Comments on: The Riskiest ETFs on Earth – 3X Sector ETF Short/Long http://www.darwinsfinance.com/riskiest-etfs-earth-3x-returns/ Financial Evolution: Education, Adaptation, Achievement Mon, 15 Mar 2010 16:37:26 +0000 http://wordpress.org/?v=2.9.2 hourly 1 By: Biggest Gainer ETFs 1 Year Post Market Bottom http://www.darwinsfinance.com/riskiest-etfs-earth-3x-returns/comment-page-1/#comment-4750 Biggest Gainer ETFs 1 Year Post Market Bottom Wed, 10 Mar 2010 03:56:09 +0000 http://www.darwinsfinance.com/?p=553#comment-4750 [...] I selected several top performing ETFs from various sectors, countries and included leveraged ETFs as well.  Note that leveraged ETFs only perform well during a sustained trend like what we saw from the bottoms and over long periods of time with just mild or low volatility, they lose money on both the long and short side due to daily rebalancing decay (explained here in Leveraged ETF Decay) [...] [...] I selected several top performing ETFs from various sectors, countries and included leveraged ETFs as well.  Note that leveraged ETFs only perform well during a sustained trend like what we saw from the bottoms and over long periods of time with just mild or low volatility, they lose money on both the long and short side due to daily rebalancing decay (explained here in Leveraged ETF Decay) [...]

]]> By: Jean http://www.darwinsfinance.com/riskiest-etfs-earth-3x-returns/comment-page-1/#comment-4385 Jean Mon, 22 Feb 2010 18:31:28 +0000 http://www.darwinsfinance.com/?p=553#comment-4385 Tom - I guess you should have bought some EDC on the 9th instead of channeling your bitterness into rambling sarcasm. Tom – I guess you should have bought some EDC on the 9th instead of channeling your bitterness into rambling sarcasm.

]]> By: Tom http://www.darwinsfinance.com/riskiest-etfs-earth-3x-returns/comment-page-1/#comment-4371 Tom Mon, 22 Feb 2010 05:53:26 +0000 http://www.darwinsfinance.com/?p=553#comment-4371 I decided to cash in on leveraged ETF business too, its like printing money. So I am making my own super 4x leveraged ETF :) I can do this cause I am very good at options trading and make all kinds of spreads to do what ever I want. The new symbol is HOSE. I will give you my short layman's version prospectus to save us all time and clear up any confusion caused by lawyer talk. My new fund HOSE will be more volatility than Sponge Bob on crack. And like crackheads in general it will run all over the place and wind up going nowhere. Now when you want to sell your shares of HOSE like everybody else does its price will drop faster than Las Vegas home prices. HOSE will have a propensity to make big gaps down just before you thought it was time to sell. Now that you have the basics down to my new leveraged ETF gimme your money caused somebodies getting hosed and it an't me ;0) I decided to cash in on leveraged ETF business too, its like printing money. So I am making my own super 4x leveraged ETF :) I can do this cause I am very good at options trading and make all kinds of spreads to do what ever I want. The new symbol is HOSE. I will give you my short layman’s version prospectus to save us all time and clear up any confusion caused by lawyer talk. My new fund HOSE will be more volatility than Sponge Bob on crack. And like crackheads in general it will run all over the place and wind up going nowhere. Now when you want to sell your shares of HOSE like everybody else does its price will drop faster than Las Vegas home prices. HOSE will have a propensity to make big gaps down just before you thought it was time to sell. Now that you have the basics down to my new leveraged ETF gimme your money caused somebodies getting hosed and it an’t me ;0)

]]> By: Jean http://www.darwinsfinance.com/riskiest-etfs-earth-3x-returns/comment-page-1/#comment-4171 Jean Tue, 09 Feb 2010 18:21:47 +0000 http://www.darwinsfinance.com/?p=553#comment-4171 Would now be a good time to buy EDC ? I reckon it is ! Would now be a good time to buy EDC ? I reckon it is !

]]> By: Lee http://www.darwinsfinance.com/riskiest-etfs-earth-3x-returns/comment-page-1/#comment-3781 Lee Fri, 15 Jan 2010 17:28:22 +0000 http://www.darwinsfinance.com/?p=553#comment-3781 > Jan 2-Apr 3 2009. Just a few months right? XLF only lost 17%. UYG lost 43% and FAS lost 66%! If reference the wrong line in the previous post. use this one. > Jan 2-Apr 3 2009. Just a few months right? XLF only lost 17%. UYG lost 43% and FAS lost 66%!

If reference the wrong line in the previous post. use this one.

]]> By: Lee http://www.darwinsfinance.com/riskiest-etfs-earth-3x-returns/comment-page-1/#comment-3780 Lee Fri, 15 Jan 2010 17:23:26 +0000 http://www.darwinsfinance.com/?p=553#comment-3780 Darwin> You’d think a 2x and 3x might be roughly flat right? Or perhaps down just a bit due to fees/tracking error. Well, UYG is down 29% and FAS is down 58%. Lee> I would expect this since it move 3x that would be absolutely correct it move up 3x/2x and down 3x/2x. Yes I know about the daily reset. But it seems to me that is exactly what we want on the Long side FAS and UYG. Match the current days performance each day and over time, not just one small snap shot, it follows the trend up or down. The short side is just indexs and long side is index and stock and it seems to me that the fact FAS and UYG own stock makes it works out. The daily reset gets the true price of the stock on any given day. Thanks for the discussion. Darwin> You’d think a 2x and 3x might be roughly flat right? Or perhaps down just a bit due to fees/tracking error. Well, UYG is down 29% and FAS is down 58%.

Lee> I would expect this since it move 3x that would be absolutely correct it move up 3x/2x and down 3x/2x.

Yes I know about the daily reset. But it seems to me that is exactly what we want on the Long side FAS and UYG. Match the current days performance each day and over time, not just one small snap shot, it follows the trend up or down. The short side is just indexs and long side is index and stock and it seems to me that the fact FAS and UYG own stock makes it works out. The daily reset gets the true price of the stock on any given day. Thanks for the discussion.

]]> By: v http://www.darwinsfinance.com/riskiest-etfs-earth-3x-returns/comment-page-1/#comment-3778 v Fri, 15 Jan 2010 14:42:11 +0000 http://www.darwinsfinance.com/?p=553#comment-3778 Lee, To help you get your confusion over how could you lose money in FAS, I strongly recommend you to read thru' a simple example on pg. 3 of the prospectus for FAS here's the link: http://www.direxionshares.com/pdfs/DRX_prospectus.pdf hope it helps. Lee,
To help you get your confusion over how could you lose money in FAS, I strongly recommend you to read thru’ a simple example on pg. 3 of the prospectus for FAS
here’s the link:
http://www.direxionshares.com/pdfs/DRX_prospectus.pdf
hope it helps.

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