Leveraged ETF Winners and Losers in 2009

As leveraged and inverse ETFs get more and more attention from the regulation agencies, below we provide a snapshot of the winners and losers in this unique group of ETFs so far in 2009. As shown, the 2x semiconductor ETF (USD) is up the most year to date with a gain of 86.4%. The 2x technology and 2x materials ETFs (ROM and UYM) rank second and third. The 2x silver ETF (AGQ) has also done well with a gain of 49.21%. The only inverse, or short, ETF on the list of big winners in 2009 is the double short 20+ year Treasury ETF (TBT).

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The triple short financial ETF (FAZ) takes the take for being the biggest loser in 2009. It's going to be hard for another one to beat it out on the downside at this point with a decline of 92.42%. The index that FAZ tracks is up 13% year to date. None of the biggest losers year to date are double long ETFs, which is a huge change from where things stood just a few months ago. Now, the double and triple short ETFs are the ones getting crushed.

Comments

[Puzzled in ...:]

This is interesting, but fails to address the issue of how the leveraged ETFs did vs. the underlying index or sector basket.

Aug 06 08:25 AM

[kkerr:]

Puzzled: Why does it matter how they do vs the underlying index? The only time it matters perhaps is if you are swing trading them or holding them long term.

Aug 06 12:11 PM

[fjpenney:]

I like the guys at Bespoke but this article is of little value since those of us who use leveraged ETF's don't buy them at the beginning of the year and hold them. They are generally held for short periods of time and some us use timers to direct purchases and sales.

Nov 22 09:37 AM