ProShares Debuts Thematic 2x ETFs

The two funds cover the cybersecurity and cloud computing spaces, respectively. 

Reviewed by: Heather Bell
Edited by: Heather Bell

Today, ProShares launched a pair of ETFs offering 2x exposure to the popular themes of cybersecurity and cloud computing. The ProShares Ultra Nasdaq Cybersecurity ETF (UCYB) and ProShares Ultra Nasdaq Cloud Computing ETF (SKYU) both track indexes used by sizable unleveraged ETFs from First Trust.

UCYB comes with an expense ratio of 0.98%, while SKYU charges 0.95%. Both funds list on the Nasdaq exchange.

UCYB shares an index, the liquidity-weighted NASDAQ CTA Cybersecurity Index, with the $3.4 billion First Trust NASDAQ Cybersecurity ETF (CIBR). Meanwhile, SKYU shares its index, the ISE CTA Cloud Computing Index, with the $6 billion First Trust Cloud Computing ETF (SKYY). These are the first ProShares ETFs to offer a leveraged take on a theme, and it’s no surprise given the investor dollars the two themes have already attracted and their strong performance in 2020.  

“The growing need for remote computing, and our increased reliance on secure internet communications and connectivity—existing themes accelerated by the coronavirus pandemic—have expanded the already significant investment opportunities in the cybersecurity and cloud computing industries,” said Michael Sapir, CEO of ProShares.

Earlier this year, Direxion rolled out two new ETFs tracking the cloud computing theme: the Direxion Daily Cloud Computing Bull 2X Shares (CLDL) and Direxion Daily Cloud Computing Bear 2X Shares (CLDS).

Contact Heather Bell at [email protected]

Heather Bell is a managing editor with Prior to joining the company, she held editorial positions at Dow Jones Indexes and Lehman Brothers. Bell is a graduate of Dartmouth college and a one-time Jeopardy! champion. She resides in the Denver area with her two dogs, and enjoys hiking in the mountains and frequenting the city’s excellent bookstores.