Weekly Channel Summary
The Leverage | Inverse ETF channel, comprising 561 products from 24 issuers, currently manages $159B in total assets under management (AUM). This past week saw significant aggregate outflows of -$3.52B, exacerbating a broader negative trend that has pulled year-to-date (YTD) flows down to -$7.51B and 1-year flows to -$20.92B.
This Week’s Performance Leaders and Laggards
There was considerable dispersion in returns across the channel this week, with volatile commodity and tech segments heavily outperforming. The “Commodity: Focused – Energy” category led the way with a massive +12.13% gain. Tech-focused funds also showed strength, as “Equity: Thematic – Disruptive Tech” and “Equity: Sector – Information Technology” climbed +6.46% and +3.85%, respectively. Conversely, “Equity: Thematic – Precious Metals” lagged significantly, dropping -6.19%, followed closely by “Equity: Thematic – Natural Resources” at -5.36%.
Top & Bottom 5 ETFs by Weekly Performance
The single best-performing ETF was SOXL (Direxion Daily Semiconductor Bull 3X ETF), surging an impressive +35.46% for the week. On the downside, the two worst-performing ETFs were SOXS (Direxion Daily Semiconductor Bear 3X ETF) and QPUX (Defiance 2X Daily Long Pure Quantum ETF), which plummeted -28.31% and -22.73% respectively.
| Ticker | Fund Name | WTD Performance |
|---|---|---|
| Top Performers | ||
| SOXL | Direxion Daily Semiconductor Bull 3X ETF | 35.46% |
| MSOX | AdvisorShares MSOS Daily Leveraged ETF | 24.39% |
| GDXD | MicroSectors Gold Miners -3X Inverse Leveraged ETNs | 17.62% |
| FLYD | MicroSectors Travel -3x Inverse Leveraged ETN | 17.40% |
| JETD | MAX Airlines -3X Inverse Leveraged ETNs | 16.73% |
| Bottom Performers | ||
| SOXS | Direxion Daily Semiconductor Bear 3X ETF | -28.31% |
| QPUX | Defiance 2X Daily Long Pure Quantum ETF | -22.73% |
| DFEN | Direxion Daily Aerospace & Defense Bull 3X ETF | -20.31% |
| GDXU | MicroSectors Gold Miners 3X Leveraged ETN | -19.57% |
| FLYU | MicroSectors Travel 3x Leveraged ETN | -16.10% |
Analyzing the Weekly Flows
Analyzing the weekly flows, the entire channel experienced a total net outflow of -$3,517M. Despite the broader drag, the “Leverage | Inverse – Crypto” category attracted the most net new money with $99M in inflows against a total AUM of $4,157M. The “Leverage | Inverse – Commodity” category also saw positive investor interest, gathering $46M. Conversely, the vast majority of the selling pressure hit the “Leverage | Inverse – Equity” category, which bled a staggering -$2,970M.
Category Flows Summary
| Category | Fund Count | AUM | 5 Day Flow | 30 Day Flow | 90 Day Flow | YTD Flow | 1 Year Flow |
|---|---|---|---|---|---|---|---|
| Leverage | Inverse – Crypto | 24 | $4,157M | $99M | $324M | $1,163M | $1,168M | $5,142M |
| Leverage | Inverse – Commodity | 16 | $5,646M | $46M | -$116M | $1,624M | $2,244M | $3,107M |
| Leverage | Inverse – Fixed Income | 15 | $3,586M | -$56M | -$315M | -$729M | -$997M | -$1,863M |
| Leverage | Inverse – Single Stock | 311 | $29,417M | -$635M | -$1,345M | $2,744M | $2,737M | $5,642M |
| Leverage | Inverse – Equity | 192 | $116,042M | -$2,970M | -$7,786M | -$7,180M | -$12,676M | -$32,963M |
| Grand Total | 558 | $158,848M | -$3,517M | -$9,238M | -$2,377M | -$7,524M | -$20,936M |
Top & Bottom 5 ETFs by 5-Day Flow
The top ETF for inflows by absolute dollar amount was SOXS (Direxion Daily Semiconductor Bear 3X ETF), hauling in a substantial $542M as investors positioned defensively in the semiconductor sector. Alternatively, SOXL (Direxion Daily Semiconductor Bull 3X ETF) and TQQQ (ProShares UltraPro QQQ) experienced massive liquidations, leading the outflows with -$1,576M and -$1,494M, respectively.
| Ticker | Fund Name | 5-Day Flow |
|---|---|---|
| Inflows | ||
| SOXS | Direxion Daily Semiconductor Bear 3X ETF | $542M |
| SQQQ | ProShares UltraPro Short QQQ | $239M |
| SCO | ProShares UltraShort Bloomberg Crude Oil | $109M |
| QLD | ProShares Ultra QQQ | $104M |
| SH | ProShares Short S&P500 | $73M |
| Outflows | ||
| SOXL | Direxion Daily Semiconductor Bull 3X ETF | -$1,576M |
| TQQQ | ProShares UltraPro QQQ | -$1,494M |
| UPRO | ProShares UltraPro S&P500 | -$204M |
| TECL | Direxion Daily Technology Bull 3X ETF | -$163M |
| PSQ | ProShares Short QQQ | -$146M |
Issuer League Table Update
ProShares maintains its commanding lead in the channel, securing the #1 spot with a 46.52% market share, followed by Direxion with 34.81%. Over the last week, Defiance led all issuers by capturing $112M in net inflows. In contrast, Direxion bore the brunt of the capital flight, posting the channel’s largest weekly outflows at -$1,569M.
Top 5 Issuers by AUM
| Brand | Fund Count | AUM | AUM Market Share |
|---|---|---|---|
| ProShares | 107 | $73.90B | 46.52% |
| Direxion | 118 | $55.30B | 34.81% |
| GraniteShares | 39 | $7.66B | 4.82% |
| REX Microsectors | 19 | $7.18B | 4.52% |
| Tradr | 57 | $4.00B | 2.52% |
Top & Bottom 3 Issuers by 5-Day Flow
| Brand | 5-Day Flow |
|---|---|
| Inflows | |
| Defiance | $112M |
| Volatility Shares | $51M |
| T-Rex | $32M |
| Outflows | |
| Direxion | -$1,569M |
| ProShares | -$1,504M |
| Tradr | -$470M |
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.
