Top Performing Levered/Inverse ETFs Last Week
These were last week’s top-performing leveraged and inverse ETFs. Note that because of leverage, these kinds of funds can move quickly. Always do your homework.
| Ticker | Name | 1 Week Return |
|---|---|---|
| (YANG ) | Direxion Daily FTSE China Bear 3X Shares | 40.62% |
| (FXP ) | ProShares UltraShort FTSE China 50 | 26.40% |
| (FNGD ) | MicroSectors FANG+™ Index -3X Inverse Leveraged ETN | 17.53% |
| (WEBS ) | Direxion Daily Dow Jones Internet Bear 3X Shares | 13.50% |
| (EDZ ) | Direxion Daily MSCI Emerging Markets Bear 3X Shares | 13.24% |
| (YXI ) | ProShares Short FTSE China 50 | 12.59% |
| (SZK ) | ProShares UltraShort Consumer Goods | 12.10% |
| (TTT ) | ProShares UltraPro Short 20+ Year Treasury | 11.94% |
| (TMV ) | Direxion Daily 20+ Year Treasury Bear 3x Shares | 11.93% |
| (SQQQ ) | ProShares UltraPro Short QQQ | 10.04% |
1. YANG – Direxion Daily FTSE China Bear 3X Shares
YANG, which offers 3x daily short leverage to the FTSE China 50 Index, was one of the top-performing levered/ inverse ETFs returning more than ~40% last week as China market fell on renewed fears of lockdowns in the nation amid rising COVID cases and as investors reassess their positions in U.S.-listed Chinese shares amid renewed delisting fears.
2. FXP – ProShares UltraShort FTSE China 50
This ETF which offers inverse exposure to China’s large cap stocks gained ~26% this week owing to the increasing number of COVID cases in China and as U.S.-listed ADRs of Chinese companies fell because they failed to comply with the Holding Foreign Companies Accountable Act.
3. FNGD – MicroSectors FANG+™ Index -3X Inverse Leveraged ETN
FNGD ETF, which provides inverse exposure to the US big tech equity was one of the candidates on the list. Technology stocks are expected to fall in a rising interest rate environment. The US Federal Reserve raised the interest rate on Wednesday afternoon and signaled additional hikes to follow soon.
4. WEBS – Direxion Daily Dow Jones Internet Bear 3X Shares
The WEBS ETF that tracks companies having a strong internet focus was present on the top-performing levered/ inverse ETFs list this week as technology-focused stocks are expected to get a beating under the rising rate scenario.
5. EDZ – Direxion Daily MSCI Emerging Markets Bear 3X Shares
Direxion Daily MSCI Emerging Markets Bear 3X Shares, EDZ which offers daily short leverage to the broad-based MSCI Emerging Markets Index featured on this week’s top-performing inverse ETFs list as Ukraine-Russia talks reached crossroads and shares in China fell over lockdown fears.
6. YXI – ProShares Short FTSE China 50
YXI which offers inverse exposure to an index comprised of large cap Chinese equities was another inverse China-focused ETF that made it to the list this week.
7. SZK – ProShares UltraShort Consumer Goods
SZK, which offers 2x daily short leverage to the Dow Jones U.S. Consumer Goods Index was one of the contenders on the top-performing inverse ETFs list, as consumer spending reduced due to rising inflation.
8. TTT – ProShares UltraPro Short 20+ Year Treasury
ProShares UltraPro Short 20+ Year Treasury made it to the list of top-performing inverse ETFs as treasury yield increased ahead of Federal Reserve meeting for an interest rate hike and rising inflation. The yield of a 20-year Treasury bond increased to 2.5% from 2.4%, a week earlier.
9. TMV – Direxion Daily 20+ Year Treasury Bear 3x Shares
TMV was another inverse Treasury fund that made it to the list this week as treasury yields rose amid rising rate and inflation scenarios. The ongoing Ukraine-Russia war and increasing COVID cases in China could further pressure supply chains thereby escalating inflation furthermore.
10. SQQQ – ProShares UltraPro Short QQQ
SQQQ ETF offers 3x daily short leverage to the NASDAQ-100 Index, which is heavily weighted on the technology and consumer sectors made it to the list as these sectors were negatively impacted by rising interest rate and inflation.
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