Leveraged China Tech ETF Overview and Analysis

The leveraged China tech ETF is a type of exchange-traded fund that aims to provide investors with a way to profit from the growth of China's tech sector.

These funds use financial derivatives to amplify the returns of the underlying index, but they also come with increased risk.

The ProShares UltraPro Short QQQ ETF, for example, uses a combination of futures contracts and options to achieve its leveraged effect.

This ETF is designed to provide a short exposure to the Chinese tech sector, but it's essential to understand that it's not suitable for all investors due to its high volatility.

Investors should carefully consider their risk tolerance and investment goals before investing in a leveraged ETF.

The performance of the Leverage Shares 3x Long China Tech ETC has been quite volatile. In just one week, the investment lost 16.87% of its value.

Looking at the longer-term performance, the investment has been on a downward trend. Over the past year, it lost 19.60% of its value. This is a significant loss, especially considering the investment's goal of leveraging the performance of China's tech sector.

Here's a breakdown of the investment's performance over different time periods:

It's worth noting that the investment's performance has been impacted by significant losses in certain years. For example, in 2022, the investment lost 88.56% of its value.

In this section, we'll take a closer look at the risk numbers, also known as Risikokennzahlen.

The volatility of the investment is quite high, at 97.91% over the past 1, 3, and 5 years.

A max. Drawdown of -72.15% over the same periods is a significant concern.

The Sharpe Ratio is a measure of risk-adjusted return, and in this case, it's a negative -0.54 over 1, 3, and 5 years.

XLM, or whatever metric this represents, is 362.27.

Here's a summary of the risk numbers:

The Leverage Shares 3x Long China Tech ETC is a high-risk investment, with a staggering 97.91% volatility over the past year. This means that the value of the investment can fluctuate significantly in a short period.

In fact, the maximum drawdown, which is the largest decline in value, was a whopping -72.15% over the past year. This is a red flag for investors, as it indicates that the investment can lose a significant portion of its value quickly.

The Sharpe Ratio, which measures the return of an investment relative to its risk, is also a concern. With a Sharpe Ratio of -0.54 over the past year, this investment is not providing a sufficient return to compensate for the risk it's taking.

Here are some key risk metrics for the Leverage Shares 3x Long China Tech ETC:

It's essential to understand these risk metrics before investing in the Leverage Shares 3x Long China Tech ETC.

The Invesco China Technology ETF is based on the FTSE China Incl A 25% Technology Capped Index, which includes constituents of the FTSE China Index and FTSE China A Stock Connect Index.

The ETF invests at least 90% of its total assets in securities that comprise the Index, as well as American depositary receipts and global depositary receipts based on the securities in the Index.

The Index includes China A-shares and China B-shares classified as information technology securities.

The Fund and the Index are rebalanced quarterly.

Invesco's management fees for the Invesco China Technology ETF will be reduced from 70 basis points to 65 basis points, effective January 5, 2024.

The Leverage Shares 3x Long China Tech ETC has a volume, but unfortunately, the article doesn't specify what it is.

The fund's performance is based on the FTSE China Incl A 25% Technology Capped Index, which has a 1-year return of 11.90%. The MSCI China Index has a 1-year return of 19.42%.

The volume of the Leverage Shares 3x Long China Tech ETC is not explicitly stated in the article section. However, the data is provided by Morningstar, CoinGecko, and Isarvest GmbH, which suggests that the volume information is available but not explicitly mentioned.

Data for the fund is sourced from Morningstar, CoinGecko, and Isarvest GmbH, which implies that the volume data is likely included in the provided information.

The prices of the fund are delayed by at least 15 minutes, which may affect the accuracy of the volume data.

The performance of an investment is a crucial factor to consider. The article provides a clear picture of the performance of the FTSE China Incl A 25% Technology Capped Index, which has seen a 11.90% return in the YTD period.

The MSCI China Index, on the other hand, has performed slightly better with a 19.42% return in the YTD period. This indicates that the MSCI China Index has been a more profitable investment option in the short term.

Looking at the 1-year returns, the FTSE China Incl A 25% Technology Capped Index has also seen a 11.90% return, while the MSCI China Index has seen a -6.10% return. This shows that the FTSE China Incl A 25% Technology Capped Index has been more stable in the long term.

Here's a comparison of the 1-year returns of the two indices:

The Fund NAV has also seen a 11.24% return in the YTD period, while the Fund Market Price has seen a 9.72% return. This indicates that the Fund NAV has been a more profitable investment option in the short term.

The After Tax Held and After Tax Sold returns of the Fund NAV are also worth noting, with returns of 11.12% and 6.66% respectively in the YTD period.

The Invesco China Technology ETF has a specific investment strategy. It invests at least 90% of its total assets in securities that comprise the FTSE China Incl A 25% Technology Capped Index.

The Index includes constituents of the FTSE China Index and FTSE China A Stock Connect Index that are classified as information technology securities. These can include China A-shares and China B-shares.

The Fund and the Index are rebalanced quarterly. This means that the portfolio is adjusted every three months to ensure it remains aligned with the Index.

Invesco's management fees for the Invesco China Technology ETF will be reduced from 70 basis points to 65 basis points, effective at market open on January 5, 2024.