PR Newswire | Aug 6, 2020 04:00PM EDT

Adler Freeman & Herz LLP reminds investors that a securities class action lawsuit has been filed in the United States District Court for the Southern District of New York on behalf of the purchasers of the securities of the ProShares Ultra Bloomberg Crude Oil ETF

08/06 15:00 CDT

PROSHARES ULTRA BLOOMBERG CRUDE OIL ETF CLASS ACTION ALERT: Wolf Haldenstein Adler Freeman & Herz LLP reminds investors that a securities class action lawsuit has been filed in the United States District Court for the Southern District of New York on behalf of the purchasers of the securities of the ProShares Ultra Bloomberg Crude Oil ETFLEAD PLAINTIFF DEADLINE IS SEPTEMBER 28, 2020 NEW YORK, Aug. 6, 2020

NEW YORK, Aug. 6, 2020 /PRNewswire/ -- Wolf Haldenstein Adler Freeman & Herz LLP announces the filing of a federal securities class action lawsuit in the United States District Court for the Southern District of New York on behalf of purchasers of the shares of the ProShares Ultra Bloomberg Crude Oil exchange traded fund ("ETF") (NYSEArca: UCO) ("UCO") between March 6, 2020 and April 27, 2020, inclusive (the "Class Period").

All investors who purchased shares of the ProShares Ultra Bloomberg Crude Oil exchange ETFand incurred losses are urgedto contact the firm immediately at classmember@whafh.com or (800) 575-0735 or (212) 545-4774. You may obtain additional information concerning the action or join the case on our website, www.whafh.com.

If you have incurred losses in the shares of the ProShares Ultra Bloomberg Crude Oil ETF, youmay,no later than September 28, 2020,request that the Court appoint you lead plaintiff of the proposed class. Please contact Wolf Haldenstein to learn more about your rights as an investor in the shares of the ProShares Ultra Bloomberg Crude Oil ETF.

CLICK HERE TO JOIN THE CASE

UCO is an exchange traded fund ("ETF") purportedly designed to reflect the performance of crude oil as measured by the price of West Texas Intermediate ("WTI") sweet, light crude oil futures contracts traded on the New York Mercantile Exchange. ETFs like UCO provide one of the primary means investors can gain exposure to fluctuations in oil prices. WTI is the main oil benchmark for North America, as it is sourced from the United States, primarily from the Permian Basin. The main delivery and price settlement point for WTI is Cushing, Oklahoma.

According to the filed complaint defendants throughout the Class Period made false and/or misleading statements and/or failed to disclose that:

* extraordinary market volatility caused by decreased demand for oil from the corona virus pandemic and increased oil supply and diminished oil prices caused by theRussia/Saudi oil price war; * a massive influx of investor capital into the Fund, totaling hundreds of millions of dollars, in a matter of days, which increased Fund inefficiencies, heightened illiquidity in the WTI futures contract markets in which the Fund invested, and caused the Fund to approach positional and regulatory limits (adverse trends exacerbated by the Offering itself); * a sharp divergence between spot and future prices in the WTI oil markets, leading to a super contango market dynamic as oil storage space in Cushing, Oklahoma dwindled and was insufficient to account for the excess supply expected to be delivered pursuant to the WTI May 2020 futures contract.

As a result, UCO could not continue to pursue the passive investment strategy represented in the Registration Statement, causing its results to significantly deviate from its purported benchmark.

Wolf Haldenstein has extensive experience in the prosecution of securities class actions and derivative litigation in state and federal trial and appellate courts across the country. The firm has attorneys in various practice areas; and offices in New York, Chicago and San Diego. The reputation and expertise of this firm in shareholder and other class litigation has been repeatedly recognized by the courts, which have appointed it to major positions in complex securities multi-district and consolidated litigation.

If you wish to discuss this action or have any questions regarding your rights and interests in this case, please immediately contact Wolf Haldenstein by telephone at (800) 575-0735, via e-mail at classmember@whafh.com, or visit our website at www.whafh.com.

Contact:

Wolf Haldenstein Adler Freeman & Herz LLP Kevin Cooper, Esq.Gregory Stone, Director of Case and Financial AnalysisEmail: gstone@whafh.com, kcooper@whafh.com or classmember@whafh.comTel: (800) 575-0735 or (212) 545-4774

This press release may be considered Attorney Advertising in some jurisdictions under the applicable law and ethical rules.

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SOURCE Wolf Haldenstein Adler Freeman & Herz LLP