To achieve investment objective the leveraged inverse return of the Index is compounded daily with each leverage reset, the performance of the ETNs over a period longer than from one leverage reset day to the next will differ, perhaps significantly, from three times leveraged point-to-point inverse return of the Index over the same period. Your investment in the ETNs is linked to the inverse, or short, performance of the Index. Therefore, leaving aside the effects of the daily compounding of leverage, fees and charges, the value of the ETNs will generally increase as the level of the Index decreases and will generally decrease as the level of the Index increases. The Index is a total return index that tracks the performance of the iShares MSCI Japan ETF and is designed to provide exposure to the large- and mid-capitalization segments of the equity market in Japan through a single fund-tracking vehicle.