VI. INVERSE & LEVERAGED ETFs
Certain exchange-traded products seek to deliver investment results that correspond to the leveraged change in a specified benchmark over a certain period of time. Leveraged and inverse exchange-traded products often utilize swaps, futures, and other derivative products in order to achieve their investment objectives and as such, may not be appropriate for certain investors.
When considering an investment in a leveraged or inverse ETF, it is important to note the period over which the product seeks to achieve amplified returns on the related index. Generally, leveraged ETFs will be designed to amplify returns on a daily basis or monthly basis.