Weekly Channel Summary
The Leveraged & Inverse ETF channel, comprising 459 ETFs from 25 issuers, currently holds a total of $156 billion in Assets Under Management (AUM). The channel experienced significant positive flows this past week, attracting a net total of $1.83 billion. Year-to-date, the channel has seen net inflows of $790 million, while the trailing one-year period shows a more substantial net inflow of $4.12 billion, indicating sustained investor interest over the longer term.
This Week’s Performance Leaders and Laggards
This week saw a strong performance from commodity-focused funds, with the Precious Metals category leading all segments with an average Week-to-Date (WTD) return of 5.50%. On the other end of the spectrum, the Digital Asset category faced significant headwinds, lagging all others with an average WTD return of -8.70% as cryptocurrencies saw a downturn.
Category Performance Snapshot
The table below breaks down the week-to-date performance of each category by its corresponding levered and inverse ETF implementations.
| Category | Levered: 2x | Levered: 3x | Levered: 4x | Inverse: 1x | Inverse: 2x | Inverse: 3x |
|---|---|---|---|---|---|---|
| Commodity: Focused – Agriculture | 3.39% | |||||
| Commodity: Focused – Energy | -2.89% | 2.64% | ||||
| Commodity: Focused – Industrial Metals | 2.87% | |||||
| Commodity: Focused – Precious Metals | 11.09% | 15.96% | -12.05% | -15.39% | ||
| Digital Asset: Cryptocurrency – Bitcoin | -18.46% | 6.58% | 13.73% | |||
| Equity: Emerging Large Cap | 8.60% | 12.85% | -4.12% | -8.28% | -12.32% | |
| Equity: Global Ex-U.S. Large Cap – Blend | 4.86% | -2.30% | -4.62% | |||
| Equity: Region – Asia-Pacific | 9.35% | 30.42% | -8.66% | |||
| Equity: Region – Asia-Pacific Emerging | 7.73% | 9.69% | -4.16% | -8.33% | -12.36% | |
| Equity: Region – Eurozone | 4.03% | 5.98% | -3.85% | |||
| Equity: Region – Latin America | 6.35% | 6.99% | -6.07% | |||
| Equity: Sector – Communication Services | 3.65% | |||||
| Equity: Sector – Consumer Discretionary | 4.82% | 9.23% | -4.48% | -4.75% | ||
| Equity: Sector – Consumer Staples | 3.98% | -3.92% | ||||
| Equity: Sector – Financials | -0.15% | -0.83% | -0.01% | 0.92% | -3.43% | |
| Equity: Sector – Health Care | 3.23% | 5.01% | -3.08% | -7.93% | ||
| Equity: Sector – Industrial | 2.27% | 4.90% | -2.23% | -7.93% | ||
| Equity: Sector – Information Technology | 5.33% | 12.21% | -5.74% | -12.44% | ||
| Equity: Sector – Materials | 2.19% | -2.20% | ||||
| Equity: Sector – Real Estate | 6.59% | 9.92% | -3.11% | -6.23% | -9.24% | |
| Equity: Sector – Utilities | 2.93% | 4.31% | -2.91% | |||
| Equity: Thematic – Disruptive Tech | 2.39% | 6.70% | -2.24% | -2.62% | -7.39% | |
| Equity: U.S. Large Cap – Blend | 2.83% | 6.15% | 6.33% | -1.61% | -3.10% | -6.11% |
| Equity: U.S. Large Cap – Growth | 3.13% | 7.18% | -2.35% | -4.48% | -7.15% | |
| Equity: U.S. Small Cap – Blend | 4.86% | 6.17% | -2.37% | -4.85% | -6.94% | |
| Fixed Income: Taxable – Government Intermediate | 0.88% | 1.27% | -0.35% | -0.76% | -1.17% | |
| Fixed Income: Taxable – Government Long | -0.27% | 1.70% | -0.55% | -1.15% | -1.63% | |
| Fixed Income: Taxable – High Yield | 0.51% | |||||
| Fixed Income: Taxable – Preferred Stock | 1.23% |
Top & Bottom 5 ETFs by Weekly Performance
The week’s top individual performer was the KORU (Direxion MSCI Daily South Korea Bull 3X Shares), which surged by an impressive 30.42%. In contrast, the biggest laggards were funds offering levered exposure to XRP, with the XXRP (Teucrium 2x Long Daily XRP ETF) and UXRP (ProShares Ultra XRP ETF) plummeting -27.25% and -27.22% respectively.
| Ticker | Fund Name | WTD Performance |
|---|---|---|
| Top Performers | ||
| KORU | Direxion MSCI Daily South Korea Bull 3X Shares | 30.42% |
| BTCZ | T-Rex 2X Inverse Bitcoin Daily Target ETF | 22.42% |
| SBIT | ProShares UltraShort Bitcoin ETF | 19.43% |
| SOXL | Direxion Daily Semiconductor Bull 3x Shares | 17.74% |
| SHNY | MicroSectors Gold 3X Leveraged ETNs | 15.96% |
| Bottom Performers | ||
| XXRP | Teucrium 2x Long Daily XRP ETF | -27.25% |
| UXRP | ProShares Ultra XRP ETF | -27.22% |
| XRPT | Volatility Shares Trust XRP 2X ETF | -27.17% |
| SOLT | 2x Solana ETF | -22.44% |
| SLON | ProShares Ultra Solana ETF | -22.43% |
Analyzing the Weekly Flows
The Leveraged & Inverse channel saw a strong week of net inflows totaling $1.83 billion. The Crypto category was the primary beneficiary, pulling in an impressive $894 million. This category now holds just over $8 billion in total AUM. Equity-focused funds also saw significant interest, gathering $385 million in new assets. On the other hand, the Fixed Income category experienced the largest outflows, with investors withdrawing a net of $107 million.
Category Flows Summary
| Category | Fund Count | AUM | 5 Day | 30 Day | 90 Day | YTD | 1 Year |
|---|---|---|---|---|---|---|---|
| Leverage | Inverse – Crypto | 18 | $8,025M | $894M | $1,599M | $2,353M | $3,369M | $4,700M |
| Leverage | Inverse – Equity | 185 | $109,423M | $385M | ($2,100M) | ($10,821M) | ($8,166M) | ($10,219M) |
| Leverage | Inverse – Commodity | 18 | $4,319M | $339M | $361M | $693M | $866M | $770M |
| Leverage | Inverse – Single Stock | 217 | $28,607M | $320M | $899M | ($121M) | $5,686M | $9,529M |
| Leverage | Inverse – Fixed Income | 14 | $5,635M | ($107M) | ($450M) | ($997M) | ($972M) | ($672M) |
Top & Bottom 5 ETFs by 5-Day Flow
Leading the individual inflow chart was the TQQQ (ProShares UltraPro QQQ), which single-handedly brought in $768 million. On the outflows side, inverse equity products saw the largest redemptions, with SQQQ (ProShares UltraPro Short QQQ) losing $450 million and SSO (ProShares Ultra S&P 500) seeing outflows of $398 million.
| Ticker | Fund Name | 5-Day Flow |
|---|---|---|
| Inflows | ||
| TQQQ | ProShares UltraPro QQQ | $768M |
| ETHU | 2x Ether ETF | $469M |
| SOXL | Direxion Daily Semiconductor Bull 3x Shares | $368M |
| FAS | Direxion Daily Financial Bull 3x Shares | $228M |
| BOIL | ProShares Ultra Bloomberg Natural Gas | $208M |
| Outflows | ||
| SQQQ | ProShares UltraPro Short QQQ | ($450M) |
| SSO | ProShares Ultra S&P 500 | ($398M) |
| TMF | Direxion Daily 20+ Year Treasury Bull 3X Shares | ($139M) |
| SH | ProShares Short S&P500 | ($114M) |
| SOXS | Direxion Daily Semiconductor Bear 3x Shares | ($77M) |
Issuer League Table Update
ProShares continues to lead the issuer landscape, commanding 43.94% of the market share, closely followed by Direxion with 35.12%. In terms of weekly asset gathering, Direxion had a standout week, attracting the most inflows with a net positive of $840 million. While the top issuers saw inflows, Defiance experienced the most significant outflows among all issuers, with a net withdrawal of $429 million.
Top 5 Issuers by AUM
| Brand | Fund Count | AUM | AUM Market Share |
|---|---|---|---|
| ProShares | 107 | $68.56B | 43.94% |
| Direxion | 117 | $54.80B | 35.12% |
| GraniteShares | 36 | $8.53B | 5.47% |
| REX Microsectors | 19 | $7.90B | 5.07% |
| Volatility Shares | 6 | $5.59B | 3.58% |
Top & Bottom 3 Issuers by 5-Day Flow
| Brand | 5-Day Flow |
|---|---|
| Inflows | |
| Direxion | $840M |
| Volatility Shares | $776M |
| GraniteShares | $218M |
| Outflows | |
| Defiance | -$429M |
| CoinShares | -$1M |
| Roundhill | -$1M |
For a deeper dive into these trends, access our FREE, in-depth Thematic ETF reports in the right side panel of this page.
Disclosures
This material is for informational purposes only and should not be considered investment advice. All investments, including ETFs, involve risk, including the possible loss of principal. Investors should consider their investment objectives, risks, charges, and expenses carefully before investing.
This analysis was developed by the team at ETF Action. We leverage advanced AI tools to assist in the drafting and refinement of our content, based on our expert prompts, direction, and final review.
