Direxion, the second-largest issuer of inverse and leveraged exchange traded funds, is adding to its growing lineup of geared ETFs today with the debut of four triple-leveraged funds.
Direxion is introducing the first triple-leveraged bullish and bearish homebuilders ETFs with the debuts of the Direxion Daily Homebuilders & Supplies 3x Bull Shares (NYSEArca: NAIL) and the Direxion Daily Homebuilders & Supplies 3x Bear Shares (NYSEArca: CLAW).
NAIL will seek to deliver three times the daily performance of the Dow Jones U.S. Select Home Construction Index while CLAW will attempt to deliver triple the daily inverse performance of that index. The Dow Jones U.S. Select Home Construction Index is the underlying benchmark for the iShares U.S. Home Construction ETF (NYSEArca: ITB), an ETF that has regularly been hitting new highs in recent weeks. [Homebuilders ETFs Surge]
In June, Direxion’s main rival, ProShares introduced the Ultra Homebuilders & Supplies (NYSEArca: HBU) and the UltraShort Homebuilders & Supplies (NYSEArca: HBZ). Both of those funds are double-leveraged.
Direxion is also introducing two triple-leveraged regional bank ETFs, the Direxion Daily Regional Banks 3x Bull Shares (NYSEArca: DPST) and the Direxion Daily Regional Banks 3x Bear Shares (NYSEArca: WDRW).
DPST, the bullish member of the pair, will attempt to deliver three times the daily performance of the Solactive US Regional Bank Index, while WDRW will seek to deliver triple the daily inverse returns of that index.
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