ProShares Announces ETF Share Splits
MWN-AI** Summary
ProShares, a leading provider of Exchange-Traded Funds (ETFs), has announced reverse share splits for two of its funds: the ProShares Ultra CRCL (ticker: CRCA) and ProShares UltraShort Silver (ticker: ZSL). Set to take effect before the market opens on February 26, 2026, both ETFs will undergo a reverse split at a ratio of 1:10. This means that for every ten shares currently held, shareholders will receive one share post-split, with the new shares priced tenfold higher than their previous net asset value (NAV).
The decision to implement these reverse splits is intended to increase the share price of each fund while proportionately decreasing the number of shares outstanding. For instance, a hypothetical example illustrates that owning 1,000 shares at an NAV of $10.00, valued at $10,000 pre-split, would convert into 100 shares priced at $100.00 post-split, maintaining the total investment value.
Investors need to be aware that those holding share quantities not perfectly divisible by ten will receive fractional shares post-split. These fractions will be redeemed for cash, potentially resulting in taxable gains or losses.
ProShares has been a significant player in the ETF market since 2006 and manages assets exceeding $95 billion across a diverse lineup of ETFs, including leveraged and inverse strategies. With continued innovation in investment products, ProShares aims to equip investors with strategies to manage risk and optimize returns.
For further inquiries, investors can contact ProShares directly or refer to their official website for more detailed information regarding investment strategies, risks, and product offerings.
MWN-AI** Analysis
ProShares recently announced reverse share splits for two of its ETFs, Ultra CRCL (CRCA) and UltraShort Silver (ZSL), set to take effect on February 26, 2026. This strategic move will adjust the share price while keeping the overall value of a shareholder’s investment stable. For investors, this development merits careful consideration.
Reverse splits, particularly in the ratio of 1:10, typically aim to enhance the trading price of an ETF, making it more appealing to potential investors, particularly institutional ones who may have minimum price requirements for trading. While a higher share price can improve perception, it doesn’t inherently enhance the underlying value or performance of the funds.
For existing shareholders, the immediate impact will be on their holdings—each share will decrease in number while increasing in value proportionately. However, fractional shares resulting from this split could lead to taxable events, as these are typically cashed out, potentially triggering capital gains or losses. Investors should be cognizant of their positions and tax implications as this split approaches.
For those considering investment, ProShares’ innovative and diverse ETF lineup—including geared strategies—maintains relevance in dynamic market conditions. However, the volatility associated with leveraged ETFs should not be underestimated. They require active monitoring and a sound understanding of the associated risks. As market conditions fluctuate, especially in commodity sectors, investors should assess their risk tolerance meticulously before investing.
In summary, while ProShares' reverse split can signal strategic positioning for growth and market perception, prudence is essential. Investors must weigh both the operational impacts of the split and the broader market trends in their investment strategies. Consulting with financial advisors for tailored advice is advisable, especially for those invested in leveraged or niche funds.
**MWN-AI Summary and Analysis is based on asking OpenAI to summarize and analyze this news release.
ProShares, a premier provider of ETFs, announced today reverse share splits on two of its ETFs. These splits will not change the total value of a shareholder’s investment.
ProShares will implement reverse splits for two of its ETFs at the following split ratio:
Ticker | ProShares ETF | Split Ratio | Old CUSIP | New CUSIP |
CRCA | ProShares Ultra CRCL | 1:10 | 74349Y431 | 74350P543 |
ZSL | ProShares UltraShort Silver | 1:10 | 74347Y722 | 74347Y672 |
The reverse splits will be effective prior to market open on February 26, 2026, when the funds will begin trading at their post-split prices. The ticker symbols for the funds will not change. All funds undergoing a reverse split will be issued new CUSIP numbers, listed above.
The reverse splits will increase the price per share of each fund, with a proportionate decrease in the number of shares outstanding. For example, for a one-for-ten reverse split, every ten pre-split shares will result in the receipt of one post-split share, which will be priced ten times higher than the NAV of a pre-split share.
Illustration of a Reverse Split
The following table shows the effect of a hypothetical one-for-ten reverse split.
Period | # of Shares | Hypothetical | Value of |
Pre-Split | 1,000 | $10.00 | $10,000.00 |
Post-Split | 100 | $100.00 | $10,000.00 |
Fractional Shares from Reverse Splits
For shareholders who hold quantities of shares that are not an exact multiple of the reverse split ratio (for example, not a multiple of ten for a one-for-ten reverse split), the reverse split will result in the creation of fractional shares. Post-reverse split fractional shares will be redeemed for cash and sent to your broker of record. This redemption may cause some shareholders to realize gains or losses, which could be a taxable event for those shareholders.
About ProShares
ProShares has been at the forefront of the ETF revolution since 2006, offering one of the industry's largest ETF lineups. Together with its mutual fund affiliate, ProFunds, the firm manages more than $95 billion in assets. 1 The company is a leader in strategies such as dividend growth, high income, interest rate hedged bond, crypto and geared (leveraged and inverse) ETF investing. ProShares continues to innovate with products that provide strategic and tactical opportunities for investors to manage risk and enhance returns.
To learn more about the company and career opportunities, visit us on LinkedIn or at ProShares.com .
1 As of 12/31/25
Some ProShares ETFs seek daily investment results that correspond, before fees and expenses, to a multiple (e.g., 2x or -2x) of the daily performance of its underlying benchmark (the “Daily Target”). While the Funds have a daily investment objective, you may hold a Fund’s shares for longer than one day if you believe it is consistent with your goals and risk tolerance. For any holding period other than a day, your return may be higher or lower than the Daily Target. These differences may be significant. Smaller index gains/losses and higher index volatility contribute to returns worse than the Daily Target. Larger index gains/losses and lower index volatility contribute to returns better than the Daily Target. The more extreme these factors are, the more they occur together, and the longer your holding period while these factors apply, the more your return will tend to deviate. Investors should consider periodically monitoring their geared fund investments in light of their goals and risk tolerance.
Investing involves risk, including the possible loss of principal. ProShares ETFs are generally non-diversified, and each entails certain risks, which may include risk associated with the use of derivatives (swap agreements, futures contracts and similar instruments), imperfect benchmark correlation, leverage and market price variance, all of which can increase volatility and decrease performance. Short positions lose value as security prices increase. Narrowly focused investments typically exhibit higher volatility. Investments in smaller companies typically exhibit higher volatility. Smaller company stocks also may trade at greater spreads or lower trading volumes, and may be less liquid than stocks of larger companies. Please see prospectuses for a more complete description of risks. There is no guarantee any ProShares ETF will achieve its investment objective.
Carefully consider the investment objectives, risks, charges and expenses of ProShares before investing. This and other information can be found in their summary and full prospectuses . Read them carefully before investing. Separate ProShares Trust II prospectuses are available for Volatility, Commodity, and Currency ProShares.
ProShares are distributed by SEI Investments Distribution Co., which is not affiliated with the funds’ advisor or sponsor.
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MEDIA CONTACT
Tucker Hewes
212-207-9451
tucker@hewescomm.com
INVESTOR CONTACT
ProShares
866-776-5125
FAQ**
How will the reverse share split for ProShares UltraShort Silver ZSL at a ratio of 1:affect the liquidity and trading volume of the ETF post-split?
What implications does the reverse split for ProShares UltraShort Silver ZSL have on the tax liabilities for shareholders who may receive fractional shares?
Considering the risk factors mentioned, how does ProShares UltraShort Silver ZSL manage volatility when engaging in leveraged and inverse ETF strategies?
What strategies does ProShares have in place to communicate the effects of the reverse share split for ProShares UltraShort Silver ZSL to current investors effectively?
**MWN-AI FAQ is based on asking OpenAI questions about Conn Rvr Cmnty Bk Ct (OTC: CRCA).
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