The Tradr 2X Long CLS Daily ETF seeks to provide twice the daily return of Cresco Labs’ equity performance through the use of derivatives such as total return swaps and other financial instruments, rather than holding the stock directly.

Because leverage is reset daily, performance over periods longer than one trading session can diverge materially from 2x the cumulative return of CLS due to daily compounding effects.

How the Leverage Works

Because the ETF is 2x leveraged on a daily basis:

• A +1% daily move in CLS is designed to result in an approximately +2% move in the ETF (before fees).
• A −1% daily move in CLS would generally translate into an approximately −2% move in the ETF.

Over multiple days, returns can vary significantly depending on volatility and the path of price movements, not just the net direction.

Exposure to a High-Beta, Policy-Sensitive Stock

Cresco Labs operates in the U.S. cannabis sector, an industry heavily influenced by:

• U.S. federal and state-level regulatory developments
• Cannabis rescheduling discussions
• SAFE Banking Act progress
• Earnings results and margin trends
• Capital market access and investor risk appetite

As a result, CLS often exhibits high daily volatility, which directly impacts the performance—and risk profile—of a 2x leveraged ETF tracking it.

The Tradr 2X Long CLS Daily ETF magnifies both upside and downside moves, making it particularly sensitive to:

• Earnings announcements
• Regulatory headlines
• Broad cannabis sector momentum

Who Should Consider Tradr 2X Long CLS Daily ETF?

This ETF is not designed for buy-and-hold investors. It is best suited for experienced traders who understand leveraged products and monitor positions actively.

Common Use Cases

1.Short-Term Tactical Trading:

Traders with a high-conviction, short-term bullish view on Cresco Labs—perhaps around earnings, regulatory news, or sector momentum—may use the ETF to amplify returns without using margin directly.

2. Event-Driven Positioning:

Investors anticipating near-term catalysts such as earnings surprises, legalization headlines, or sector-wide rallies may deploy the ETF for brief holding periods to express that view.

Key Risks and Strategic Considerations

Before using the Tradr 2X Long CLS Daily ETF, investors should carefully consider:

• Leverage & Compounding Risk: Returns over periods longer than one day can deviate sharply from 2x CLS performance, especially in volatile or sideways markets.
• Single-Stock Risk: Exposure is concentrated in one company, increasing idiosyncratic risk versus diversified cannabis ETFs.
• Sector Volatility: Cannabis equities are among the most volatile segments of the equity market.
• Daily Reset Risk: The ETF is intended for daily trading, not long-term investment.
• Higher Expense Ratio & Financing Costs: Leveraged ETFs generally carry higher costs than traditional equity ETFs.

Price Chart Technical Summary

Conclusion

The Tradr 2X Long CLS Daily ETF is a high-risk, high-reward tactical instrument designed to deliver twice the DAILY performance of Cresco Labs. It is best used by active traders seeking short-term exposure to a volatile, catalyst-driven cannabis stock.

While the ETF can generate outsized gains during strong bullish moves in CLS, it also carries meaningful downside risk and is unsuitable for long-term holding. Proper position sizing, disciplined risk management, and a clear understanding of leveraged ETF mechanics are essential when trading this product. 

Note 1: Past performance is not a reliable indicator of future performance.

Note 2: The reference date for all price data, currency, technical indicators, support, and resistance level is December 22, 2025. The reference data in this report has been partly sourced from REFINITIV.

Note 3: Investment decisions should be made depending on an individual's appetite for upside potential, risks, holding duration, and any previous holdings.

Note 4: ‘Kalkine reports are prepared based on the prices captured either from the New York Stock Exchange (NYSE), NASDAQ Capital Markets (NASDAQ), and or REFINITIV. Typically, all sources (NYSE, NASDAQ, or REFINITIV) may reflect stock prices with a delay which could be a lag of 15-20 minutes. There can be no assurance that future results or events will be consistent with the information provided in the report. The information is subject to change without any prior notice.