Direxion launches Dollar Bull fund

Direxion Funds this week launched the Dollar Bull 2.5x Fund (DXDBX), which seeks daily investment results, before fees and expenses, of 250% of the performance of the U.S. Dollar Index. The fund is a response to a growing number of investors who believe that the U.S. dollar is regaining its momentum, Dan O’Neill, president and chief executive at Direxion of Newton, Mass., said in a statement. The fund's objective is to leverage the performance of the dollar index by using financial instruments such as foreign currency debt instruments, forward contracts, futures contracts and swap agreements. The fund may also hold U.S. government securities. In June of 2006, Direction launched a Dollar Bear 2.5x Fund (DXDDX). Direxion Funds provides leveraged index and alternative-class mutual fund products, and is distributed by Rafferty Asset Management LLC of Garden City, N.Y. The company has approximately $1.6 billion in assets under management.