ProShares Launches Two Leveraged U.S. Treasury ETFs

ProFunds Group, the world's largest manager of leveraged and inverse funds,1 announced today that it is launching two ETFs designed to provide magnified exposure to the U.S. Treasury market. The ProShares Ultra 20+ Year Treasury (UBT) seeks investment results that correspond to twice (200%) the performance of the Barclays Capital 20+ Year U.S. Treasury Index for a single day, excluding fees, expenses and interest income. The ProShares Ultra 7-10 Year Treasury (UST) seeks investment results that correspond to twice (200%) the performance of the Barclays Capital 7-10 Year U.S. Treasury Index for a single day, excluding fees, expenses and interest income. The ETFs will be listed on NYSE Arca today.

“The new ETFs provide magnified exposure to Treasury securities and afford potential opportunities to benefit from dips in interest rates,” said Michael L. Sapir, Chairman and CEO of ProShare Advisors LLC, ProShares' investment advisor. “With the addition of these two ETFs, ProShares offers the largest lineup of leveraged and inverse Treasury ETFs.”

Demand for the firm's inverse Treasury ETFs has been strong. In particular, the ProShares UltraShort 20+ Year Treasury ETF (TBT) has attracted more than $4.6 billion in less than two years, and was the most successful ETF launched in 2008.2 Today’s launch of the two leveraged (200%) Treasury ETFs is in response to investor interest in leveraged long counterparts to the popular inverse fixed-income ETFs, ProShares UltraShort 20+ Year Treasury (TBT) and ProShares UltraShort 7-10 Year Treasury (PST).

Mr. Sapir added, “No matter what the longer-term interest rate trend, short-term up and down moves can offer tactical investment opportunities for knowledgeable investors. With these new ETFs, ProShares now offers both leveraged and inverse exposure to the U.S. Treasury market.”

About ProFunds Group

ProShares is part of ProFunds Group, the largest manager of leveraged and inverse funds and ETFs. ProShares introduced the first inverse and leveraged ETFs in the U.S. in 2006. Since 1997, ProFunds mutual funds have provided investors with access to sophisticated investment strategies. In addition, ProFunds Group subadvises the Canada-based Horizons BetaPro ETFs.

Most ProShares ETFs and many ProFunds employ leveraged investment techniques that magnify gains and losses and result in greater volatility in value. Each Short or Ultra ProShares ETF and leveraged or inverse ProFund seeks a return that is a multiple or inverse multiple (e.g., -200%) of the return of an index or other benchmark (target) for a single day. Due to the compounding of daily returns, ProShares' and leveraged and inverse ProFunds' returns over periods other than one day will likely differ in amount and possibly direction from the target return for the same period. Investors should monitor holdings consistent with their strategies, as frequently as daily. For more on correlation, leverage and other risks, please read the ProShares or ProFunds prospectus.

January 21, 2010

All investing involves risk, including the possible loss of principal. Short ProShares should lose value when their market indexes rise, and they entail certain risks, including, in some or all cases, aggressive investment techniques (futures contracts, options, forward contracts, swap agreements and similar instruments), inverse correlation, leverage and market price variance risks, all of which can increase volatility and decrease performance. ProShares are not diversified investments. Narrowly focused investments, including sector ETFs, typically exhibit higher volatility. Typically, the value of outstanding Treasurys falls when interest rates rise. ProShares are designed to meet daily objectives; results over longer periods may differ. There is no guarantee that any ProShares ETF will achieve its investment objective.

Carefully consider the investment objectives, risks, charges and expenses of ProShares and ProFunds before investing. This and other information can be found in their summary and full prospectuses. Read them carefully before investing. For ProShares ETF prospectuses, visit www.proshares.com and seek advice from your financial adviser or broker/dealer representative. Financial professionals can also call 866-PRO-5125. For ProFunds mutual fund prospectuses, call 888-PRO-FNDS (individual investors) or 888-PRO-5717 (financial professionals), or visit www.profunds.com.

Barclays Capital 20+ Year U.S. Treasury Index and Barclays Capital 7-10 Year U.S. Treasury Index are trademarks of Barclays Capital and have been licensed for use by ProShares. ProShares are not sponsored, endorsed, sold, or promoted by Barclays Capital, and Barclays Capital makes no representation regarding the advisability of investing in ProShares. THIS ENTITY AND ITS AFFILIATES MAKE NO WARRANTIES AND BEAR NO LIABILITY WITH RESPECT TO PROSHARES.

1 Source: Lipper, based on a worldwide analysis of all of the known providers of funds in these categories. The analysis covered ETFs, ETNs, and mutual funds by the number of funds and assets (as of 6/30/2009).

2 Source: Bloomberg

ProFunds Group includes ProFunds mutual funds and ProShares ETFs. ProFunds Distributors, Inc., is distributor for ProFunds mutual funds. ProShares ETFs registered under the Investment Company Act of 1940 are distributed by SEI Investments Distribution Co., which is not affiliated with ProFunds Group or its affiliates.