fjpenney

Why Leveraged ETFs Are Bound to Deteriorate

There is no shortage of articles written about leveraged ETF decay but, as was noted by User 243258, the returns generated by leveraged ETF's are path dependent. Here in Canada, Horizons Beta Pro reps have made that point clear whenever they appeared before the media.

Lawrence:
You make an excellent point - if the decay is so certain, why not short the leveraged ETF's. I tried to short QLD through my Canadian broker but was advised that they didn't have any QLD and that it was very difficult for them to offer any of the US ETF's for shorting. I'd like to hear from others on this.

I use the leveraged ETF QLD (Proshares Ultra QQQ) in conjunction with my own timer and am pleased with the results. The volatility is definitely not for everyone.