ProShares UltraPro Short S&P500

SPXU provides (-3x) exposure to a market-cap weighted index of 500 large- and mid-cap US companies selected by the S&P Committee.

ProShares UltraShort MSCI Emerging Markets

ProShares UltraShort Russell2000

Following the 2024 U.S. election, there has been a great deal of speculation about how a second Trump administration will set policies that have an impact on the economy. Some have taken a strongly optimistic view of what's to come—a recent Goldman Sachs report suggested that the likelihood of a recession has diminished along with inflation levels and that anticipated changes to tariffs, immigration, and other policies are not likely to dampen economic growth.

3 Strategic ETFs for Bearish Investors Post-Election

The ProShares UltraPro Short S&P500 ETF aims to provide triple the inverse daily performance of the S&P 500, ideal for bearish market outlooks. The ETF is highly leveraged and suitable for short-term trading, not long-term holding due to an elevated expense ratio and numerous medium-and-long-term tailwinds for US stocks. Arguments for a long SPXU position include election uncertainty, high concentration and elevated valuation of the S&P 500, as well as passive investor inflows.

SPXU: A Bet On Election Uncertainty And Expensive Valuations

SPXU is a 3x leveraged inverse bet on the S&P 500 with a 10.74% TTM dividend yield from US Treasuries. While the dividend is attractive, it is more of a quirk than something we can effectively capture. The fund's leveraged nature comes with high risk warnings and negative compounding that amplifies losses over time.

SPXU: A Juicy 10.74% Dividend Out Of Reach

ProShares UltraPro Short S&P500 is a triple-leveraged, inverse ETF that aims to produce three times the negative daily return of the S&P 500. SPXU tends to lose value over time due to betting against an asset that generally rises in value and suffers from compounding losses. Historical data suggests that SPXU is only successful during periods of market chaos and downward momentum, making it an unreliable trading or investment vehicle.

SPXU: A Risky Bet On Perfect Timing And Rare Luck

ARK Innovation ETF

SPDR Dow Jones Industrial Average ETF

ProShares Short Dow30

AdvisorShares Ranger Equity Bear ETF

iShares Core S&P Total U.S. Stock Market ETF

iShares S&P 500 Value ETF

iShares Core S&P 500 ETF

iShares Dow Jones U.S. ETF

Fidelity NASDAQ Composite Index

ProShares Short QQQ

Invesco QQQ

Invesco Nasdaq 100 ETF

Tuttle Capital Short Innovation ETF

ProShares UltraPro Short Dow30

ProShares Short S&P500

Direxion Daily Semiconductor Bear 3x Shares

Direxion Daily S&P 500 Bear 1X Shares

Direxion Daily S&P 500 Bear 3x Shares

SPDR S&P 500 ETF Trust

SPDR Portfolio S&P 500 Value ETF

ProShares UltraPro Short QQQ

Proshares Ultrashort Semiconductors

Direxion Daily Technology Bear 3X Shares

AXS TSLA Bear Daily ETF

Shorting or hedging against companies driving innovation and growth in the US stock markets is not a viable long-term strategy. Historical trends suggest that bear markets are relatively short-lived, and positive trends in the market indicate potential long-term growth for large firms and disruptive innovators. ETFs that bet against innovation and growth are likely to underperform their benchmarks in the long term. It is better to invest in stocks of innovative firms and funds tracking major indexes.

Don't Bet Against Progress

Leveraged ETF prices drift due to beta-slippage. ProShares UltraPro Short S&P500 ETF has experienced both positive and negative drift in its history. In volatile times, it is recommended to use ETFs with less leverage for hedging purposes.

SPXU Is In Positive Drift Regime, But Beware Of Volatility

Direxion Daily Emerging Markets Bear 3X Shares

ProShares UltraShort QQQ

ProShares UltraShort S&P500

ProShares Short Financials

Direxion Daily Small Cap Bear 3x Shares

From glancing at the headlines, the concept of acquiring inverse ETFs – that is, exchange-traded funds that rise in value as their underlying securities, assets or sectors fall – doesn't seem very relevant. After all, the September jobs report came in hotter than expected.

7 Inverse ETFs for the Opportunistic Bear

The ProShares UltraPro Short S&P500 ETF is an exchange-traded fund designed for traders who anticipate a bearish market and want to profit from it. The SPXU ETF uses financial instruments like futures contracts and swap agreements to achieve inverse exposure to the S&P 500 Index. The SPXU ETF carries significant risks, including leverage risk, compounding risk, market risk, and credit risk. It is more suitable for short-term trading than long-term investing.

SPXU: Careful Using Inverse ETFs Even In A Credit Event

Direxion Daily S&P 500 Bull 2x Shares

Direxion Daily S&P 500 Bull 3x Shares

ProShares Ultra S&P 500

ProShares UltraPro S&P500

While the S&P500 is heading toward a bull market, following a 19.7% rally from the October 2022 lows, traders have raised their bearish bets on the index.

S&P 500 in Tug of War Between Bulls and Bears: ETFs in Play

Morgan Stanley's bearish outlook on the S&P 500 has raised concerns among investors.

Are You a Fan of Morgan Stanley? Inverse S&P 500 ETFs to Play

ProShares UltraPro Short S&P500 is a leveraged inverse ETF that aims to deliver triple the inverse return of the S&P 500 on a daily basis, making it suitable only for short-term speculators. Since its inception, SPXU's price has decreased by 99.96%, making it a dangerous vehicle to hold for the long term, but it can be used for hedging purposes if allocated correctly. KFA Mount Lucas Index Strategy ETF is a better alternative for long-term hedging, as it offers better risk-adjusted returns and lower volatility compared to SPXU.

SPXU: Speculators Only

iShares 20+ Year Treasury Bond ETF

The latest FX & Rates Survey from Bank of America reveals that bond investors are hunting for long-dated Treasuries, put options on the stock market, and long positions in the Japanese Yen (JPY) versus high-beta currencies to shield themselves from the dangers connected with the U.S. debt limit crisis.

Debt-Limit Standoff: 3 Favorite Hedges For Bond Investors Seeking Shelter From Crisis - iShares 20+ Year Treasury Bond ETF (NASDAQ:TLT)

When investors think of portfolio protection, they generally think of buying Put options which will go up in value as the security they bought the Put against, goes down. But if you get your timing wrong, your Put option can quickly erode and fall to zero depending on how far-out your expiration is and your strike-price.

Equity ETFs: For Portfolio Protection, SPXU Is A Better Alternative Than Put Options

SPXU is one of the choices to hedge an equity portfolio. It should be used by an experienced trader, day trader, or swing trader.

SPXU: An Option For Hedging Or Short Term Trading

Pro Shares exotic inverse leveraged ETF provides a useful tool for portfolio management. This is a synthetic tool used by traders to hedge our risk or take speculative directional bets.

SPXU: Good Tool For Portfolio Hedging

Direxion Daily S&P 500 High Beta Bear 3X Shares

‘Investors should never really touch' these funds, analyst says.

Risky ETFs Drawing Investors Amid Elusive Profits

ProShares Ultra QQQ

Direxion Daily Semiconductor Bull 3x Shares

iShares PHLX Semiconductor ETF

Direxion Daily Small Cap Bull 3x Shares

ProShares UltraPro QQQ

Vanguard S&P 500 ETF

LETF Decay costs have plateaued and are now on a downward trend. LETF decay costs bite hard in sideways and Bear markets.

October 2022 Leveraged ETF Decay Update: A Story In Charts

ProShares UltraPro Short S&P 500 'SPXU' is a leveraged inverse ETF. The ETF seeks daily investment results that correspond to three times the inverse (-3x) of the daily performance of the S&P 500.

SPXU: When Inverse ETFs Are Useful

JPMorgan BetaBuilders Europe ETF

Vanguard Total Bond Market ETF

SPDR Gold Trust

iShares iBoxx High Yield Corporate Bond ETF

SPDR Portfolio S&P 500 High Dividend ETF

Vanguard FTSE Developed Markets ETF

Financial Select Sector SPDR Fund

For the eighth straight month, mutual fund investors were net redeemers of fund assets, withdrawing $55.3 billion from conventional funds for August. Fixed income funds (+$1.9 billion) witnessed net inflows for the first month in nine, while money market funds (-$8.2 billion) suffered net redemptions for the first month in three.

Fund And ETF Investors Give World Equity Funds The Cold Shoulder In August

ProShares UltraShort Dow30

As traders readjust for a more bearish outlook in the wake of the Federal Reserve's hawkish stance, exchange traded fund investors could turn to inverse or short alternative strategies to hedge further market risks. For instance, traders funneled $154.

Bearish ETF Strategies to Hedge Against the Fed Outlook

ProShares Short Russell2000

The Dow Jones Industrial Average fell 640 points on Monday, marking its worst day since June.

Summer Rally Ended? Inverse ETFs to Tap

ProShares UltraShort Nasdaq Biotechnology

ProShares UltraShort Oil & Gas

ProShares Short MidCap400

ProShares UltraShort MidCap400

ProShares Short Real Estate

ProShares UltraShort Technology

ProShares UltraShort Health Care

ProShares Short SmallCap600

ProShares UltraShort Consumer Discretionary 

ProShares UltraShort SmallCap600

ProShares UltraShort Utilities

ProShares UltraShort Industrials

ProShares UltraShort Financials

ProShares UltraPro Short MidCap400

ProShares UltraShort Basic Materials

ProShares UltraShort Real Estate

ProShares UltraPro Short Russell2000

ProShares UltraShort Consumer Goods

We are bearish on all American bear market ETFs. Measuring the purchase levels of short ETFs replaces the old, odd lot and total short selling indicators so popular in the 1960s, 70s and 80s.

Purchase Levels Of 31 Short ETFs Signal Bear Market Bottom (Technical Analysis)

After a punishing first half of the year for the stock markets, traders continued to ramp up bets against equities. Exchange traded fund investors can also hedge against further market risks with bearish or inverse strategies.

Bearish ETF Strategies for a Pessimistic Outlook

The bearish trend is likely to continue if the past 150 years of stock market history is any guide.

Inverse S&P 500 ETFs to Bet on Bearish Trend

While U.S. equities enjoyed a strong rebound on Tuesday, short or bearish interest remains and financial strategists warned that more declines are likely with investors too complacent about the possibility of a recession. Meanwhile, traders could turn to inverse exchange traded fund strategies to hedge against further market pullbacks.

News for ProShares UltraPro Short S&P500 ETF (SPXU)