What is the ProShares ultra Vix short-term futures ETF (uvxy)?

The ProShares Ultra VIX Short Term Futures ETF (UVXY) is a great product for traders looking to both speculate and hedge on short-term volatility. Unlike most volatility products, UVXY provides 1.5x leveraged exposure to the daily performance of the S&P 500 VIX Short-Term Futures Index. Worth noting here is the word “daily.”

What is uvxy ETF?

UVXY is the ticker symbol for the Ultra VIX Short-Term Futures ETF, a type of Exchange Traded Fund (ETF) that uses leverage and tracks short-term volatility. What Does UVXY Track? How Long Can You Hold UVXY? What Is The Opposite Of UVXY? An ETF is simply a collection of securities (e.g. stocks) that track an underlying strategy.

Is uvxy a good investment?

But remember, UVXY is not a casual paddleboat ride in the park. It’s a leveraged fund, meaning it aims to deliver 1.5 times the daily performance of the S&P 500 VIX Short-Term Futures Index. This multiplier effect can amplify gains when volatility rises, but it can also magnify losses when volatility falls.

What is uvxy & how does it work?

Instead UVXY is 1.5x leveraged meaning that its results (before fees and expenses) correspond to one and one-half times the performance of the S&P 500 VIX short-term futures index. It is designed for investors who want to gain exposure to stock market volatility via the futures market. So how does UVXY work?