10X S&P 500 ETF (2024)

FAQs

Is there a 10X ETF? ›

10X S&P 500 ETF will seek to provide shareholders with an efficient and easily accessible means by which to achieve a return that tracks the price and yield performance of the S&P 500 Index.

What Does It Mean When an ETF Is Leveraged 3x? An ETF that is leveraged 3x seeks to return three times the return of the index or other benchmark that it tracks. A 3x S&P 500 index ETF, for instance, would return +3% if the S&P rose by 1%.

The Direxion Daily S&P 500^® Bull 2X Shares seeks daily investment results, before fees and expenses, of 200% of the performance of the S&P 500^® Index.

BMO has launched the first quadruple leveraged ETN fund that tracks the S&P 500. The fund will trade under the ticker symbol "XXXX" and seeks to generate four time the S&P 500's return on a daily basis. The launch come as bullishness rise among investors and Wall Street predicts more gains to come in 2024.

The 3X ETFs use “total return swaps” to create the leverage. These swaps are settled each day. If the index (in this case, the Russell 1000 Financial Index) goes up consistently, then there's a good chance that the total return of the ETF will approximate 300% of the return on the index.

SPY - Performance Comparison. In the year-to-date period, SPXL achieves a 28.58% return, which is significantly higher than SPY's 11.30% return. Over the past 10 years, SPXL has outperformed SPY with an annualized return of 23.22%, while SPY has yielded a comparatively lower 12.61% annualized return.

SPY - Volatility Comparison. ProShares Ultra S&P 500 (SSO) has a higher volatility of 6.04% compared to SPDR S&P 500 ETF (SPY) at 3.02%. This indicates that SSO's price experiences larger fluctuations and is considered to be riskier than SPY based on this measure.

Vanguard S&P offers a lower expense ratio (0.035%) than SPY (0.095%), which means lower costs for investors and potentially higher net returns over the long term. VOO might be the more economical choice for cost-conscious investors, especially those investing large sums or planning for long-term goals like retirement.

What are the top 5 ETFs to buy? ›

S&P tech stocks beaten the index over the past decade

The Technology Select Sector SPDR Fund gives investors exposure to the tech stocks that are part of the S&P 500. This includes the heavy hitters, such as Microsoft, Apple, Nvidia, as well as many others.

Market risk

The single biggest risk in ETFs is market risk. Like a mutual fund or a closed-end fund, ETFs are only an investment vehicle—a wrapper for their underlying investment. So if you buy an S&P 500 ETF and the S&P 500 goes down 50%, nothing about how cheap, tax efficient, or transparent an ETF is will help you.

Experts agree that for most personal investors, a portfolio comprising 5 to 10 ETFs is perfect in terms of diversification. But the number of ETFs is not what you should be looking at.

VOO has a consensus rating of Moderate Buy which is based on 406 buy ratings, 91 hold ratings and 7 sell ratings. What is VOO's price target? The average price target for VOO is $544.87. This is based on 504 Wall Streets Analysts 12-month price targets, issued in the past 3 months.

ProShares Ultra QQQ seeks daily investment results, before fees and expenses, that correspond to two times (2x) the daily performance of the Nasdaq-100 Index^®.

ProShares UltraPro QQQ is the most popular and liquid ETF in the leveraged space, with AUM of $21.9 billion and an average daily volume of 67.3 million shares a day.

This 10x is used to convey the return in the stock market. Suppose you brought stock for 100 and now its 1000 you say stock gave me 10x returns. Simply refers to multibaggers.