Direxion Daily Gold Miners Index Bear 2X Shares company info

What does Direxion Daily Gold Miners Index Bear 2X Shares do?
Direxion Daily Gold Miners Index Bear 2X Shares (NYSEARCA:DUST) is a financial investment tool designed to provide investors with the opportunity to gain exposure to the daily inverse performance, before fees and expenses, of the NYSE Arca Gold Miners Index at twice (200%) the opposite of the index's daily performance. The aim of DUST is to offer traders and sophisticated investors a strategic instrument to hedge against, or speculate on, the declines in gold mining stocks. This is accomplished through swaps, futures contracts, and other financial derivatives to achieve its investment objective. As a leveraged inverse ETF, DUST is primarily suited for short-term trades due to its daily reset mechanism, which can lead to compounding effects over multiple periods. Direxion Daily Gold Miners Index Bear 2X Shares operates with the sole listing on the NYSE Arca, focusing on maximizing opportunities for profit in downward moving gold mining markets while navigating the inherent risks of leveraged and inverse investment strategies.
Direxion Daily Gold Miners Index Bear 2X Shares company media
Company Snapshot

Is Direxion Daily Gold Miners Index Bear 2X Shares a public or private company?

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Ownership
Public

How many people does Direxion Daily Gold Miners Index Bear 2X Shares employ?

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Employees
56

What sector is Direxion Daily Gold Miners Index Bear 2X Shares in?

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Sector
ETF

Where is the head office for Direxion Daily Gold Miners Index Bear 2X Shares?

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Head Office
New York, United States

What year was Direxion Daily Gold Miners Index Bear 2X Shares founded?

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Year Founded
2010
What does Direxion Daily Gold Miners Index Bear 2X Shares specialise in?
/ETF Product /Gold Miners /Leveraged Inverse /Investment Management /Short Strategy /Bear Market
What are the products and/or services of Direxion Daily Gold Miners Index Bear 2X Shares?
Overview of Direxion Daily Gold Miners Index Bear 2X Shares offerings
Inverse, Leveraged Exposure to Gold Miners Index: DUST seeks daily investment results that are inversely proportional, and magnified by a factor of 2, to the performance of the NYSE Arca Gold Miners Index. This means it aims to profit when the Gold Miners Index declines in value.
Uses Daily Resetting Leverage: DUST utilizes leverage to amplify its daily returns. However, this leverage resets daily. This means the fund rebalances each day to achieve its target return relative to the index, and the effects of compounding don't apply over longer periods.
Targets Short-Term Results: Due to the daily reset of leverage and potential compounding effects, DUST is designed for short-term investors with a bearish outlook on the gold miners sector. It may not be suitable for long-term buy-and-hold strategies.
Higher Volatility: The use of leverage inherently magnifies volatility. When the Gold Miners Index goes down, DUST aims to amplify those losses, but it can also amplify gains if the index moves up (although with a smaller factor due to the inverse relationship).
Decay Over Time: Due to the daily reset and the way volatility works in leveraged instruments, DUST may underperform the simple inverse return of the Gold Miners Index over extended periods. This is known as volatility decay.
Exchange-Traded Fund: DUST is listed on the NYSE Arca exchange under the ticker symbol DUST. This allows investors to easily buy and sell shares of the ETF like any stock, offering leveraged exposure to the inverse performance of the gold miners sector. However, due to the factors mentioned above, DUST is a complex financial instrument and requires careful consideration of its risks before investing.