TZADirexion Daily Small Cap Bear 3X Shares
TZA Fund Description
TZA provides -3x leveraged exposure to a market-cap-weighted index of US small-cap companies.
TZA Factset Analytics Insight
TZA is an extremely aggressive 1-day bet against the Russell 2000 small-cap index, with enough liquidity to ensure it can be traded quickly and cheaply. It uses ETF and index swaps to get its inverse exposure, which does introduce some counterparty risk. As with nearly the entire universe of geared inverse ETFs, TZA is designed to provide its -3x exposure for 1 trading day, and anyone holding it for longer than a day will be exposed to the effects of compounding. These forces will cause the returns to drift away from the expected 3x inverse exposure to the Russell 2000 Index. Investors should therefore plan to hold TZA for no longer than 1 day, and if they do hold it for longer, they will need to adjust their investment on a daily basis to ensure it provides the -300% return it promises. TZA trades well, with small spreads and excellent block liquidity. Its fees are on the high side, even for the inverse equity segment, but they're still reasonable compared to similar funds.
TZA MSCI ESG Analytics Insight
Direxion Daily Small Cap Bear 3X Shares has an MSCI ESG Fund Rating of A based on a score of 6.29 out of 10. The MSCI ESG Fund Rating measures the resiliency of portfolios to long-term risks and opportunities arising from environmental, social, and governance factors. ESG Fund Ratings range from best (AAA) to worst (CCC). Highly rated funds consist of companies that tend to show strong and/or improving management of financially relevant environmental, social and governance issues. These companies may be more resilient to disruptions arising from ESG events.
The fund’s Peer Rank reflects the ranking of a fund’s MSCI ESG Fund Quality Score against the scores of other funds within the same peer group, as defined by the Thomson Reuters Lipper Global Classification. Direxion Daily Small Cap Bear 3X Shares ranks in the 64th percentile within its peer group and in the 40th percentile within the global universe of all funds covered by MSCI ESG Fund Ratings.
TZA Charts And Performance
TZA Factset Analytics Block Liquidity
This measurement shows how easy it is to trade a $1 million USD block of TZA. TZA is rated a 5 out of 5.
TZA MSCI ESG Ratings
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