MST: Good For Trading, Not For Income
Summary
- MST is a leveraged ETF aiming for 150%-200% of MSTR's daily returns, using derivatives and leverage for active trading.
- Despite weekly distributions, the fund's total returns are negative, reflecting both payouts and recent declines in underlying holdings.
- Long-term investors face high risks due to leverage, daily rebalancing, and the questionable long-term outlook for MSTR and BTC exposure.
- I rate MST a Hold, as its structure favors traders over investors and lacks a compelling case for long-term capital appreciation.
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