Leveraged ETF Year-to-Date Performance

Below we highlight the best and worst performing leveraged and short ETFs year to date. As shown, the 3x inverse Financial sector ETF (FAZ) is up the most at 60%, followed by the two 2x inverse Financial sector ETFs, RFN and SKF. The inverse MSCI EAFE (Europe, Asia, Far East) ETF ranks 4th with a gain of 25%. The 2x inverse oil ETF is the only commodity-related name on the list of winners, while the 2x inverse Euro (DRR) is the only currency-related name. The list of losers pretty much consists of the inverse of the winners, with the 3x long Financial sector ETF (FAS) leading the declines.

Comments

[David White:]

Great info. Thanks!

One minor point, the YTD designation had me wondering a moment. This is 2009 now. I know we're still getting 2008 Q4 earnings, but the YTD designation was still a little bit confusing. I had to check a chart or two to make sure what you meant by it.

Jan 22 03:47 PM

[AndrewBaker:]

Yes, riding the financials bareback (leveraged) both ways has been a truly profitable pairing these past few months. But trying to be less selfish, maybe it's time to look at the long financial this year: We need them to be sound to get the economy going again, and the government will do all it can to achieve this; so, short of nationalization, which I think very unlikely, I think the longs will have it over the shorts on balance for 2009. (Though I will be in both camps when appropriate as far as my own trading goes!)

Jan 23 02:19 PM