Invest in dividend growth expectations

Why DIVY?

Targets stable returns, low volatility and low correlation

The potential benefits of investing with DIVY

Potential low volatility

S&P 500 dividends have risen in the last 42/45 years
Source: Ned Davis Research, Inc. from 1/1/1930 – 12/31/2017

Potential low correlation

Historically uncorrelated to stocks, bonds, and hedge funds

Alternative asset class

Designed to help reduce portfolio risk through potential diversification

Designed with lower fees

Lower fee than 93.5% of all US alternative mutual funds
Source: Morningstar as of 6/27/2017

DIVY potentially offers a low volatility opportunity to participate in a portion of the overall dividend growth rate of large-cap U.S. companies. While targeting capital appreciation and not income, the Fund is designed to offer powerful attributes in portfolio construction.

Target long-term capital appreciation generated by dividend growth expectations with an exchange traded fund designed to reduce portfolio risk.

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Attractive performance characteristics

Since DIVY’s inception, the S&P 500 has moved 1% or more 167 times (more than 1 out of every 4 days)³. In comparison, DIVY moved 1% or more only 18 times, showing less volatility in the face of choppy markets.

The DIVY exchange traded fund gives investors the potential for lower volatility in today’s uncertain markets. DIVY also potentially provides diversification benefits to its investors due to its limited historical correlation with the stock market.

3 Data from Dec 18, 2014 – June 30, 2018. Source: Bloomberg, Reality Shares Research. Past performance does not guarantee future results.
4 Inception date is December 18, 2014. As of June 30, 2018.
5 Volatility based on weekly returns since inception (Dec. 18, 2014 – June 30, 2018).

Performance data quoted represents past performance. Past performance is no guarantee of future results and investment return, and principal value of the Fund will fluctuate so that shares when sold may be worth more or less than their original cost. Current performance may be higher or lower than the performance quoted. Market price returns are based on the midpoint of the bid/ask spread at 4 pm ET and do not represent the returns an investor would receive if shares were traded at other times. Returns over one year are annualized. ETF shares are bought and sold at market price (not NAV) and are not individually redeemed from the Fund. Visit realityshares.com for performance data current to the most recent month end.

Gross expenses of the Trust for the prior year were 0.85% of the net asset value of the Trust and accordingly, no expenses of the Trust were assumed by the Sponsor.

Why dividend growth

The S&P 500 has grown its dividends in 42 of the last 45 years since 1973.* Investors looking to potentially take advantage of this growth and diversification option should consider a non-traditional asset class addition to the investment universe. In addition, several market developments look poised to potentially benefit dividend growth ETF investors.

  • Lower corporate taxes likely can increase company cash reserves held in the United States, and can be a significant boon to dividend growth investors should they be paid out as dividends and buybacks
  • Lower repatriation taxes could bring back significant overseas cash, potentially increasing S&P 500 dividends nearly 9%1
  • Many analysts are now forecasting expanding corporate profits, further increasing the potential for rising dividend payouts

Visit our Fund site to get more information on the DIVY ETF

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How to invest

Two easy ways to access DIVY

There are many easy ways to purchase Reality Shares’ exchange traded funds – investments that trade like stocks and are already widely available through many investment platforms.

#1. Invest online

Get started and click below to use our secure online trading platform that works seamlessly with many existing online brokerage accounts

#2. Talk to your advisor

Talk to your advisor about adding Reality Shares ETFs to your investment account


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* These are ETFs and there is no guarantee that their investment goals and strategies will be successful. The Funds are not designed to deliver substantial dividend income, and may not be appropriate for investors seeking dividend income.

About Reality Shares

At Reality Shares, we are focused on dividend growth investing. We offer DIVY, an alternative ETF actively targeting long-term capital appreciation generated by dividend growth expectations, as well as a range of ETFs that seek to pinpoint and potentially capitalize on investments in the stocks that DIVCON indicates are likely to increase their dividends and seeking to avoid those that are more likely to cut their dividends, according to our methodology. We feel our rules-based, forward-looking methodology sets us apart in the market and allows investors to potentially access the power of dividend growth investing.

Learn how to access the power of dividend growth with our brochure on DIVY.


*Standard & Poor’s and Reality Shares Research
1 Source: Bloomberg, Reality Shares Research. As of Mar. 9, 2017.
2 Correlation and annualized volatility based on weekly returns since inception (Dec. 18, 2014 – Dec. 31, 2017). Source: Bloomberg, Compustat, S&P Capital IQ, Reality Shares Research. Performance data quoted represents past performance. Past performance is no guarantee of future results and investment return, and principal value of the fund will fluctuate so that shares when sold may be worth more or less than their original cost. Current performance may be higher or lower than the performance quoted. Market price returns are based on the midpoint of the bid/ask spread at 4pm ET and do not represent the returns an investor would receive if shares were traded at other times. Returns over one year are annualized. ETF shares are bought and sold at market price (not NAV) and are not individually redeemed from the Fund. Visit realityshares.com for performance data current to the most recent month-end.


DIVY does not generate dividend income, and is not appropriate for investors seeking dividend income.

DIVY seeks to produce long-term capital appreciation. Unlike more traditional products, the Fund does not seek returns based on appreciation in the stock market price of equity securities. This means that the returns on your Fund investment are not intended to correlate to the returns of the overall stock market (for example, the value of your Fund investment may go down when overall equity markets go up, or vice versa). LEAD seeks long-term capital appreciation by tracking the performance, before fees and expenses, of the Reality Shares DIVCON Leaders Dividend Index (the “Benchmark Index”). DFND seeks long-term capital appreciation by tracking the performance, before fees and expenses, of the Reality Shares DIVCON Dividend Defender Index (the “Benchmark Index”). GARD seeks long-term capital appreciation by tracking the performance, before fees and expenses, of the Reality Shares DIVCON Dividend Guard Index (the “Benchmark Index”).


Carefully consider the investment objective, risks, charges and expenses before investing in Reality Shares ETFs. This and other important information can be found in the Fund’s prospectus, which may be obtained by calling 855-595-0240 or by clicking here. Please read the prospectus carefully before investing.

Investing involves risks, including possible loss of principal. Shares are not FDIC insured and may lose value. Past performance does not guarantee future results.

The DIVY Fund is actively managed and may fail to achieve its investment objective. There is no guarantee the Fund’s investment strategies will be successful. The Fund’s derivative investments in swaps, futures and forwards are subject to a number of risks, including correlation risk, market risk, counterparty credit risk and liquidity risk, which may negatively impact the Fund’s investment strategies and could cause the Fund to lose money. The Fund does not capture dividend payments or generate dividend income, and is not appropriate for investors seeking dividend income. The Fund uses a dividend isolation strategy whereby investment returns are based primarily on the change in expected dividend values reflected in the prices of the Fund’s portfolio holdings. Historical data relative to companies that have or have not paid dividends is no indication of how the Fund will perform, since investors are not directly investing in these companies.

For LEAD, DFND, GARD, BLCN, and BCNA, there is no guarantee or assurance the methodology used to create the respective Benchmark Indexes will result in the Funds achieving positive returns. The Funds may be more susceptible to a single adverse economic or other occurrence and may therefore be more volatile than a more diversified fund. Each Benchmark Index is constructed using a rules-based methodology based on quantitative models developed by Reality Shares. These quantitative models may be incomplete, flawed or based on inaccurate assumptions and, therefore, may lead to the selection of assets that produce inferior investment returns or provide exposure to greater risk of loss.

The investment portfolio for DFND includes securities sold short. The investment portfolio for GARD may include securities sold short. Securities sold short create special risks which may result in increased volatility of returns and counter-party risk. Investments in short sales may also incur dividend and borrowing expenses and may result in the Funds being less tax-efficient.

Principal risks for BLCN and BCNA include Authorized Participant Concentration Risk, Blockchain Technology Risk, Depositary Receipt Risk, Emerging Markets Risk, Equity Risk, ETF Trading Risk, Foreign Issuer Exposure Risk, Geographic Concentration Risk, Non-Blockchain Technology Business Line Risk, Index Performance Risk, Index Tracking Error Risk, Sector Risk, Industry Concentration Risk, Market Risk, and Non-Diversification Risk. See prospectus for full description of risks. BLCN and BCNA are new and has limited trading history.

Blockchain technology is a new and developing technology protocol developed by companies in a manner for optimizing business practices. Blockchain technology is not a product or service with an individually attributable revenue stream. Blockchain technology may never develop optimized transactional processes that lead to increased economic returns to any company in which the Fund invests. There can be no assurance that blockchain technology will affect the primary lines of business in Fund portfolio companies to have a positive impact on a company’s financial condition.

The principal value of debt securities typically decrease when interest rates rise. This risk is usually greater for longer-term debt securities. The Fund may also invest in foreign securities, which involve political, economic, and currency risks, greater volatility, and differences in accounting methods. Index reconstitution may result in high portfolio turnover which may result in higher transaction costs and may result in higher taxes when Fund shares are held in a taxable account.

The Benchmark Indices were created and are maintained through a collaboration between Reality Shares and Nasdaq, and the Funds are listed on the Nasdaq exchange.

ETF shares are not individually redeemable. Investors buy and sell shares of the Funds on a secondary market. Only market makers or ‘authorized participants’ may trade directly with the Fund, typically in blocks of 25,000 shares. Brokerage commissions will reduce returns. Market Price is based on the midpoint of the bid/ask spread at the close of the market and does not represent the returns an investor would receive if shares were traded at other times.

Reality Shares Advisors, LLC is the Investment Advisor. ALPS Distributors, Inc. is the Distributor for the Funds. ALPS Distributors, Inc. is not affiliated with Reality Shares Advisors, LLC.


Portfolio of Holdings and Fund Performance for BCNA, BLCN, LEAD, DFND, GARD, and DIVY.