FAQs on Taxation for Volatility, Commodity and Currency ProShares ETFs


  1. I understand that Volatility, Commodity and Currency ProShares ETFs are treated as partnerships for tax purposes. Can you give specifics on how I can expect my investment to be taxed?
  2. How do Volatility, Commodity or Currency ProShares ETFs pass through capital gains or income to the investor?
  3. How does ProShares calculate my pro rata portion of a particular Volatility, Commodity or Currency ProShares ETF?
  4. If I purchased shares in a Volatility, Commodity or Currency ProShares ETF, what is my tax reporting responsibility for this investment?
  5. If I sell shares in a Volatility, Commodity or Currency ProShares ETF, what is my tax reporting responsibility for this transaction?
  6. When can I expect to receive my Schedule K-1?
  7. I didn’t receive any cash disbursements from my investment in the Fund. Why are there reportable items on my K-1 that are subject to tax?
  8. I have questions about the Schedule K-1. Where can I get help?
  9. Can I receive my K-1 information any earlier?
  10. What if the information reported in my tax package is incorrect?
  11. Is any of the allocated income Unrelated Business Taxable Income (UBTI)?
  12. Volatility, Commodity and Currency ProShares investors should refer to the applicable ProShares prospectus for important tax information. Where can I obtain a prospectus?

This material is not intended to be tax advice. For all tax matters related to investing in Volatility, Commodity and Currency ProShares ETFs, be sure to consult with a tax professional or your financial adviser. Tax consequences may vary by individual taxpayer.

Volatility, Commodity and Currency ProShares are a series of exchange traded funds that operate as commodity pools as defined in the Commodity Exchange Act. Because they do not invest in securities, Volatility, Commodity and Currency ProShares are not regulated as investment companies under the Investment Company Act of 1940 and are not afforded its protections, although their public offering is subject to SEC review.