LongPoint Seeks to List LFG ETFs - On Coinbase and MicroStrategy
May 23, 2025 10:00 AM EDT | Source: LongPoint Asset Management Inc.
- COIU and MSTU will be Canada's first double leveraged ETFs linked to these U.S. stocks
- Universal Digital and LongPoint sign a partnership agreement to establish ETFs in Canada
Toronto, Ontario--(Newsfile Corp. - May 23, 2025) - LongPoint Asset Management Inc. ("LongPoint") and Universal Digital Inc. (CSE: LFG) (FSE: 8R20) ("Universal Digital") announce that they have filed the preliminary prospectus for the listing of two double leveraged single stock ETFs (the "LFG ETFs"), LFG Daily (2X) COIN Long ETF ("COIU") designed to provide twice the daily performance of Coinbase Global Inc. (NASDAQ: COIN), and LFG Daily (2X) MSTR Long ETF ("MSTU") designed to provide twice the daily performance of MicroStrategy Inc. (NASDAQ: MSTR). The LFG ETFs have applied for conditional listing approval on the Toronto Stock Exchange (the "TSX").
"LongPoint is thrilled to be working with Universal Digital to develop the LFG ETFs, and we see this announcement as the first step in an exciting partnership based on each company's expertise in their respective fields. Combining LongPoint's ETF expertise with Universal Digital's expertise with blockchain and crypto will result in ETFs that add value for active Canadian investors," said Steve Hawkins, CEO of LongPoint. "We continue to see benefits from our flexible platform, allowing our partners like Universal Digital to focus on their own areas of expertise while we manage and administer the ongoing operations of the ETFs."
"LongPoint recognizes the pent-up demand of active Canadian investors for Canadian-listed daily reset double leveraged ETFs based on individual stocks. Canadians are actively using similar U.S. listed versions of these ETFs as their only trading option, and now with Universal Digital, we are pleased to potentially offer similar Canadian listed ETFs that will trade in Canadian dollars," said Steve Hawkins, CEO of LongPoint.
"We are proud to partner with LongPoint, an innovative ETF manager with a strong compliance and operational foundation," said Tim Chan, Chief Executive Officer of Universal Digital. "These ETFs offer Canadian investors unique access to amplified exposure to some of the most influential companies in the digital asset space and reflect our broader strategy to provide efficient investment vehicles that bridge traditional finance with Web3 innovation."
The LFG ETFs seek daily investment results that endeavour to correspond, before fees and expenses, to two times (2X) the daily return (on a percentage basis) of the respective common stock. The LFG ETFs will not hedge their exposure to the U.S. dollar and will only trade in Canadian Dollars.
The preliminary prospectus dated May 20, 2025, containing important information relating to the LFG ETFs has been filed with the securities commissions or similar authorities in each of the provinces and territories of Canada. A copy of the preliminary prospectus is available on www.sedarplus.ca. You cannot buy shares of the LFG ETFs until the relevant securities commissions or similar authorities issue receipts for the final prospectus of the LFG ETFs and they begin trading on the TSX.
LongPoint is the newest Canadian provider of leveraged and inverse leveraged ETFs, committed to delivering innovative investment solutions tailored for active and sophisticated investors. In December 2024, LongPoint launched ETFs offering up to 2x leveraged and inverse exposure to crude oil and natural gas. Today, the firm made history by listing Canada's first triple-leveraged index ETFs on the TSX. Looking ahead, LongPoint plans to further expand its product lineup with the launch of Canada's first double-leveraged single stock ETFs, subject to regulatory approval by Canadian securities authorities. LongPoint also offers its unique Partnership ETF platform, which simplifies the launch, operation and growth of ETFs for its partners. LongPoint is a Canadian owned and operated company.
About LongPoint Asset Management Inc.
LongPoint Asset Management Inc. delivers innovative ETF solutions designed to enhance your Canadian investing journey. With over 70 years of combined expertise in the ETF market, our dedicated team leverages deep industry connections and local insights to design, build and launch exceptional ETFs tailored for Canadian investors. Discover the value of investing with LongPoint!
About Universal Digital Inc.
Universal Digital Inc. is a Canadian investment company focused on digital assets, businesses and private and publicly listed entities that are involved in high-growth industries, with a particular focus on blockchain, cryptocurrencies and cryptocurrency technologies. Universal Digital aims to provide shareholders with long-term capital growth through a diversified investment approach, and to participate in the transformation of global finance through the integration of digital asset strategies.
For more information, please contact:
LongPoint ETFs
416-861-8383
info@LongPointETFs.com
www.LongPointETFs.com
For media inquiries, please contact
Steve Hawkins, (416) 224-9132, Steve@LongPointETFs.com.
The LFG ETFs are alternative mutual funds, and as such, the LFG ETFs are permitted to invest in asset classes or use investment strategies that are not permitted for other types of mutual funds. The LFG ETFs are highly speculative. The LFG ETFs use a significant amount of leverage which magnifies gains and losses. They are intended for use in daily or short-term trading strategies by very knowledgeable, sophisticated investors. If you hold such an ETF for more than one day, your return could vary considerably from the ETF's daily target return. The negative effect of compounding on returns is more pronounced when combined with leverage and daily rebalancing in volatile markets. The LFG ETFs are not suitable for investors who do not intend to actively monitor and manage their investments.
The LFG ETFs employ significant leverage, may experience amplified losses and should not be expected to return +200 of their daily targets over any period of time other than daily. An investor in an ETF could lose their entire investment within a single day if the market value of the respective common stock declines by 50% or more that day. The returns of the LFG ETFs over periods longer than one day will likely differ in amount and possibly direction from the return of their daily target for the same period. This effect is more pronounced for the LFG ETFs as the volatility of the daily target and/or the period of time increases.
This material is for informational purposes only. This material is not intended to be relied upon as research, investment, or tax advice and is not an implied or express recommendation, offer or solicitation to buy or sell any security or to adopt any particular investment or portfolio strategy. Any views and opinions expressed do not take into account the particular investment objectives, needs, restrictions and circumstances of a specific investor and, thus, should not be used as the basis of any specific investment recommendation. Investors should consult a financial and/or tax advisor for financial and/or tax information applicable to their specific situation.
Commissions, management fees, performance fees and operating expenses may all be associated with an investment in the LFG ETFs. The ETF are not guaranteed, their values change frequently and past performance may not be repeated. The ETF Facts and prospectus contain important detailed information about the LFG ETFs. Please read the relevant documents before investing.
Certain statements may constitute a forward-looking statement, including those identified by the expression "expect" and similar expressions (including grammatical variations thereof). The forward-looking statements are not historical facts but reflect LongPoint's current expectations regarding future results or events. These forward-looking statements are subject to a number of risks and uncertainties that could cause actual results or events to differ materially from current expectations. These and other factors should be considered carefully and readers should not place undue reliance on such forward-looking statements. These forward-looking statements are made as of the date hereof and LongPoint does not undertake to update any forward-looking statement that is contained herein, whether as a result of new information, future events or otherwise, unless required by applicable law.
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