Direxion tweaks investment strategies, objective, names of three funds

By Toni Weeks

San Diego, Dec. 2 - The board of trustees of the Direxion Funds has approved changes to the names, investment strategies and investment objectives of three funds, effective Feb. 1, according to a 497 filing with the Securities and Exchange Commission.

The Commodity Trends Strategy Fund will change its benchmark to the Auspice Broad Commodity index from the AFT Commodity Trends Indicator. The fund will also change its name to the Direxion Commodity Indexed Strategy Fund, and its investment objective will be to seek investment results, before fees and expenses, that track the performance of the Auspice index.

The Currency Trends Strategy Fund will change its benchmark to the Alpha Financial FX Trends index from the Alpha Financial Technologies Financial Trends Indicator and change its name to the Direxion Currency Trends Strategy Plus Fund. It will also change its investment objective, which currently is to seek investment results comparable to the performance of the Alpha Financial FX Trends index, so that it will seek investment results, before fees and expenses of 150% of the calendar month performance of the index while implementing a strategic overlay to maintain the fund's exposure to the index between 145% and 155%.

The Direxion Long/Short Global IPO Fund will change the index from which it selects securities for the "long component" portion of its strategy to the FTSE Renaissance Global IPO Index from the IPOX Global Sequential Portfolio.

The board of trustees has also approved the conversion of the investor class shares of the Commodity Trends Strategy Fund, the Currency Trends Strategy Fund, the Direxion/Wilshire Dynamic Fund and the Direxion Long/Short Global IPO to class A shares, effective Feb. 1. Prior to this conversion, investor class shareholders may redeem their investments.

The sales charge for class A shares is 5.50%, but sales charges will not apply to the conversion of investor class shares into class A shares.

The funds are managed by New York-based Rafferty Asset Management, LLC.

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