Rydex S&P SmallCap 600 Pure Growth ETF (the Fund) seeks to replicate as closely as possible the performance of the S&P SmallCap 600/Citigroup Pure Growth Index (the Index). The Index is narrow in focus, containing only those S&P SmallCap 600 companies with strong growth characteristics as selected by Standard & Poor’s. The Fund uses a passive management strategy, known as replication, to track the performance of the Index. Replication refers to investing in substantially all of the securities in the Index in approximately the same proportions as in the Index. The Fund is advised by PADCO Advisors II, Inc., which operates under the name Rydex Investments.