Buy and hold sso Since this ETF offers 2X the returns of the S&P 500, when the index 5 days ago · Investors should note that SSO’s leverage resets on a daily basis, which results in compounding of returns when held for multiple periods. ProShares now offers one of the largest lineups of ETFs, with over $60 billion in assets. 67% UPRO + cash or similar like ibonds is better than 100% SSO for the reasons you stated, fees. com it says that ProShares Ultra S&P 500 (SSO) is not a buy-and-hold ETF. In the analytics insight section of ETF. I am just trying to show how inefficient it would be to hold 100% SSO. A majority QLD + SSO portfolio while young has proven highly successful, meaning leverage while young turns out much better results. For Buy-Low-then-HOLD and DCA-Down investors = no problemo Jose as 2xSSO is now making 702% from Jan2008 vs. To define SSO SSO provides 2x leveraged exposure to a market-cap-weighted index of 500 large- and mid-cap US companies selected by S&P. Jul 11, 2024 · The fund is designed to deliver returns linked to a daily goal. If you bought in 2007 when SSO came out you would have smoked the unleveraged S&P 500. Let’s call this nest egg. SSO would do amazingly. Over longer periods, returns can vary significantly from its headline 2x target returns. As you get older, you dial back the leverage. Mar 20, 2024 · I’ll hold for a few days or several weeks or even several months depending on how I feel and how large my position is. Like many levered funds, it delivers its 2x exposure only over a one-day holding period. Eg the ideal multi decade buy and hold S&P, if you can handle the drawdown, is 2. " Well, if you had bought TQQQ in 2011 and held until December 2021 you would have over $100,000. Longer-term returns if you buy and hold these assets are certainly related to the returns of the index, but the precise relationship is highly nontrivial and depends on details of how the fund is managed that the buyer cannot observe directly - see this paper for a stochastic differential equation which models the relationship. How can you argue with the charts? look at the results! Jun 29, 2021 · SSO provides daily rebalanced 2x leverage on the S&P 500 but suffers from volatility decay when held for long periods of time and has a high expense ratio. However, investors who know what they are doing might buy and hold SSO shares for substantial periods, as long as their risk For years people on subs like this one and others similar subs have said "do not hold TQQQ long term. However, that doesn’t necessarily mean you’ll have unsatisfactory results if you use them that way and you’re living proof. I knew that employing a 200-day moving average strategy on leveraged ETFs is generally favorable, but I was surprised to find that the performance of SSO/UPRO from October 1928 to December 2020 surpassed that of a buy-and-hold approach. 6x leverage. See the data below on 5 year returns. UPRO has major issues in trying to make 3x long term so the risk tolerance for such an investment doesn't even make financial risk sense. Using deep in the money, long-dated Dec 26, 2014 · Using leveraged 2x (double) and 3x (triple) ETFs (NYSEARCA:SPXL) as buy-and-hold long-term investing vehicles isn’t how they were built to be used. The company is a leader in strategies such as crypto-linked, dividend growth, interest rate hedged bond and geared (leveraged and inverse) ETF investing. Scenario A: VOO doubles over the next ten years with zero volatility, just a steady climb. As a levered product, SSO is not a buy-and-hold ETF, it's a short-term tactical instrument. Sure, nobody can probably predict when to buy or sell. Feb 15, 2013 · These warnings that "buy and hold leveraged ETFs are dangerous" have been disproved by the charts. If you want an unhedged, single ticker, set and forget strategy for a 20+ year retirement type hold, SSO (and QLD) is a great option. If one wants to maximize risk-adjusted returns, then 100% bonds is better than 100% VTI or VOO. 2. Read lifecycle investing, amazing book Nov 9, 2022 · The three right-most scenarios SSO-buy-and-hold, SSO-basic-fixed, and SSO-basic-dynamic have the highest MDD, which is the outcome that we’re trying to avoid from the beginning. For the record, I am not recommending the portfolio. Yet, there have been moments of greatness peppered in. Accelerated Intelligence. I swing trade tqqq and FNGU based on spy & qqq technical indicators: macd, mfi, moving averages,marubozo candlewith good volume, etc. You also get more control. UPRO — ProShares UltraPro S&P500 The Hidden Risks of ‘Buy and Hold’ Everyone Ignores. But it is that faith in the idea that the market goes up in the long run that intrigues me about throwing some play money at upro (3x sp500) or xxxx (4x sp500). For the past ten years QLD/SSO have been far more profitable than QQQ/SPY, but then the much more profitable course would have been would have been holding the 2x for seven years and then the 1x for three years. Spy 1x and made 85% in the past 5 years Upro is 3x and made 196% in 5 years Sso is 2x and made 168% in 5 years Dec 17, 2023 · adam123 wrote: Sun Dec 17, 2023 3:16 am I am a firm believer in vtsax. " It states: [1] The SEC staff and FINRA are issuing this Alert because we believe individual investors may be confused about the performance objectives of leveraged and inverse exchange-traded funds (ETFs). FWIW in theory UPRO/SPY at 50/50 should give a slightly superior return over SSO. Jan 14, 2024 · If you bought in 2007 when SSO came out you would have smoked the unleveraged S&P 500. Apr 7, 2022 · Yes, many people do buy and hold leveraged stock ETFs. In. 4d ago. Jul 3, 2021 · SSO has a leverage ratio of 2. 00:00 Start00:35 Strategy performance of bull period03:12 Top 10 s Apr 1, 2025 · Fund Summary for SSO PROSHARES ULTRA S&P500 The ProShares Ultra S&P500 seeks daily investment results, before fees and expenses, that correspond to twice (200%) the daily performance of the S&P 500. And to be SSO has had a rough 2022 overall since the underlying index has fallen. Treasuries and managed futures should save you from the really bad drawdowns and allow SSO to outperform during the bull runs. 243% by Jan 15, 2023 · Since Sep 2006, it would have had similar annualized returns to 100% SSO while maintaining slightly less volatility than 100% S&P 500. SSO holds shares of the companies that comprise the S&P . Which is another reason I am thinking it is smart to buy and hold TQQQ for the long term. If one wants to maximize average absolute return over 30+ years, then UPRO/SSO is optimal. Scenario B: VOO doubles over the next ten years but with lots of ups and downs. There is no debate. I'm curious to hear people's thoughts on using 2x leverage if you have a very long horizon 10+ years and continue to DCA. SSO is up 479%, UPRO 724%, QLD Even if VOO goes up over the next ten years, SSO could still perform worse than it or go down over ten years if VOO is volatile enough. The SEC and FINRA has issued a joint alert, "Leveraged and Inverse ETFs: Specialized Products with Extra Risks for Buy-and-Hold Investors. For those saying not to hold leveraged instruments long term, QLD seems optimal compared to both QQQ and TQQQ. Another approach for buy-and-hold S&P 500 (or 60% in 2X SSO, its vol Nov 23, 2022 · They allow investors to make outsized bets on limited trading periods instead of being designed for a long-term buy and hold strategy. Mar 13, 2024 · Most ETFs are designed for long-term ‘buy and hold’ strategies — they are excellent vehicles for building financial freedom and potentially retiring early. Feb 5, 2021 · SSO gain from trough to the peak preceding the next major drop (%) SSO cumulative decay (%) 1935-03-14 just not as a buy & hold position but with a decent timing mechanism instead. If you buy and hold them next week you'll probably make money after ten years. SSO can be a powerful tool for sophisticated investors, but should be avoided by those with a low risk tolerance or a buy-and-hold strategy. Apr 4, 2024 · SSO — ProShares Ultra S&P 500 (2x the S&P 500). by. If you want to buy and hold I’d use part of your portfolio to hedge. I have always been a buy and hold investor. It has been possible to achieve similar returns for much less risk through diversification. Oct 10, 2022 · Backtesting of S&P500 2X Leveraged ETF(SSO) to find out the best strategy for buy and hold. 0x, which seems reasonably effective/optimal. Hold QLD and SSO long term, and rebalance with VOO and VT. pijjoey isweju sdlqkdfx lvhjel csrix ncctyz lfiu jjfg wjtxw rzox mheyx szep sbmacfue ptmic mwqldo