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HealthShares(TM) Announces Changes to the HealthShares(TM) Diagnostics and Composite Indexes
Date:10/22/2007

ales may be unlimited, and losses from purchases on margin may exceed original investment. Normal brokerage commissions apply. HealthShares(TM) ETFs are subject to increased risks associated with investing in a specific sector compared to a more diversified investment, as well as unique risks associated with the healthcare and biotechnology sector (i.e., government regulation, patent regulation, etc.).

The ETFs face additional risks attributable to their investments in small and medium capitalization companies which are subject to higher volatility than larger, more established companies. In addition, they are invested in a limited number of securities and a decline in the value of these investments would cause the fund's overall value to decline to a greater degree than in a less concentrated portfolio.

Global or International Funds invest in foreign securities that will be subject to certain risks not associated with domestic securities, such as currency fluctuations, and changes in political and economic conditions.

The prospectus is not an offer to buy or sell the portfolio shares, nor is the fund soliciting an offer to buy its shares in any jurisdiction where the offer or sale is not permitted.

HealthShares(TM) Exchange Traded Funds are distributed by ALPS Distributors, Inc.

XShares Advisors LLC and ALPS Distributors, Inc. are unaffiliated entities.

HSI 344 exp. 12/31/07


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SOURCE HealthShares(TM) Inc.
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