ProShares Ultra S&P500 ETF (NYSEARCA: SSO ) may be a profitable swing trading instrument, but the 2X leverage factor is a source of drift. This article explains what "drift" means, reports it for 22 leveraged ETFs, with a focus on SSOFred runs the investing group Quantitative Risk & Value where he shares a portfolio invested in quality dividend stocks, and companies at the forefront of tech innovation. Fred also supplies market risk indicators, a real estate strategy, a bond strategy, and an income strategy ...

Core Viewpoint - The Direxion Daily Aerospace & Defense Bull 3X Shares (NYSEARCA: DFEN) is identified as a leveraged ETF that aims to track the US Aerospace and Defense sector, currently viewed as a good investment opportunity [1]. Group 1: Investment Analysis - The ETF is designed to provide three times the daily performance of the Aerospace and Defense sector, indicating a high-risk, high-reward investment strategy [1]. - The analysis is supported by a quantitative finance approach, incorporating machine learning and deep learning applications to assess financial markets [1]. Group 2: Research Background - The author has a background in quantitative finance with published research on commodity price forecasting and derivatives hedging, which adds credibility to the investment analysis [1]. - The insights shared are shaped by a combination of quantitative research and considerations of geopolitical factors and fundamentals [1].

Group 1: Fund Overview - Defiance ETFs launched the Defiance Daily Target 2X Long OSCR ETF (Ticker: OSCX), providing 2X daily exposure to Oscar Health, Inc. (NYSE: OSCR) [1][2] - The fund aims to deliver daily investment results of 200% of the daily performance of Oscar Health, utilizing derivatives like swaps and options [2][3] Group 2: Company Profile - Oscar Health, Inc. is a technology-driven health insurance company focused on making healthcare more accessible and affordable through innovative plan designs and digital platforms [3] - The company is recognized for being one of the first insurers built around a full-stack technology platform, transforming the insurance experience for individuals, families, and small businesses [3] Group 3: Investment Considerations - An investment in OSCX is not a direct investment in Oscar Health, Inc., and the fund is designed for knowledgeable investors who understand the risks associated with leveraged investments [4][6] - The fund is intended for short-term trading and may not be suitable for buy-and-hold investors due to the potential for significant losses over periods longer than one day [4][10]

Group 1 - The article discusses the analysis of oil and gas companies, focusing on identifying undervalued names in the sector, including balance sheet evaluations, competitive positioning, and development prospects [1] - It highlights the characteristics of a specific "short" crude oil ETF (SCO), which aims for a daily leveraged result through futures investments [2] - The cyclical nature of the oil and gas industry is emphasized, indicating that it experiences boom-bust cycles, requiring patience and experience for successful investment [2] Group 2 - The article does not provide any specific investment recommendations or advice, and it encourages investors to review company documents and press releases for their own investment qualifications [4][5] - There is a disclosure stating that the author has no current positions in the mentioned companies and does not plan to initiate any within the next 72 hours [3]

Group 1 - The article discusses the analysis of oil and gas companies, focusing on identifying undervalued names within the industry [1] - It highlights the cyclical nature of the oil and gas industry, characterized by boom and bust cycles, requiring patience and experience for successful investment [2] - The article mentions a specific ETF, ProShares UltraShort Bloomberg Crude Oil, which is leveraged and aims for a daily result through futures investments [2] Group 2 - The author emphasizes the importance of understanding a company's balance sheet, competitive position, and development prospects for investment decisions [1] - The article is part of a service that provides in-depth analysis to members, which includes insights not available on the free site [1]

Company Overview - Defiance ETFs has launched the Defiance Daily Target 2X Long PM ETF (Ticker: ZYN), which offers investors 2X daily exposure to the performance of Philip Morris International Inc. (NYSE: PM) [1][2] - Philip Morris International is a leading international tobacco company that manufactures and sells cigarettes, smoke-free products, and associated devices, focusing on transitioning adult smokers to less harmful alternatives through its IQOS platform [3] Fund Objectives and Structure - The ZYN fund aims to deliver daily investment results of 200% of the daily performance of Philip Morris International Inc., utilizing derivatives such as swaps and options to achieve its leveraged objectives [2] - The fund is designed for knowledgeable investors who understand the risks associated with seeking daily leveraged investment results and are willing to actively monitor their portfolios [4][10] Industry Context - The tobacco and reduced-risk product industry faces various challenges, including regulatory pressures, litigation risks, and changing consumer preferences, which could impact the performance of companies like Philip Morris International [9]

Core Viewpoint - Defiance ETFs has launched the Defiance Daily Target 2X Long ANET ETF (Ticker: ANEL), which offers investors 2X daily exposure to the performance of Arista Networks, Inc. (NYSE: ANET) [1][2]. Company Overview - Arista Networks is a global leader in cloud networking solutions, providing scalable and high-performance platforms for large data centers, enterprise networks, and cloud providers [3]. - The company focuses on software-driven architecture, network automation, and advanced AI-driven security, positioning itself as a key enabler of cloud computing and next-generation enterprise connectivity [3]. Fund Structure and Strategy - The ANEL fund aims to deliver daily investment results of 200% of the daily performance of Arista Networks, utilizing derivatives such as swaps and options to achieve its leveraged objectives [2]. - The fund is designed for knowledgeable investors who understand the risks associated with seeking daily leveraged investment results and are willing to actively monitor their portfolios [4]. Company Background - Defiance ETFs, founded in 2018, specializes in thematic, income, and leveraged ETFs, and is recognized for its innovative approach in the ETF market [5].

Core Viewpoint - Defiance ETFs has launched the Defiance Daily Target 2X Short LLY ETF (Ticker: LLYZ), which provides investors with 2X inverse daily exposure to the performance of Eli Lilly and Company, allowing retail investors to seek enhanced downside exposure without needing a margin account [1][3]. Group 1: Fund Overview - LLYZ aims to deliver daily investment results of -200% of the daily performance of Eli Lilly and Company, utilizing derivatives such as swaps and options to achieve its leveraged objectives [2]. - The fund is designed for knowledgeable investors who understand the risks associated with seeking daily leveraged inverse investment results and are willing to actively monitor their portfolios [4]. Group 2: Company Profile - Eli Lilly and Company is recognized as a global leader in the pharmaceutical industry, known for its innovative therapies in areas such as diabetes, oncology, immunology, and neuroscience [3]. - The fund offers targeted inverse exposure for traders looking for amplified downside exposure without the need for a margin account, distinguishing it from direct investments in Eli Lilly [3]. Group 3: Company Background - Defiance, founded in 2018, specializes in thematic, income, and leveraged ETFs, positioning itself as a leader in ETF innovation [5]. - The company focuses on empowering investors to take amplified positions in high-growth companies through its first-mover leveraged single-stock ETFs [5].

Group 1 - ProShares Ultra Dow30 ETF (NYSEARCA: DDM) is a leveraged ETF that aims to provide a 2x exposure to the Dow Jones Industrial Average [1] - Binary Tree Analytics (BTA) focuses on providing transparency and analytics in capital markets, particularly in closed-end funds (CEFs), exchange-traded funds (ETFs), and special situations [1] - BTA has over 20 years of investment experience and aims to deliver high annualized returns with low volatility [1]

ETF Market Trends - Leveraged Triple A Cielo ETF invests in top-rated Cee-Lo bonds, leveraging up to 50% of exposure [1] - Strong demand for CLOs and popularity of leveraged products are key trends [1] - Leveraged and inverse ETFs command over $38 billion [4] - A record 73 leveraged or inverse ETFs launched in the US last year [4] - Over half of leveraged or inverse ETFs launched this year are single stock ETFs, exceeding last year's total [4] - Three-quarters of all leveraged or inverse products are single stocks [4] Vanguard's Investment Strategy - Vanguard holds firm that Bitcoin has no inherent economic value and is not appropriate for long-term investors [2] - Vanguard is the single biggest shareholder of MicroStrategy (MSTR) [2] - Vanguard owns 20 million shares of MicroStrategy [3] - Index investing forces Vanguard to hold shares of MicroStrategy, despite disliking Bitcoin [3]