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ETFs that allow investors to make big bets on market moves are gaining in popularity

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Summary
Nutrition label

72% Informative

Leveraged/inverse ETFs amplify the daily returns of an index or stock using financial derivatives.

They are becoming a greater part of the daily trading volume of the ETF universe.

Largest leveraged and inverse single-stock ETFs (assets under management) are ProSharesUltraPro QQQ.

Five of the top 20 largest leveraged/inverse ETFs by average daily dollar volume in the last three months .

The fifth -largest is the ProSharesUltraProPro QQQ, which provides three times leveraged exposure to the Nasdaq 100.

Leveraged products are bets on short-term momentum, but reset on a daily basis.

Holding a 2x leveraged product for more than a day may result in less than a 2X return.

VR Score

78

Informative language

81

Neutral language

50

Article tone

formal

Language

English

Language complexity

39

Offensive language

not offensive

Hate speech

not hateful

Attention-grabbing headline

not detected

Known propaganda techniques

not detected

Time-value

medium-lived

External references

no external sources

Source diversity

no sources

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