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.**
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What is the daily rebalanced leverage ratio that is ideal for the S&P 500 based on past performance?
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 ...
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Can you beat the market by investing in double long ETFs?
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 ...
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Investing in a leveraged index ETF for retirement. Risky?
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 ...
