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Strategies & Market Trends : Value Investing -- Ignore unavailable to you. Want to Upgrade?

To: Spekulatius who wrote (44315)	9/12/2011 2:10:45 AM
From: Dr. Ipsofacto	Read Replies (1) \| Respond to of 78770

Thank you all for the responses. You're all right... Expenses, volatility, daily compounding all make these leveraged vehicles less appealing. I guess what I'm really trying to do is juice up my bet over the long term i.e. my lifetime without having to micromanage my portfolio. Historically, picking a thirty year period of the CAGR of the S&P500 gets me fired up (http://www.moneychimp.com/features/market_cagr.htm)... as long as I ignore the possibility of "japanese style long term doldrums". I guess I was just looking for a easy way to "2x" those returns. In my ignorance (or naivete) I'd never really considered using margin. I just have an aversion to margin which comes from sweeping judgements about the dangers from the likes of the Oracle of Omaha. Here's a great case against leveraged ETFs for those interested: investopedia.com