ProShares Ultra Bloomberg Crude Oil Investment Strategy and Performance Analysis

The ProShares Ultra Bloomberg Crude Oil is a popular exchange-traded fund (ETF) that aims to provide a 2x daily return of the Bloomberg WTI Crude Oil Spot Price Index. This fund is designed for investors who want to amplify their returns in the oil market.

The fund's investment strategy is based on the Bloomberg WTI Crude Oil Spot Price Index, which is a widely followed benchmark for crude oil prices. The index tracks the price of West Texas Intermediate (WTI) crude oil, one of the most widely traded and closely watched crude oil grades in the world.

The fund's performance is highly correlated with the oil market, with the fund's value increasing or decreasing in line with changes in the underlying index. This means that if the price of oil rises, the fund's value will increase, and if the price of oil falls, the fund's value will decrease.

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UCO, short for ProShares Ultra Bloomberg Crude Oil, seeks to track the daily performance of the Bloomberg Commodity Balanced WTI Crude Oil Index.

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The index is designed to follow three separate contract schedules for WTI crude oil futures, which are reset semi-annually.

One third of the index follows a monthly roll schedule, another third follows a June annual roll schedule, and the remaining third follows a December annual roll schedule.

UCO aims to provide two times the daily performance of the Bloomberg Commodity Balanced WTI Crude Oil Index before fees and expenses.

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The ProShares Ultra Bloomberg Crude Oil fund invests in financial instruments based on WTI sweet, light crude oil, not directly in oil.

Its investment objective is to track two times the daily performance of the Bloomberg Commodity Balanced WTI Crude Oil Index.

The fund's expense ratio is 0.95%, which is the cost of maintaining the fund's operations.

As of the latest closing price, the fund's value is 25.79.

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The UCO ETF is a great choice for investors looking to ride the oil trend. It's a 2x leveraged ETF that tracks the Bloomberg Crude Oil Index.

The UCO ETF has an expense ratio of 0.95%. This is higher than some of its correlated ETFs, but it's still a relatively low cost compared to other investment options.

One of the benefits of the UCO ETF is its high correlation with other oil-related ETFs. In fact, its correlation with ETFs like OILK, USO, and DBO is a perfect 1.00, indicating that their prices typically move together.

Here are some of the UCO ETF's correlated ETFs, along with their expense ratios and correlation coefficients:

By using ETF correlations, investors can create diversified portfolios, compare related ETFs, and even develop hedging strategies. For example, if you're invested in the UCO ETF, you could consider adding an inversely correlated ETF to your portfolio to minimize risk.

The UCO ETF has a relatively high trading volume, with an average of $62,757,860 per month. This can be beneficial for investors who want to buy or sell shares quickly.

Overall, the UCO ETF is a popular choice for investors looking to track the oil market. Its high correlation with other oil-related ETFs makes it a great option for those who want to diversify their portfolio or create a hedging strategy.

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The investment objective of this fund is to track the daily performance of the Bloomberg Commodity Balanced WTI Crude Oil Index, two times over.

It aims to achieve this by investing in financial instruments like swap agreements, futures contracts, and option contracts based on WTI sweet, light crude oil, but it won't invest directly in oil.

The fund's expense ratio is 0.95%, which is a relatively low cost compared to other investment options.

The latest closing price of the ProShares Ultra Bloomberg Crude Oil is $25.79, which can be a good starting point for your investment decision.

You can analyze quarterly positions in this fund with up to 7 years of data, all consolidated into one spreadsheet for easy reference.

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The expense ratio is an important consideration for any investment. UCO has a high expense ratio of 0.95%, indicating higher-than-average management fees.

This means that a larger portion of your investment will go towards paying management fees rather than growing your wealth.

The performance of ProShares Ultra Bloomberg Crude Oil has been a mixed bag.

It had a return of -4.98% year-to-date (YTD) and -10.64% in the last 12 months.

This indicates a significant decline in value over the past year.

Comparing its performance to the S&P 500, ProShares Ultra Bloomberg Crude Oil did not fare as well.

The S&P 500 had an annualized return of 10.99% over the past 10 years, while ProShares Ultra Bloomberg Crude Oil had an annualized return of -25.75%.

The performance chart for ProShares Ultra Bloomberg Crude Oil shows a significant decline in value over time. It's clear that this investment has not been a good choice.

Looking at the chart, we can see that the investment started at $10,000 and has since decreased in value. One notable point is that the chart shows the performance of this investment compared to the S&P 500 index.

Here's a brief comparison of the performance of ProShares Ultra Bloomberg Crude Oil and the S&P 500 index over the past year:

It's worth noting that the performance of ProShares Ultra Bloomberg Crude Oil has been particularly poor over the past 10 years, with an annualized return of -25.75%. This is significantly lower than the annualized return of the S&P 500, which was 10.99%.

The Volatility Chart is a crucial tool for investors to gauge the risk level of their investments. The current ProShares Ultra Bloomberg Crude Oil volatility is 11.65%, representing the average percentage change in the investment's value, either up or down over the past month.

This level of volatility can be a significant factor in an investment's overall performance. The chart below shows the rolling one-month volatility, providing a visual representation of the investment's fluctuation.

As an investor, it's essential to understand the basics of ProShares Ultra Bloomberg Crude Oil. This ETF is designed to provide 2x the daily performance of West Texas Intermediate (WTI) crude oil.

The fund's primary objective is to track the price movements of WTI crude oil, which is a widely recognized benchmark for oil prices. The WTI crude oil price is closely watched by investors and traders alike.

Investors should be aware that the fund's performance can be volatile due to the unpredictable nature of oil prices. This means that the fund's value can fluctuate rapidly in response to changes in global oil supply and demand.

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Having access to a comprehensive view of all investors' positions can be a game-changer for informed decision-making.

You can analyze quarterly positions in Proshares Ultra Bloomberg Crude Oil ETF with up to 7 years of data, all consolidated into one spreadsheet.

This level of transparency allows you to see the big picture and make more informed decisions about your investments.

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