Ah, now we can have a bull move. These markets crashed
without you as usual. -g-
USO is the ETF for WTI crude, not leveraged.
DXO is double long crude, here is the profile. It will rise
twice faster than oil, so if oil goes up 1% a day, this should
go up 2%, and vice versa. It does not work over long run -
volatility kills all leveraged ETF/ETN. Without that if
oil rose, say, 50%, DXO would rise 125% (x^2), but it does
not work that way - leveraged ETFs suck long term, and
triple leveraged ETFs can only be shorted in this
volatility -g-
Profile (from yahoo)
The investment seeks to track the price and yield performance,
before fees and expenses, 200% of the daily return of the
Deutsche Bank Liquid Commodity index - Optimum Yield Oil Excess
Return. The fund allows investors to take a leveraged view on
the performance of crude oil. The index is a rules-based index
composed of futures contracts on light sweet crude oil (WTI) and
is intended to reflect the performance of crude oil. |
