Education is a lifelong journey for all of us, but for advisors, it’s especially important. The investing landscape is seemingly always shifting, with ETFs a source of significant investing innovation. Leading asset managers Direxion offer a one stop shop for ETF and investing education with its Direxion Education Center, singularly focused on advisor education.
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Mo Sparks, Direxion’s chief product officer, recently spoke with VettaFi to discuss how the education center can help deliver advisor education — including about the firm’s leveraged and inverse ETFs.
Sparks, who joined the firm in that role in 2025, spoke to the general need among advisors to stay up to date with their ETF knowledge. Specifically, he pointed to the firm’s leveraged and inverse ETFs as a key item for advisors to understand.
Advisor Education on Leveraged ETFs
Principally, he said, a big piece of the education puzzle focuses on teaching advisors how the firm’s daily resetting ETFs work. Direxion offers ETFs like the Direxion Daily Semiconductor Bull 3X Shares (SOXL ), which charges a 75 basis point fee. SOXL offers 3x long leverage to the PHLX Semiconductor Index, with that leverage resetting on a daily basis. That has implications for investors, Sparks explained.
“[People] continue to ask how they work. Specifically, what does it mean that your fund resets every day?” Sparks said. “That’s a common question that we receive…I think that the big one is better understanding that daily reset function.”
The firm’s Education Center has courses and tools for investors to get a grasp of those funds — and to explain them to clients. Per Sparks, the center has insights offering particular examples and use cases for leveraged and inverse ETFs. Earnings season, for example, can present opportunities and use cases for those ETFs. At the end of the day, it comes down to a conversation between advisor and client, he concluded.
“It’s upon the advisor to be monitoring and appropriately communicating back to their client as to what that result is, and continuing to check and make sure that, hey, we understand what we’re doing here,” Sparks said. “These are risky, sophisticated products. Make sure you’re comfortable with the risk you’re taking.”
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