SPXU is designed for -3x daily inverse S&P 500 exposure, making it suitable only for short-term speculation or hedging, not long-term investment. Holding SPXU over time leads to value erosion, due to daily derivative time decay and compounding losses, especially in volatile markets. The ETF is highly liquid with tight spreads and low costs, performing as intended for its specific purpose of daily leveraged trading.
Without the help of a crystal ball, holding the ProShares UltraPro Short S&P500 ETF is probably a bad idea for nearly every investor. I believe in the sustained deterioration in market conditions caused by the uncertainty surrounding the current trade war, but this is not enough to justify owning SPXU. For those being careful or skeptical about the prospects of the S&P 500 ahead of a potential recession, I present a few alternatives to being bearish the US equities markets.
Leveraged ETFs like ProShares UltraPro Short S&P500 ETF have a non-linear behavior. A watchlist with 22 leveraged ETFs. The SPXU ETF is a cost-effective hedging tool in bull markets, but may suffer steep decay during volatile periods.
![]() SPXU 6 months ago | Other | $0.48 Per Share |
![]() SPXU 8 months ago Paid | Quarterly | $0.45 Per Share |
![]() SPXU 11 months ago Paid | Quarterly | $0.58 Per Share |
![]() SPXU 20 Mar 2024 Paid | Quarterly | $0.64 Per Share |
![]() SPXU 20 Dec 2023 Paid | Quarterly | $0.91 Per Share |
![]() SPXU 6 months ago | Other | $0.48 Per Share |
![]() SPXU 8 months ago Paid | Quarterly | $0.45 Per Share |
![]() SPXU 11 months ago Paid | Quarterly | $0.58 Per Share |
![]() SPXU 20 Mar 2024 Paid | Quarterly | $0.64 Per Share |
![]() SPXU 20 Dec 2023 Paid | Quarterly | $0.91 Per Share |
ARCA Exchange | US Country |
The company in question appears to be a financial entity specializing in investment services. It focuses on providing its investors with daily returns that align with its Daily Target, which is based on the performance of a large-cap U.S. stock market index. This aim suggests a proactive approach to investment, utilizing financial instruments selected by ProShare Advisors. Notably, the fund operates with a non-diversified strategy. This approach indicates a concentration on certain investments over a broader portfolio distribution, potentially aiming for higher returns but with a corresponding increase in risk.
The main offering of the company revolves around its investment fund designed to achieve specific daily returns. Below is a detailed list of this product: