Direxion Daily Small Cap Bull 3X Shares company info

What does Direxion Daily Small Cap Bull 3X Shares do?
Direxion Daily Small Cap Bull 3X Shares (NYSE:TNA) is an exchange-traded fund that aims to deliver thrice the daily results of the Russell 2000 Index. This objective is pursued through financial derivatives and debt instruments to magnify the returns of the small-cap stock index it tracks. The fund operates with the goal of benefitting investors who anticipate short-term gains from upward movements in the small-cap sector. However, its strategy also entails a higher level of risk and is typically suited for those with a tolerance for significant market swings. Direxion Daily Small Cap Bull 3X Shares actively engages in leveraging to amplify investment outcomes, making it a pivotal tool for traders looking to capitalize on daily market movements within the small-cap universe.
Direxion Daily Small Cap Bull 3X Shares company media
Company Snapshot

Is Direxion Daily Small Cap Bull 3X Shares a public or private company?

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Ownership
Public

How many people does Direxion Daily Small Cap Bull 3X Shares employ?

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Employees
55

What sector is Direxion Daily Small Cap Bull 3X Shares in?

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Sector
ETF

Where is the head office for Direxion Daily Small Cap Bull 3X Shares?

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Head Office
New York, United States

What year was Direxion Daily Small Cap Bull 3X Shares founded?

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Year Founded
2008
What does Direxion Daily Small Cap Bull 3X Shares specialise in?
/Leveraged ETF /Financial Services /Stock Market /Investment Tool /Small Cap Stocks /High Risk

What are the products and/or services of Direxion Daily Small Cap Bull 3X Shares?

Overview of Direxion Daily Small Cap Bull 3X Shares offerings
Daily Performance Magnification: TNA seeks to deliver 3 times the daily return of the Russell 2000® Index, a benchmark for small-capitalization stocks in the US. This means that if the Russell 2000® Index increases by 1% in a day, TNA aims to deliver a return of approximately 3%. Conversely, if the index decreases by 1%, TNA aims to deliver a decrease of approximately 3%. It's important to note that this magnification applies only to daily changes, not longer-term performance.
Short-Term Focus: TNA is designed for short-term investment strategies and not suitable for long-term holding due to the compounding effect of daily magnification. Over extended periods, the ETF's returns may not perfectly match 3 times the underlying index due to the effects of compounding and fees.
Geared Exposure: TNA offers geared exposure to the small-cap market, meaning its returns are amplified compared to directly investing in the underlying index. This can magnify both potential gains and losses, making it a riskier investment than the underlying index.
Leveraged Strategy: TNA utilizes leverage to achieve its daily target return. This means it uses borrowed funds to magnify the returns of the underlying index. Leverage can amplify both gains and losses, increasing the fund's volatility.
Targeted Audience: TNA is generally suited for experienced investors comfortable with higher risk and volatility in exchange for the potential for amplified gains. It's not recommended for investors with a low-risk tolerance or those seeking long-term wealth accumulation.
Transparency: As an ETF, TNA's holdings are publicly disclosed, allowing investors to understand the underlying components driving the fund's performance.