MicroSectors MANGOS+ ETN: A Comprehensive Guide
EXCHANGE TRADED NOTES
The MicroSectors™ MANGOS+ exchange traded note provides 3x long exposure to the daily performance of the NYSE MaNGoS+ Index, a rules based, equal weighted benchmark of 10 U.S. listed companies at the center of the artificial intelligence economy. A daily-resetting trading tool built for sophisticated investors.
The MANGOS+ ETN
A single daily-resetting tool for magnified long exposure. MNGU seeks a daily return of 3x the daily performance of the NYSE MaNGoS+ Index, before fees and expenses, resetting each trading day.
The underlying index
MNGU references the NYSE MaNGoS+ Index, a rules based, equal weighted benchmark of 10 U.S. listed companies at the center of the artificial intelligence economy.
What is the structure of the MANGOS+ ETN?
MNGU is designed as a short-term trading tool, not a buy-and-hold investment. Leverage resets daily, so returns over any period longer than one day will differ from three times the return of the NYSE MaNGoS+ Index, and losses compound the same way gains do. A flat or choppy market can produce losses due to the daily reset. The effect increases with index volatility and with the length of the holding period. Investors can lose their entire investment. The ETNs are unsecured debt obligations of Bank of Montreal and do not hold underlying assets, so repayment depends on the creditworthiness of the issuer.
The Index is concentrated. It holds 10 constituents, equally weighted at 10% each on reconstitution, and is reconstituted quarterly. A concentrated basket of this size can be more volatile than a broadly diversified index, and the performance of any single constituent has a material effect on the level of the Index. That concentration is amplified by the 3x leverage factor the notes apply.
How the index is built
The Index is rules based. Six named AI anchors seed the search, disclosed supply chain relationships expand it, and quantitative floors and a continuous AI relatedness score narrow it to 10 names.
Step 01
Universe
Common stocks, ADRs and GDRs listed on the New York Stock Exchange, Nasdaq, NYSE American, NYSE Arca or Cboe BZX. Publicly traded partnerships, limited partnerships, master limited partnerships and REITs are not eligible. Where a company has multiple qualifying share classes, only the most liquid line is considered.
Step 02
Eligibility floors
As of the reference date a security must carry a float adjusted market capitalization of $5 billion or more, a six month average daily traded value of $100 million or more, a free float of 5% or more, a positive trailing twelve month price to sales ratio, and at least 60 calendar days of active trading, 14 calendar days for a qualifying ADR whose home market line has traded for at least 365 calendar days, or 5 index business days for a MaNGoS security.
Step 03
The six anchors
The six named anchors are Meta Platforms Class A (META), Anthropic PBC, NVIDIA (NVDA), Alphabet Class A (GOOGL), OpenAI Group PBC and Space Exploration Technologies Class A (SPCX). Every anchor that meets the qualification requirements is selected for the Index. Anthropic PBC and OpenAI Group PBC are private as of the Index launch date and are therefore ineligible; they seed the supply chain search but can only be included following their listing date if they satisfy the applicable Index eligibility requirement. The lower case letters in MaNGoS denote these two private anchors.
Step 04
Supply chain map
The non-anchor universe is compiled by identifying the disclosed customers and suppliers of the MaNGoS companies, regardless of whether the anchor itself qualifies for the Index. That means the Index can track companies with supply chain relationships to anchors that are not themselves eligible. All supply chain data is sourced from the FactSet Supply Chain Relationships database.
Step 05
AI relatedness score
Each non-anchor candidate receives an AI Related Score from 0 to 1, built from its aggregate revenue exposure to Core AI and Enabler AI industries under the FactSet RBICS Level 6 classification. The score equals Core AI revenue exposure plus two thirds of Enabler AI revenue exposure, weighting Core AI 1.5 times Enabler AI. Candidates in a Telecommunications or Real Estate RBICS Focus Level 2 industry are set to 0. A score of 0.20 or greater is required for eligibility.
Step 06
Selection and weighting
Qualifying anchors are selected first. Current constituents whose combined rank falls inside the top 10 qualifying non-anchor securities are retained next. The highest ranked remaining names then fill the Index to a target count of 10. If too few names qualify, the 0.20 AI Related Score threshold is reduced in 0.01 increments until the target count is met. Every constituent is set to a 10% weight at each quarterly reconstitution and converted to index shares on the share reference date.
Fast entry
Newly listed anchors
A newly listed MaNGoS security can enter between reconstitutions. It is assessed on the ninth business day following listing, announced on the tenth and added after the close on the eleventh, provided it meets the security type, listing, market capitalization, liquidity, free float and price to sales requirements. It replaces the non-anchor constituent with the lowest combined rank, at that constituent’s weight.
The ranking factors
Eligible non anchor candidates are ranked on four factors. A combined rank is derived from the weighted average rank across all four, with ties going to the larger market capitalization.
Source: ICE Data Indices, NYSE MaNGoS+ Index methodology. Bar lengths represent factor weights in the combined rank calculation.
Index facts
| Item | Detail |
|---|---|
| Full name | NYSE MaNGoS+ Index |
| Index provider | ICE Data Indices, LLC |
| Price return ticker | MANGOS (USD) |
| Gross total return ticker | MANGOST (USD) |
| Net total return ticker | MANGOSN (USD) |
| Constituents | 10 |
| Weighting | Equal weight, 10% per constituent at reconstitution |
| Reconstitution | Quarterly, after the close of the third Friday of March, June, September and December |
| Reference date | Last index business day of the month preceding the reconstitution month |
| Announcement date | Second Friday of the reconstitution month |
| Share reference date | Second index business day preceding the third Friday of the reconstitution month |
| Calculation frequency | Every 1 second between 09:30 and 19:15 ET |
| Base date | March 19, 2021 |
| Base level | 100.00 |
| Inception date | March 19, 2021 (earliest date calculated, including backtested history) |
| Launch date | August 18, 2026 (first date calculated live, excluding backtested history) |
| ESG disclosures | The NYSE MaNGoS+ Index does not take ESG factors into account |
| Index website | indices.ice.com |
Benchmark for the MicroSectors™ MANGOS+ ETNs*
*Index rebalanced to equal 10% weights monthly. Components as of SOD 01/01/1970, weightings rounded for ease of analysis.
Performance
Source: Bloomberg L.P. Index data prior to August 18, 2026 is hypothetical and reflects the application of the Index methodology in hindsight. The hypothetical data cannot completely account for the impact of financial risk in actual trading. Past historical or hypothetical data is not a guarantee of future Index results. The NYSE MaNGoS+ Index has a base date of March 19, 2021 and a base level of 100.00.
The NYSE MaNGoS+ Index is a product of ICE Data Indices, LLC (“IDI”) and is calculated and administered by IDI. Trademarks of Intercontinental Exchange, Inc. (“ICE”) and its affiliates include Intercontinental Exchange, ICE, ICE block design, NYSE, ICE Data Services and New York Stock Exchange. ICE, IDI and their affiliates and their third-party data providers and licensors (collectively the “ICE Indices Parties”) do not guarantee that the Index is accurate, complete, timely or error free and it should not be relied upon as such. The Index is provided on an “as is” basis. The ICE Indices Parties disclaim any and all express or implied warranties and conditions, including, but not limited to, any warranties of merchantability or fitness for a particular purpose or any other matter, and shall not be liable to any party for any direct, indirect, incidental, exemplary, compensatory, punitive, special or consequential damages, costs, expenses, legal fees, or losses in connection with any use of the Index. The Index provides a general investment strategy, does not take into account the specific needs or financial circumstances of any person or entity, and should not be considered investment advice or a recommendation to buy or sell securities. Please see https://indices.ice.com/html/ICEDisclaimer.htm for additional disclaimers and limitations.
Index: An index is a collection of a group of assets such as stocks and bonds that’s used to track the performance of a specific sector or the broader market.
The NYSE MaNGoS+ Index is calculated and administered by ICE Data Indices, LLC. ICE Data Indices, LLC is not affiliated with REX Shares or Bank of Montreal, and references to third-party indexes are for identification of the reference asset and educational purposes only and do not constitute a recommendation to buy or sell any security.
Past performance is not indicative of future results. Index performance does not reflect fund fees and expenses. It is not possible to invest directly in an index.
Leveraged products are intended for sophisticated investors and involve significant risk, including the potential loss of the entire investment. Leverage resets daily; returns over periods longer than one day will differ from the stated multiple of the return of the reference asset. Exchange-traded notes are senior unsecured debt obligations of the issuer and are subject to the creditworthiness of the issuer. Investors should consider the investment objectives, risks, charges, and expenses of any product carefully before investing. This and other information can be found in the relevant prospectus and offering documents, available at microsectors.com.
Bank of Montreal, the issuer of the ETNs, has filed a registration statement (including a pricing supplement, product supplement, prospectus supplement and prospectus) with the SEC regarding each offering of the ETNs. Please read those documents and the other documents relating to the ETNs that Bank of Montreal has filed with the SEC for more complete information about Bank of Montreal and the ETNs. These documents may be obtained without cost by visiting EDGAR on the SEC website at [www.sec.gov](https://www.sec.gov). Alternatively, Bank of Montreal, and any agent or dealer that participated in the offering of the ETNs, will arrange to send these documents if so requested by calling toll-free at 1-877-369-5412.