Get info on Inverse Exchange Traded Funds (ETF) Investing & ETF Stocks.
Inverse ETF Investing
Inverse Exchange-Traded Fund From Wikipedia, the free encyclopedia:
An inverse exchange-traded fund is an exchange-traded fund (ETF), traded on a public stock market, which is designed to perform as the inverse of whatever index or benchmark it is designed to track. These funds work by using short selling, trading derivatives such as futures contracts, and other leveraged investment techniques.
By providing performance opposite to their benchmark, inverse ETFs give approximately the same results as would short selling the stocks in the index. An inverse S&P 500 ETF, for example, seeks a daily percentage movement opposite that of the S&P. If the S&P 500 rises by 1%, the inverse ETF is designed to fall by 1%; and if the S&P falls by 1%, the inverse ETF should rise by 1%. Because their value rises in a declining market environment, they are popular investments in bear markets.
Short sales have the potential to expose an investor to unlimited losses, whether or not the sale involves a stock or ETF. An inverse ETF, on the other hand, provides many of the same benefits as shorting, yet it exposes an investor only to the loss of the purchase price. Another advantage of inverse ETFs is that they may be held in IRA accounts, while short sales are not permitted in these accounts.
Disclaimer: This is for up to date information on Exchange Traded Funds and is only for informational purposes. Investing is risky and all precautions must be used at all times.
List of National and International Exchange Traded Funds
SmarTrend, the proprietary pattern recognition system, has made available a free sample copy of our premium research report on ( AMEX:SSO ) at http://www.mysmartrend.com/research/ SmarTrend, our proprietary pattern recognition system, called an ...
SmarTrend, the proprietary pattern recognition system, has made available a free sample copy of our premium research report on ( NYSE:URE ) at http://www.mysmartrend.com/research/ SmarTrend, our proprietary pattern recognition system, called an ...
Historically, the company has dominated the 3x leveraged ETF space while ProShares has focused on inverse and 2x leveraged funds. In recent months ProShares has expanded into the 3x leveraged ETF space, and now Direxion has ventured into offering 2x ...
I recommend you look at the ProShares Short Barclays Capital 20+ Year U.S. Treasury Index Fund (TBF). It’s an inverse fund, designed to move up in price in proportion to the decline in price of the 20-year Treasury (as rates go up).
Bernstein Liebhard LLP filed a class action lawsuit on March 10, 2010 in the United States District Court for the Southern District of New York, on behalf of all persons who purchased or otherwise acquired shares in the Ultra Basic Materials fund ...
Historically, the company has dominated the 3x leveraged ETF space while ProShares has focused on inverse and 2x leveraged funds. In recent months ProShares has expanded into the 3x leveraged ETF space, and now Direxion has ventured into offering 2x ...
... looking for opportunities to trade in a market that is running away to the upside, the high Leveraged ETF PowerRatings of funds like Direxion Technology Bear 3x Shares, the ProShares Ultra Gold ETF and the DB Gold Double Long ETN, may be just ...
The Ultra Oil & Gas ProShares ETF (NYSE: DIG) popped above key Feb-Mar resistance at 34.40/50 to a recovery high at 35.05, after which it revisited the breakout level into this morning’s low at 34.25. This morning’s upside pivot reversal from 34 ...
The ProShares UltraShort 20+ Year Treasury ETF (Public, NYSE:TBT) is an interesting prospect for those that expect higher inflation and higher interest rates. TBT is an ETF that is held by 5 gurus tracked by Gurufocus. This article argues that higher ...
The world of exchange traded funds (ETFs) is getting a little bit bigger and a little more interesting. Van Eck plans to offer two first-of-their-kind fixed-income ETFs, while ProShares is also gearing up to launch regional banking and international ...
