“SBND allows the portfolio manager to participate in gains if the long bond falls in value (yields rise), on a three-times leveraged, monthly compounded methodology whereas TBT offers two-times leverage but on a daily compounded basis,” Weisbruch said.
“With this said, those who are looking to minimize the affects of daily volatility and potentially being whipsawed which would affect overall returns, may look to SBND to achieve these objectives (due to the monthly reset component),” he added.
ProShares UltraShort 20+ Year Treasury
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