MADISON, N.J., June 30, 2008 (PRIME NEWSWIRE) -- MacroMarkets LLC is pleased to announce that it will launch its second MacroShares products, MacroShares $100 Oil Up (AMEX:OUY) and MacroShares Oil Down (AMEX:DOY) tomorrow when it rings the bell at the American Stock Exchange to open trading.
UOY and DOY are designed to transfer assets between the Up and Down trusts as their NYMEX light sweet crude oil benchmark price moves. The initial benchmark oil price will be $100 and shares will be launched at $25, or one-quarter of the benchmark oil price. The securities will transfer assets on a dollar-for-dollar basis between the Up and Down trusts as the benchmark price of the NYMEX light sweet crude oil benchmark price moves.
MacroShares $100 Oil is designed to hold the assets in short-term treasuries, overnight repurchase agreements or cash, but does not purchase oil futures to track the index. Additionally, MacroShares $100 Oil provides investors with a quarterly distribution when the Trusts' income exceeds expenses. UOY and DOY are designed to be five (5) year securities. MacroShares $100 Oil is based on a reference price of $100 for the benchmarked NYMEX light sweet crude oil futures contract, and will cover a range of prices between $0 and $200, with a termination trigger occurring when the benchmarked NYMEX light sweet crude oil price closes at or above $185 for three consecutive business days.
"Our first oil product gathered more than $1.5 billion in assets filling institutional and retail investor needs for accessing the oil market," said Sam Masucci, MacroMarkets President and CEO. "We anticipate that UOY and DOY will continue to fulfill this need and we have made enhancements to the products in response to investor requests. MacroShares $100 Oil is the next offering in what we anticipate to be a long line of innovate MacroShares products."
Robert Shiller, renowned economist and MacroMarkets' co-founder, commented, "As the price and volatility levels of crude oil reach historic heights, institutions and consumers stand to benefit from new, effective means of managing energy market exposure beyond the near term. As exchange-traded securities that trade like stocks, MacroShares $100 Oil can help people to more easily manage mounting risks and investment opportunities related to this fundamentally important commodity."
For additional information, shareholders in these securities may call MacroMarkets at 888-Macros1 x 300 or 973-889-1973 x300.
Macro Securities Depositor, LLC is a Delaware limited liability company and is acting as the depositor for the MacroShares Oil Up and Down trusts. A registration statement (including prospectus) has been filed with the Securities and Exchange Commission (SEC) for the offering to which this communication relates. Before you invest, you should read the prospectus in the registration statement and other documents the issuer has filed with the SEC for more complete information about the issuer and this offering. You may get these documents for free by visiting EDGAR on the SEC website at www.sec.gov. Alternatively, Macro Securities Depositor, LLC, any underwriter or dealer participating in the offering will arrange to send you the prospectus if you request by calling toll-free (888) Macros1 extension 300 or 973-889-1973. You may also request a copy of the prospectus by accessing the MacroShares website at www.MacroShares.com.
MacroMarkets LLC is the Administrative Agent and its subsidiary, Macro Financial, LLC, is the marketing agent for the MacroShares Trusts. Macro Financial is registered with the SEC as a broker-dealer and is a member of the Financial Industry Regulatory Authority.
Important Risks
This Information does not represent an offer to sell securities of the MacroShares Trusts and it is not soliciting an offer to buy securities of these Trusts. There can be no assurance that the Trusts will achieve their investment objectives. An investment in a MacroShare Trust involves significant risks, including the risk of loss of all or substantially all of your investment. There is no guarantee as to the amount of any quarterly distribution or the amount of the final distribution to shareholders. You should review the risk factors in the prospectus prior to investing MacroShares $100 Oil.
MacroShares are continuously offered through Authorized Participants and can be bought or sold on the American Stock Exchange. There is no guarantee that a market for MacroShares $100 Oil will continue.
Fluctuations in the underlying value of a Trust and other factors may affect the market price of your MacroShares investment. An investment in a MacroShares $100 Trust will not resemble a direct investment in the asset being tracked. The price of the asset being tracked by the Trusts may be volatile. It may be difficult to predict whether in the long-term the price of the asset being tracked will reflect a generally upward or downward trend. There are risks associated with investing in a product linked to a benchmark. A substitute price may be used as the reference price of the benchmark asset.
MacroMarkets LLC and their respective affiliates do not provide tax advice. Investors are urged to consult their tax advisor to fully understand the tax implications associated with and investment in any MacroShares $100 Oil trust. Investors are hereby notified that: (A) any discussion of federal tax issues in this press release is not intended or written to be relied upon, and cannot be relied upon by investors for the purpose of avoiding penalties that may be imposed on investors under the Internal Revenue Code; (B) such discussion is being used in connection with the promotion or marketing by Macro Securities Depositor, LLC and the Trusts of the transactions or matters addressed herein; and (C) investors should seek advice based on their particular circumstances from an independent tax advisor.
Additional Information about MacroShares $100 Oil can be found at www.MacroShares.com.