Leveraged Equity ETFs Draw Over $700M as Traders Target Tech and Semiconductors

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Weekly Channel Summary

The Leverage & Inverse channel encompasses 778 ETFs from 25 issuers, with total assets under management standing at $179.4 billion. This week, the channel attracted net inflows of $770 million, contributing to a year-to-date total of $5.6 billion. Over the past twelve months, these tactical products have gathered a net $1.2 billion from investors.

This Week’s Performance Leaders and Laggards

Commodity-focused products led performance this week, with the Leverage | Inverse – Commodity category gaining 2.22%. On the other end of the spectrum, Leverage | Inverse – Fixed Income funds struggled, posting an average weekly loss of -2.78%. Despite a minor dip this week, the Leverage | Inverse – Single Stock category remains the standout performer year-to-date, with a remarkable gain of 119.63%.

Top & Bottom 5 ETFs by Weekly Performance

It was a strong week for gold miner bulls, as the MicroSectors Gold Miners 3X Leveraged ETN (GDXU) surged 15.75% to become the top-performing fund. Conversely, its inverse counterpart, the MicroSectors Gold Miners -3X Inverse Leveraged ETNs (GDXD), was the worst performer with a loss of -17.63%. Another notable gainer was the Direxion Daily Dow Jones Internet Bear 3X ETF (WEBS), which climbed 12.56% amid weakness in internet stocks.

Ticker Fund Name WTD Performance
Top Performers
GDXU MicroSectors Gold Miners 3X Leveraged ETN 15.75%
COPZ Defiance Daily Target 2X Long Copper Miners ETF 12.68%
WEBS Direxion Daily Dow Jones Internet Bear 3X ETF 12.56%
DFEN Direxion Daily Aerospace & Defense Bull 3X ETF 12.29%
OILU MicroSectors Oil & Gas Exp. & Prod. 3x Leveraged ETN 12.08%
Bottom Performers
GDXD MicroSectors Gold Miners -3X Inverse Leveraged ETNs -17.63%
WANT Direxion Daily Consumer Discretionary Bull 3X ETF -15.62%
JDST Direxion Daily Junior Gold Miners Index Bear 2X ETF -12.31%
CARU MAX Auto Industry 3X Leveraged ETN -11.95%
WEBL Direxion Daily Dow Jones Internet Bull 3X ETF -11.85%

Analyzing the Weekly Flows

The channel recorded net inflows of $770 million, with demand heavily concentrated in a single category. Leverage | Inverse – Equity funds were the primary driver, attracting $739 million in new assets. Meanwhile, Leverage | Inverse – Single Stock funds experienced the largest net redemptions, shedding $55 million over the period.

Category Flows Summary

Category Fund Count AUM 5 Day 30 Day 90 Day YTD 1 Year
Leverage | Inverse – Equity 229 $132.43B $739M $6,006M -$1,335M -$14,012M -$27,600M
Leverage | Inverse – Fixed Income 15 $3.09B $86M $146M -$239M -$1,235M -$2,695M
Leverage | Inverse – Commodity 22 $4.04B $25M $9M $3,354M $5,600M $6,392M
Leverage | Inverse – Crypto 28 $3.07B -$25M -$64M $184M $1,350M $4,856M
Leverage | Inverse – Single Stock 483 $36.72B -$55M $417M $11,138M $13,875M $20,204M

Top & Bottom 5 ETFs by 5-Day Flow

The Direxion Daily Semiconductor Bull 3X ETF (SOXL) was the week’s most popular fund, pulling in $562 million in fresh capital. In contrast, significant outflows were seen from single-stock products, with the Tradr 2X Long SNDK Daily ETF (SNXX) losing $220 million. The Direxion Daily MU Bull 2X ETF (MUU) also faced heavy redemptions, with outflows totaling $207 million.

Ticker Fund Name 5-Day Flow
Inflows
SOXL Direxion Daily Semiconductor Bull 3X ETF $562M
TSLL Direxion Daily TSLA Bull 2X ETF $486M
TQQQ ProShares UltraPro QQQ $182M
GGLL Direxion Daily GOOGL Bull 2X ETF $118M
PSQ ProShares Short QQQ $91M
Outflows
SNXX Tradr 2X Long SNDK Daily ETF -$220M
MUU Direxion Daily MU Bull 2X ETF -$207M
NVDL GraniteShares 2x Long NVDA Daily ETF -$207M
SSO ProShares Ultra S&P 500 -$107M
MSFU Direxion Daily MSFT Bull 2X ETF -$57M

Note: the following fund(s) were excluded from the flow totals above because the weekly flow exceeds 75% of the fund’s AUM and may be the result of a custom rebalance: SKHU ($62M).

Issuer League Table Update

The issuer landscape remains highly concentrated, with ProShares (44.6% share) and Direxion (36.8% share) controlling the vast majority of assets. Direxion was the clear winner in the weekly flows race, attracting a substantial $938 million in net inflows. On the other hand, Tradr experienced the largest net outflows among issuers, with investors pulling $188 million from its funds.

Top 5 Issuers by AUM

Brand Fund Count AUM AUM Market Share
ProShares 112 $79.98B 44.58%
Direxion 124 $66.08B 36.83%
GraniteShares 44 $9.26B 5.16%
REX Microsectors 21 $7.20B 4.01%
Tradr 74 $5.84B 3.25%

Top & Bottom 3 Issuers by 5-Day Flow

Brand 5-Day Flow
Inflows
Direxion $938M
ProShares $163M
Leverage Shares $22M
Outflows
Tradr -$188M
GraniteShares -$131M
Roundhill -$34M

For a deeper dive into these trends, access our FREE, in-depth Leverage & Inverse 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.