment results, before fees and expenses, that correspond to two times the inverse (-2x) of the daily performance of the Bloomberg Silver Subindex SM .
For the three months ended March 31, 2025 and 2024, the Fund’s daily performance had a statistical correlation over 0.99 to 2x of the inverse of the daily performance of its benchmark. The Fund’s per Share NAV decrease of 30.2% for the three months ended March 31, 2025, as compared to the Fund’s per Share NAV decrease of 7.3% for the three months ended March 31, 2024, was primarily due to a greater depreciation in the value of the assets held by the Fund during the three months ended March 31, 2025.
The benchmark’s rise of 18.5% for the three months ended March 31, 2025, as compared to the benchmark’s rise of 3.8% for the three months ended March 31, 2024, can be attributed to a greater increase in the value of the silver futures contracts during the period ended March 31, 2025.
Net Income/Loss
The following table provides summary income information for the Fund for the three months ended March 31, 2025 and 2024:
Three Months Ended
March 31, 2025
Three Months Ended
March 31, 2024
Net investment income (loss)
$
112,155
$
284,271
Management fee
61,371
91,138
Brokerage commission
4,329
6,024
Net realized gain (loss)
(3,108,986
)
5,780,020
Change in net unrealized appreciation (depreciation)
(5,052,048
)
(1,418,602
)
Net Income (loss)
$
(8,048,879
)
$
4,645,689
The Fund’s net income decreased for the three months ended March 31, 2025 as compared to the three months ended March 31, 2024, primarily due to a greater increase in the value of futures prices during the three months ended March 31, 2025.
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ProShares UltraShort Yen
Fund Performance
The following table provides summary performance information for the Fund for the three months ended March 31, 2025 and 2024:
Three Months Ended
March 31, 2025
Three Months Ended
March 31, 2024
NAV beginning of period
$
26,080,295
$
24,010,010
NAV end of period
$
26,449,371
$
32,662,223
Percentage change in NAV
1.4
%
36.0
%
Shares outstanding beginning of period
547,160
697,160
Shares outstanding end of period
597,160
797,160
Percentage change in shares outstanding
9.1
%
14.3
%
Shares created
150,000
200,000
Shares redeemed
100,000
100,000
Per share NAV beginning of period
$
47.66
$
34.44
Per share NAV end of period
$
44.29
$
40.97
Percentage change in per share NAV
(7.1
)%
19.0
%
Percentage change in benchmark
4.9
%
(6.9
)%
Benchmark annualized volatility
8.5
%
7.8
%
During the three months ended March 31, 2025, the increase in the Fund’s NAV resulted primarily from an increase from 547,160 outstanding Shares at December 31, 2024 to 597,160 outstanding Shares at March 31, 2025. The increase in the Fund’s NAV was offset by the cumulative effect of the Fund seeking daily investment results, before fees and expenses, that correspond to two times the inverse (-2x) of the daily performance of the spot price of the Japanese yen versus the U.S. dollar. By comparison, during the three months ended March 31, 2024, the increase in the Fund’s NAV resulted primarily from the cumulative effect of the Fund seeking daily investment results, before fees and expenses, that correspond to two times the inverse (-2x) of the daily performance of the spot price of the Japanese yen versus the U.S. dollar. The increase in the Fund’s NAV also resulted in part from an increase from 697,160 outstanding Shares at December 31, 2023 to 797,160 outstanding Shares at March 31, 2024.
For the three months ended March 31, 2025 and 2024, the Fund’s daily performance had a statistical correlation over 0.99 to 2x of the inverse of the daily performance of its benchmark. The Fund’s per Share NAV decrease of 7.1% for the three months ended March 31, 2025, as compared to the Fund’s per Share NAV increase of 19.0% for the three months ended March 31, 2024, was primarily due to depreciation in the value of the assets held by the Fund during the three months ended March 31, 2025.
The benchmark’s rise of 4.9% for the three months ended March 31, 2025, as compared to the benchmark’s decline of 6.9% for the three months ended March 31, 2024, can be attributed to an increase in the value of the Japanese yen versus the U.S. dollar during the period ended March 31, 2025.
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Net Income/Loss
The following table provides summary income information for the Fund for the three months ended March 31, 2025 and 2024:
Three Months Ended
March 31, 2025
Three Months Ended
March 31, 2024
Net investment income (loss)
$
155,036
$
249,284
Management fee
53,937
66,133
Net realized gain (loss)
(158,694
)
1,708,812
Change in net unrealized appreciation (depreciation)
(1,804,651
)
2,938,152
Net Income (loss)
$
(1,808,309
)
$
4,896,248
The Fund’s net income decreased for the three months ended March 31, 2025 as compared to the three months ended March 31, 2024, primarily due an increase in the value of the Japanese yen versus the U.S. dollar during the three months ended March 31, 2025.
ProShares VIX Mid-Term Futures ETF
Fund Performance
The following table provides summary performance information for the Fund for the three months ended March 31, 2025 and 2024:
Three Months Ended
March 31, 2025
Three Months Ended
March 31, 2024
NAV beginning of period
$
28,111,210
$
37,866,143
NAV end of period
$
34,246,807
$
84,603,064
Percentage change in NAV
21.8
%
123.4
%
Shares outstanding beginning of period
1,937,403
2,262,403
Shares outstanding end of period
2,162,403
5,337,403
Percentage change in shares outstanding
11.6
%
135.9
%
Shares created
1,300,000
3,375,000
Shares redeemed
1,075,000
300,000
Per share NAV beginning of period
$
14.51
$
16.74
Per share NAV end of period
$
15.84
$
15.85
Percentage change in per share NAV
9.2
%
(5.3
)%
Percentage change in benchmark
9.6
%
(4.8
)%
Benchmark annualized volatility
30.8
%
19.0
%
During the three months ended March 31, 2025, the increase in the Fund’s NAV resulted primarily from an increase from 1,937,403 outstanding Shares at December 31, 2024 to 2,162,403 outstanding Shares at March 31, 2025. The increase in the Fund’s NAV also resulted in part from the cumulative effect of the Fund seeking daily investment results, before fees and expenses, that correspond to the daily performance of the S&P 500 VIX Mid-Term Futures Index. By comparison, during the three months ended March 31, 2024, the increase in the Fund’s NAV resulted primarily from an increase from 2,262,403 outstanding Shares at December 31, 2023 to 5,337,403 outstanding Shares at March 31, 2024. The increase in the Fund’s NAV was offset by the cumulative effect of the Fund seeking daily investment results, before fees and expenses, that correspond to the daily performance of the S&P 500 VIX Mid-Term Futures Index.
For the three months ended March 31, 2025 and 2024, the Fund’s daily performance had a statistical correlation over 0.99 to the daily performance of its benchmark. The Fund’s per Share NAV increase of 9.2% for the three months ended March 31, 2025, as compared to the Fund’s per Share NAV decrease of 5.3% for the three months ended March 31, 2024, was primarily due to an appreciation in the value of the assets held by the Fund during the three months ended March 31, 2025.
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The benchmark’s rise of 9.6% for the three months ended March 31, 2025, as compared to the benchmark’s decline of 4.8% for the three months ended March 31, 2024, can be attributed to an increase in the value of the futures contracts that made the S&P 500 VIX Mid-Term Futures Index during the period ended March 31, 2025.
Net Income/Loss
The following table provides summary income information for the Fund for the three months ended March 31, 2025 and 2024:
Three Months Ended
March 31, 2025
Three Months Ended
March 31, 2024
Net investment income (loss)
$
201,460
$
392,110
Management fee
63,974
96,887
Brokerage commission
12,545
20,163
Futures account fees
3,120
6,004
Net realized gain (loss)
707,192
(6,105,191
)
Change in net unrealized appreciation (depreciation)
1,624,484
2,789,791
Net Income (loss)
$
2,533,136
$
(2,923,290
)
The Fund’s net income increased for the three months ended March 31, 2025 as compared to the three months ended March 31, 2024, primarily due to an increase in the value of the futures prices during the three months ended March 31, 2025.
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ProShares VIX Short-Term Futures ETF
Fund Performance
The following table provides summary performance information for the Fund for the three months ended March 31, 2025 and 2024:
Three Months Ended
March 31, 2025
Three Months Ended
March 31, 2024
NAV beginning of period
$
133,641,615
$
157,321,746
NAV end of period
$
162,998,741
$
162,936,051
Percentage change in NAV
22.0
%
3.6
%
Shares outstanding beginning of period
2,966,252
2,537,737
Shares outstanding end of period
3,241,252
3,150,237
Percentage change in shares outstanding
9.3
%
24.1
%
Shares created
4,725,000
950,000
Shares redeemed
4,450,000
337,500
Per share NAV beginning of period
$
45.05
$
61.99
Per share NAV end of period
$
50.29
$
51.72
Percentage change in per share NAV
11.6
%
(16.6
)%
Percentage change in benchmark
12.4
%
(16.2
)%
Benchmark annualized volatility
69.4
%
39.6
%
During the three months ended March 31, 2025, the increase in the Fund’s NAV resulted primarily from the cumulative effect of the Fund seeking daily investment results, before fees and expenses, that correspond to the daily performance of the S&P 500 VIX Short-Term Futures Index. The increase in the Fund’s NAV also resulted in part from an increase from 2,966,252 outstanding Shares at December 31, 2024 to 3,241,252 outstanding Shares at March 31, 2025. By comparison, during the three months ended March 31, 2024, the increase in the Fund’s NAV resulted primarily from an increase from 2,537,737 outstanding Shares at December 31, 2023 to 3,150,237 outstanding Shares at March 31, 2024. The increase in the Fund’s NAV was offset by the cumulative effect of the Fund seeking daily investment results, before fees and expenses, that correspond to the daily performance of the S&P 500 VIX Short-Term Futures Index.
For the three months ended March 31, 2025 and 2024, the Fund’s daily performance had a statistical correlation over 0.99 to the daily performance of its benchmark. The Fund’s per Share NAV increase of 11.6% for the three months ended March 31, 2025, as compared to the Fund’s per Share NAV decrease of 16.6% for the three months ended March 31, 2024, was primarily due to an appreciation in the value of the assets held by the Fund during the three months ended March 31, 2025.
The benchmark’s rise of 12.4% for the three months ended March 31, 2025, as compared to the benchmark’s decline of 16.2% for the three months ended March 31, 2024, can be attributed to an increase in the value of the near-term futures contracts on the VIX futures curve during the period ended March 31, 2025.
Net Income/Loss
The following table provides summary income information for the Fund for the three months ended March 31, 2025 and 2024:
Three Months Ended
March 31, 2025
Three Months Ended
March 31, 2024
Net investment income (loss)
$
958,678
$
1,348,356
Management fee
366,495
336,376
Brokerage commission
170,727
40,259
Futures account fees
66,398
33,271
Net realized gain (loss)
32,209,263
(31,754,134
)
Change in net unrealized appreciation (depreciation)
6,981,481
2,969,180
Net Income (loss)
$
40,149,422
$
(27,436,598
)
The Fund’s net income increased for the three months ended March 31, 2025 as compared to the three months ended March 31, 2024, primarily due an increase in the value of the futures prices during the three months ended March 31, 2025.
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Text extracted from the filing as submitted to EDGAR. Formatting, tables and exhibits are simplified for reading; the original document is authoritative for anything you rely on.