A **leveraged ETF** is an ETF which seeks to deliver some multiple (frequently 2x) the **daily** performance of a benchmark index. However, over multiple days it will **not** return 2x the index. **You should not buy and hold a leveraged ETF for any more than a couple of days at a time.**
Let's consider USO Oil ETF. They track WTI Crude Oil contract. At the close 30/04/2015: they held 46,485 WTI futures their closing price was 20.51 their market capitalisation was 2,772.95m USD front ...
Since these would help me manage risk in my personal financial portfolio, why are there no exchange traded options on 3x leveraged ETNs? Is there a prohibition that the SEC is perpetuating? Is there ...
Some ETFS like NUGT,DUST say that they replicate the performance of the underlying index on a daily basis. My first question is, do all ETFS do this, or only some? Also, why does it say that "not ...
Is it possible to see TZA at 6,000 ever again? What kind of decline in the Russell 2000 would it take? Since TZA was originally at 6000 and now at 15, is it possible, with a huge future downturn in ...
I'm very interested in geared ETFs. It appears that the highest available gear ratio is 3x the underlying security (or index). Is this due to regulation, mathematics, or market demand?
This question assumes an investor with a very low risk-aversion coefficient. The risk-aversion coefficient is basically the 2nd-derivative of an investor's utility function as a function of money. An ...
Certain ETFs double the daily rate of return of certain indices. Can you use such ETFs to beat the market (not on a risk-adjusted basis, just in terms of pure returns)? I have read that When ...
I'm 23, and in addition to my 401k at work, I have a few thousand saved in an IRA. Right now I have it sitting in Treasurys earning around 3%. Over the past 50 years the S&P has averaged around ...