The Fund is an actively-managed exchange-traded fund (ETF) that seeks to achieve its investment objective by investing its assets in futures contracts based on the Chicago Board Options Exchange, Incorporated (CBOE) Volatility Index (the VIX) (VIX Futures Contracts), that comprise the Index and other Financial Instruments (as defined below). The Fund will invest in VIX Futures Contracts via a wholly-owned subsidiary of the Fund organized under the laws of the Cayman Islands (the Subsidiary). Under normal market conditions, the Subsidiarys portfolio will comprise short positions on fourth-, fifth-, sixth- and seventh-month VIX Futures Contracts that comprise the Index. The number and type of these contracts will naturally change day-to-day as the Fund takes a daily rolling short position in such contracts. In order to achieve investment results that correspond to the daily performance of the Index, the Fund will rebalance its portfolio on a daily basis. The rebalancing of the portfolio will not be affected by the performance of the Fund or the Index for any prior period. Financial Instruments are instruments whose value is derived from the value of an underlying asset, rate or benchmark and include futures contracts, options transactions, swap agreements and forward contracts. Volatility Shares LLC (the Adviser or Volatility Shares) serves as investment adviser to the Fund. The Funds investment sub-adviser is Penserra Capital Management LLC (the Sub-Adviser or Penserra). In seeking to achieve the Funds investment objective, the Sub-Adviser invests in a manner that is designed to correspond to the daily performance of the Index.