Direxion Daily CSI China Internet Bull 2X Shares company info
CWEB
Direxion Daily CSI China Internet Bull 2X Shares
What does Direxion Daily CSI China Internet Bull 2X Shares do?
Direxion Daily CSI China Internet Bull 2X Shares (NYSEARCA:CWEB) is a specialized investment fund focusing on leveraging and amplifying the daily investment results, before fees and expenses, of the CSI Overseas China Internet Index. It aims to provide investors with a potent tool to capitalize on both the growth and volatility of Chinese internet companies, mainly by targeting a 200% return on the index's daily performance. This fund engages in swap agreements, futures contracts, short positions, and other financial instruments to achieve its investment objectives. Direxion Daily CSI China Internet Bull 2X Shares operates exclusively on the New York Stock Exchange Arca platform, emphasizing a niche approach to investment in China's dynamic internet sector while aligning its projects and operations towards facilitating aggressive investment strategies within this realm.
Company Snapshot
Is Direxion Daily CSI China Internet Bull 2X Shares a public or private company?
Ownership
Public
How many people does Direxion Daily CSI China Internet Bull 2X Shares employ?
Employees
56
What sector is Direxion Daily CSI China Internet Bull 2X Shares in?
Sector
ETF
Where is the head office for Direxion Daily CSI China Internet Bull 2X Shares?
Head Office
New York, United States
What year was Direxion Daily CSI China Internet Bull 2X Shares founded?
Year Founded
2016
What does Direxion Daily CSI China Internet Bull 2X Shares specialise in?
/Leveraged ETF /Chinese Internet Stocks /Double Exposure /Equity Fund /Investment Management /Financial Services
What are the products and/or services of Direxion Daily CSI China Internet Bull 2X Shares?
Overview of Direxion Daily CSI China Internet Bull 2X Shares offerings
2x Daily Leveraged Exposure to Chinese Internet Index: CWEB aims to deliver double the daily return of an index that tracks the performance of publicly traded, China-based internet and internet-related companies listed outside of mainland China. This magnified exposure offers the potential for amplified gains if the index rises but also magnified losses if it falls.
Focus on Chinese Internet Companies: CWEB invests in companies included in an index that reflects the performance of Chinese internet companies. These companies may operate in various segments like e-commerce, social media, online gaming, and more.
Short-Term Investment Approach: Due to the compounding effect of its daily leverage, CWEB is designed for short-term trading and may not be suitable for long-term investment goals. Holding it for long periods might not deliver the intended results as negative returns on some days can be significantly magnified over time.
Potential for Amplified Gains (or Losses): CWEB offers the potential for significantly amplified gains if the Chinese internet sector, as represented by the underlying index, experiences strong growth. However, this leverage also magnifies potential losses if the index goes down.
Higher Volatility: The 2x leverage magnifies the daily movements of the underlying index, resulting in potentially larger gains but also larger losses compared to an ETF directly tracking the index.
Passive Management (Likely): CWEB likely uses financial instruments like swaps to achieve its 2x daily leverage objective. The holdings are automatically adjusted to maintain the target leverage ratio, potentially resulting in lower fees compared to actively managed leveraged ETFs.