News

Law

Asset Management

Investment Banking

Wealth

Hedge Funds

People

Newsletters

Events

Lists

Leveraged ETFs deliver fewer surprises in calm markets

Their longer-term performance tracks indexes more closely when stocks are less volatile

The quiet that has enveloped the stock market in recent months has been a boon to a much-criticised corner of the fund world: exchange-traded index funds that use leverage.

These ETFs pledge to deliver twice or three times the returns of an index on a daily basis, or to move in the opposite direction by that magnification.

WSJ Logo