Leveraged ETF Overview

Leveraged ETFs are powerful and complex trading instruments that allow traders to magnify the return on investment. While higher returns are an attractive proposition, investors need to realize that losses are magnified too. Thus, these ETFs need to be handled with care.

Leveraged ETFs deliver the desired returns over prespecified periods only (usually one day). A leveraged ETF that offers 2x exposure to the S&P 500 only attempts to do so over one-day holding periods. Investors looking to hold these ETFs for significantly longer time periods can often find themselves losing money even if the underlying benchmark behaved as expected.

Features and News

SEC Sends Mixed Signals About Cutting Edge ETFs

Regulatory guidance has been murky about proposed bitcoin and 4x leveraged ETFs.

Daily Hot Reads

Friday Hot Reads: Controversial 4X ETF Hits Snag

Also, the best spots to find ETF bargains now.

ETF.com Analysis

Real-World ETF Questions

Money Show attendees are asking all the right questions about exchange-traded funds.

Daily Hot Reads

Monday Hot Reads: Why Bull Market Is Alive & Well For ETFs

Also, another look at the latest in the efforts to launch a bitcoin ETF.

ETF.com Analysis

Feds Back To Loving A Well Run Lottery

The SEC approval of 4X-geared exchange-traded products may be a change of heart toward ETFs.

Features and News

SEC Approves Quadruple-Leveraged ETFs

New issuer ‘ForceShares’ may list geared long and short versions of the S&P 500.

Daily ETF Watch

ETF Watch: Trend-Following Factor Fund Debuts

Alpha Architect's new ETF will invest in its other ETFs to combine value and momentum exposures with a trend-following hedging strategy. 

Daily ETF Watch

ETF Watch: JNUG Resumes Creations

Creations were suspended earlier in the month.

Features and News

Alternatives To Changing Gold Miner ETFs

GDXJ and JNUG are the largest and most liquid funds in the junior gold miner space, but there are a handful of competitors that may be attractive to investors.