Market volatility creating buzz for these two types of ETFs

Published On Feb 27, 2025, 7:40 AM

Market volatility has increased interest in leveraged and inverse ETFs, which allow investors to make significant bets on market movements. Douglas Yones, the CEO of Direxion, mentioned that many investors are seeking ways to maintain investment positions without fully committing, such as using inverse ETFs to hedge against potential downturns. His firm's popular Direxion Daily Semiconductor Bull 3X Shares (SOXL) has performed well long-term, despite recent dips. The article suggests that market volatility is likely to persist throughout the year, signaling potential continued demand for these types of ETFs.