KOLDProShares UltraShort Bloomberg Natural Gas
KOLD Fund Description
KOLD provides daily -2x exposure to an index that tracks natural gas by holding one second month futures contract at a time.
KOLD Factset Analytics Insight
KOLD provides -2x exposure to the performance of a futures contract on natural gas for one day. The fund is therefore designed to be used as a tactical trading tool, to be held for no longer than one day. Investors using it as a buy-and-hold investment will be subject to the effects of compounding, which can—and often will—cause the fund to drift from its promised -2x exposure over longer holding periods. The fund's index follows a pre-determined roll schedule, which rolls the expiring contracts into contracts that are about two months out. Although KOLD charges a stiff fee, trading costs are of more importance than holding costs, given its short-term nature. Unfortunately, the fund may not be easy to trade, as daily trading volume is lukewarm and spreads are often wide.
KOLD CHARTS AND PERFORMANCE
KOLD Factset Analytics Block Liquidity
This measurement shows how easy it is to trade a $1 million USD block of KOLD. KOLD is rated a 5 out of 5.