What are some 3X leveraged ETFs?
What are some 3X leveraged ETFs? These include the Direxion Daily Technology Bull 3X Shares (TECL), the Direxion Daily Technology Bear 3X Shares (TECS), the Direxion Daily Energy Bull 3X Shares (ERX), and the Direxion Daily Energy Bear 3X Shares (ERY). Direxion is not the only provider of leveraged ETFs but is one of the most popular. Why are 3X ETFs bad? Since they maintain a fixed level of leverage, 3x ETFs eventually face complete collapse if the underlying index declines more than 33% on a single day. Even if none of these potential disasters occur, 3x ETFs have high...