Lawsuits filed against ProShares short ETFs

Gilman and Pastor filed a class action lawsuit on September 2 on behalf of investors with shares in the UltraShort MSCI Emerging Markets ProShares fund. The legal firm says the fund is designed to deliver twice the inverse performance of the MSCI Emerging Markets index, which fell by around 52% from January 2 2008, through to December 17 last year. However, Gilman and Pastor highlights that although the fund should have increased by 104% during this period, it fell by around 30%. The complaint states that ProShares violates the Securities Act by not disclosing this risk among others, ...