REX Shares, in collaboration with Tuttle Capital Management, has rolled out a pair of leveraged exchange-traded funds aimed at capitalizing on the surging demand for space launches and data center infrastructure. The T-REX 2X Long ASTS Daily Target ETF (Cboe: ASUP) and the T-REX 2X Long LITE Daily Target ETF (Cboe: LITE) are designed to deliver 200% of the daily performance of their underlying stocks: AST SpaceMobile (ASTS) and Lumentum Holdings (LITE), respectively.
The launch comes amid a broader boom in leveraged fund adoption. According to a report by Direxion, conducted with Vanra Research and Compound Insights, retail investor volumes in leveraged funds have grown at an annual rate of 29% since 2020, outpacing the growth of options and stock trading. By mid-2025, the U.S. market hosted 452 leveraged funds spanning equities, commodities, crypto, and foreign exchange.
Single-stock leveraged ETFs gained particular attention during last year's Liberation Day tariff shock, when a 35-day stretch saw investors piling into long leveraged funds amid a broad market selloff. The new REX products are the latest in a wave of such instruments targeting high-conviction themes.
AST SpaceMobile, headquartered in Midland, Texas, has emerged as a standout in the space sector. The company, which focuses on space-based mobile broadband, has secured partnerships with major telecom players including AT&T (T), Verizon Communications (VZ), Vodafone (VOD), and Rakuten. Its stock has attracted significant retail and institutional interest, partly fueled by the broader space investment narrative. For context, SpaceX shares surged 57% above their IPO price earlier this year, underscoring the appetite for space-related equities.
Lumentum Holdings, which recently joined the Nasdaq-100 index, specializes in optical chips, components, and infrastructure critical for AI and cloud computing. The company's products are integral to data center buildouts, a sector experiencing explosive growth as AI workloads expand. The ETF's ticker, LITE, reflects Lumentum's legacy ticker symbol.
“Traders want precision tools to act on the themes shaping today's market,” said Scott Acheychek, COO of REX, in a statement. “ASUP and LITU give them 2x daily exposure to two companies sitting at the center of two of the most-watched buildouts in tech: space-based connectivity and the optical infrastructure behind AI.”
The launch follows a flurry of activity in the leveraged ETF space, including leveraged ETFs tied to SpaceX's record $75 billion IPO. However, some industry observers caution that single-stock leveraged ETFs carry heightened risks due to daily rebalancing and compounding effects, making them unsuitable for long-term buy-and-hold strategies. Financial advisors are urged to weigh these factors when considering client portfolios.
As of mid-2025, the U.S. leveraged ETF market continues to expand, with issuers racing to offer products that capture niche themes. The REX offerings join a crowded field, but their focus on two high-profile companies in space and AI infrastructure may resonate with traders seeking targeted exposure.
