UGAZVelocityShares 3X Long Natural Gas ETN
UGAZ Fund Description
UGAZ provides 3x the daily return of the daily performance of the front-month futures contract on natural gas.
UGAZ Factset Analytics Insight
Like most geared inverse products, UGAZ is designed to be used as a tactical trading tool, not as a buy-and-hold investment. The note promises to provide 3x exposure to its reference index—the S&P GSCI Natural Gas Excess Return Index—for a one-day holding period. The daily reset function means investors holding UGAZ for periods of longer than one trading day will be exposed to the effects of compounding and could see returns vary greatly from the headline 3x exposure. Since UGAZ tracks an excess return version of the S&P GSCI Natural Gas Index, returns will reflect the changes in the price of natural gas and returns from rolling futures contracts, but not any income from collateral. The ETN wrapper provides tax efficiency with no K-1. Although its fee is extremely high, trading costs are of greater importance, since the fund is designed for intraday round-trip trades.
UGAZ CHARTS AND PERFORMANCE
UGAZ Portfolio Data
UGAZ Index Data
UGAZ Fund Structure
UGAZ Tax Exposures
UGAZ Factset Analytics Block Liquidity
This measurement shows how easy it is to trade a $1 million USD block of UGAZ. UGAZ is rated a 5 out of 5.