Currency traders may now hedge their positions with the new ProShares leveraged and inverse Australian dollar exchange traded funds.

According to a press release, the ProShares Ultra Australian Dollar (NYSEArca: GDAY) and ProShares UltraShort Australian Dollar (NYSEArca: CROC) began trading Thursday, July 19.

GDAY tries to reflect twice, or 200%, the daily performance of the U.S. dollar price of the Australian dollar by holding AUD/US dollar futures. The ETF has an expense ratio of 0.95%.

CROC tries to reflect twice the inverse, or -200%, the daily performance of the U.S. dollar price of the Australian dollar by holding AUD/US dollar futures. The ETF has an expense ratio of 0.95%.

It should be noted that as leveraged or “geared” products, the two funds are meant to reflect their stated objective for a single trading day. Additionally, due to compounding issues, the returns over periods of more than one day may differ from the target return, and the divergences may be even more pronounced over periods of extreme volatility.

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