On Wednesday, Direxion expanded its selection of Leveraged & Inverse ETFs with the debut of four new funds.
Each of these ETFs looks to offer leveraged or inverse exposure to the daily performance of a single stock. All four of the new funds operate with a net expense ratio of 97 basis points.
The Direxion Daily BA Bull 2X Shares (BOEU) aims to offer 200% of the daily performance of The Boeing Company (BA). Inversely, the Direxion Daily BA Bear 1X Shares (BOED) looks to generate -100% of Boeing’s daily stock results.
Meanwhile, the other two funds focus on Exxon Mobil Corporation (XOM). The Direxion Daily XOM Bull 2X Shares XOMB) Daily XOM Bull 2X Shares (XOMX) offers 200% of the stock’s daily results. Likewise, the Direxion Daily XOM Bear 1X Shares {XOMZ) instead looks for -100% of Exxon Mobil’s daily performance.
Single-Stock Exposure to Sector Leaders
Looking ahead, traders will be watching Boeing and Exxon Mobil for guidance on the state of their respective industries. Thus, these new funds from this issuer can play well for experienced advisors looking to capitalize on short-term movements.
“Active traders thrive on the catalysts these two headline-heavy stocks provide, to include recent tariff-related news,” said Douglas Yones, CEO of Direxion. “For Boeing, it may be regulatory announcements, airline orders and production issues, while for Exxon it could be crude oil prices, associated demand fluidity and geopolitical moves. These ETF pairs provide the focused exposure active traders seek to express their short-term convictions on both."
The company notes that its Leveraged & Inverse fund suite is designed for advisors and investors with a strong risk tolerance. These daily funds can provide strong results. But their short-term time horizons may be best used by experienced market managers.
Currently, Direxion has well over 100 different ETFs listed in the United States. One of the larger Direxion ETFs, the Direxion Daily Semiconductor Bear 3x Shares (SOXS ), has over $500 million in assets under management.
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