HDGE’s short position in Chipotle is 1.95% of the ETF’s portfolio, making it the fund’s 23rd-largest holding. Just behind Chipotle on HDGE’s roster is Netflix (NasdaqGS: NFLX), a position the ETF has held for some time. [Bear ETF Short Netflix]
HDGE’s advantages do not come cheap. “Shorting stocks is expensive. HDGE’s expense ratio is 1.65 percent of assets, and its total expenses add up to 3.29 percent of the amount an investor puts into it, charged annually. The fees can add up because HDGE has to pay interest and dividends when it borrows stocks to short,” reports Eric Balchunas for Bloomberg.
Other “glam stocks” sold short by HDGE include Zillow (NYSE: Z), Yelp (NYSE: YELP), Priceline (NasdaqGS: PCLN), Facebook (NasdaqGS: FB) and Amazon (NasdaqGS: AMZN).
AdvisorShares Ranger Equity Bear ETF
ETF Trends editorial team contributed to this post. Tom Lydon’s clients own shares of Facebook.