LBJDirexion Daily Latin America Bull 3X Shares
LBJ Fund Description
LBJ provides daily 3x exposure to a market-cap-weighted index covering 70% of the total market capitalization of Brazil, Mexico, Chile, Peru, and Colombia.
LBJ Factset Analytics Insight
LBJ provides 300% of the return of an index covering 70% of the market capitalization of five Latin American countries—Brazil, Mexico, Chile, Peru, and Colombia—for one day. Investors who hold the fund for longer than a single trading day may fall victim to the effects of compounding, which can cause the effective leverage factor to depart (sometimes greatly) from the headline 300% exposure. Financials lead the way here, comprising around a third of the index, followed by significant stakes in Basic Materials, Consumer Non-Cyclicals, and Energy. The index is also somewhat concentrated, with its top ten names comprising about half the portfolio. LBJ charges an above average fee for the leveraged space, but trading costs are the bigger concern for this single-day trading tool. Use caution: volume tends to be middling and spreads high, making limit orders essential.
LBJ CHARTS AND PERFORMANCE
LBJ Factset Analytics Block Liquidity
This measurement shows how easy it is to trade a $1 million USD block of LBJ. LBJ is rated a 5 out of 5.