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主题:准备买几种美国的ETF,请高手指点 -- 一直在混

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家园 【原创】must understand leverage

LZ must understand the leverage ETF first before touch them. Among the 4 ETF mentioned in your original post, 3 (URE, UYG and SKF) are 2x leveraged ETF. They are designed to track underlying daily index DAILY by either 2 or -2 times. For instance, UYG is 2x of XLF and SKF is -2x of SKF DAILY. I could not emphasize more the word "DAILY". Imagine you have both SKF and UGY shares, $10,000 worth each. What would happen if XLF up and down 2% every day for 200 days. The underlying ETF, ie. XLF is at the same price, but both SKF and UGY decrease to $8500. ([0.96*1.04]^100=0.85). So one should not hold leverage ETF for long time unless he/she knows the underlying ETF will go straight up. Indeed, shorting both highly leveraged ETF is a good way to make profit. For instance, short both FAZ and FAS.

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