Top Performing Leveraged/Inverse ETFs: 01/28/2024

These were last week’s top performing leveraged and inverse ETFs. Note that because of leverage, these kinds of funds can move quickly. Always do your homework.

MSOX, which seeks to achieve 2x the total daily return of the AdvisorShares Pure US Cannabis ETF (MSOS) through swap agreements, topped the list with a ~16.8% weekly return, as the US cannabis companies are experiencing a surge in optimism due to the potential reclassification of cannabis to Schedule III, which could open up new markets and opportunities, and the possible repeal of the 280E tax, which would significantly reduce their tax burden.

2. NRGU – MicroSectors U.S. Big Oil Index 3X Leveraged ETN

NRGU, which tracks three times the performance of an index of US oil and gas companies, was present on the weekly list of top-performing leveraged/ inverse ETFs returning ~17% as oil prices increased on the back of severe winter weather which caused a drastic drop in domestic production, strong US economic growth, and disrupted global trade under Red Sea tensions.

3. WTIU – MicroSectors Energy 3X Leveraged ETNs

WTIU, an exchange-traded note that tracks 3x of the daily price movements of an index of US-listed energy and oil companies, was another top-performing leveraged ETF last week. Energy was the second best-performing sector gaining by ~4.6% in the last five days.

4. OILU – MicroSectors Oil & Gas Exp. & Prod. 3x Leveraged ETN

OILU, which provides 3x daily leveraged exposure to a tier-weighted index of US firms involved in oil and gas exploration and production, made it on the list with ~14.7% weekly gains. The oil, gas, and consumable fuels segment gained by around 5% in the last five days. Oil prices gained over increasing tensions in the Red Sea and a drop in domestic production.

5. TSLQ – AXS TSLA Bear Daily ETF

TSLQ provides inverse exposure to the daily price movement for shares of Tesla stock, ranked among the inverse ETFs with over 14% weekly returns, as Tesla shares slumped after underwhelming revenue and 2024 growth caution.

6. TSLS – Direxion Daily TSLA Bear 1X Shares

Another Tesla-focused inverse fund, TSLS, provides inverse exposure to the daily price movement for shares of Tesla stock, featured on the list with over 14% weekly gains.

7. BABX – GraniteShares 1.75x Long BABA Daily ETF

BABX provides 1.75x leveraged exposure to the daily price movement for shares of Alibaba Group Holding Limited stock. The stock gained after Alibaba’s founder and Chairman bought shares in recent months and as the Chinese government plans to implement a series of measures to stabilize the stock market, which has recently suffered significant losses.

8. YINN – Direxion Daily FTSE China Bull 3X Shares

YINN seeks daily investment results of 300% of the performance of the FTSE China 50 Index featured on the list, returning 11%+ in the last week on the Chinese government’s measures to boost the slowing stock market.

9. UCO – ProShares Ultra Bloomberg Crude Oil

UCO, which offers 2x daily leverage to an index that consists of crude oil futures contracts, was another oil-focused best-performing fund on the list with 11.5% weekly gains.

10. DIG – ProShares Ultra Oil & Gas

DIG, ProShares Ultra Oil & Gas ETF that offers 2x daily long leverage to the Dow Jones U.S. Oil & Gas Index was one of the top-performing ETFs with over 10% weekly gains on rising energy prices.

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