SJC

ProShares Ultra and UltraShort Sector ETFs: Does 2 = 2?

Nice article. Interesting take on ETF and the short side insurance uses. Its hard to draw specific conclusions though since the opposite funds have huge differences in market cap and the qualities of swaps they may hold. Very rarely are you going to have the exact perfect swap between a long a short position on these ETF's. In regard to insurance popularity, you saw this during the Bear Stearns collapse, volume interest in ultra short financial SKF, was became the most actively traded instrument for a brief period of time.