MicroSectors -3x Short High Yield Corporate Bond (HYG) ETNs (HYGD)

The MicroSectors -3x Short High Yield Corporate Bond (HYG) ETNs (HYGD) are exchange-traded notes that seek to return negative three times (-3x) the daily performance of the iShares iBoxx $ High Yield Corporate Bond ETF (HYG), a fund holding U.S. dollar high-yield corporate bonds. They are designed to rise when HYG falls on a given day.

The notes are unsecured debt obligations of Bank of Montreal, so holders bear the issuer's credit risk and do not own any underlying bonds. HYGD is part of the MicroSectors lineup offered with REX Financial.

Because the inverse leverage is reset daily, returns over periods longer than one day can differ significantly from negative three times the return of HYG.