ProShares has launched a third short treasury ETF, just in time for bearish investors to play any sentiment that Treasury bonds are in a bubble that’s about to pop.
The latest ETF from ProShares is the ProShares Short 20+Year Treasury (TBF). The ETF debuted yesterday on the NYSE Arca. This ETF is meant to track the index at -100% for no longer than a single day.
The index includes all publicly issued, U.S. Treasury securities that have a remaining maturity greater than 20 years, are non-convertible, are rated investment grade, and have a fixed rate.
- The timing of this ETF is great for a number of reasons:
- China could be winding down its purchases of Treasuries
- This fund will complement investment strategies for those who think that bonds may be caught in a “bubble” at the moment, giving a low-cost, convenient way to access the movement if there is one.
- The U.S. dollar could weaken further as the Fed pumps trillions into the economy
