WorkerOnWallStreet

Leveraged ETFs: Is Tracking Error Really So Troublesome?

And don't forget... "Tracking Error" always seems to occur in favor of the outfits running the funds. You buy a 3x bull fund, and it goes up less than 3x when the index goes up by x. But when you buy a 3x bear fund and the index goes down by x, you find the ETF will go down by more than 3x.

Buyer beware. Madoff's buddies still run Wall Street.