What does leveraged daily exposure mean for Direxion Daily MSCI Emerging Markets Bear 3X ETF?

Direxion Daily MSCI Emerging Markets Bear 3X ETF aims to deliver 3 times the daily return of EEM (short/inverse). The leverage resets each trading day, so multi-day returns can differ materially from 3X the underlying's cumulative return.

What is volatility decay and how does it affect Direxion Daily MSCI Emerging Markets Bear 3X ETF?

Volatility decay (also called compounding drag) occurs because Direxion Daily MSCI Emerging Markets Bear 3X ETF rebalances daily. In choppy, sideways markets the cumulative return can significantly trail 3X the underlying's period return — even if the underlying ends flat. The effect intensifies with higher leverage factors and longer holding periods.

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Direxion Daily MSCI Emerging Markets Bear 3X ETF (EDZ) Price

Q: What is the ISIN of Direxion Daily MSCI Emerging Markets Bear 3X ETF?

The ISIN of Direxion Daily MSCI Emerging Markets Bear 3X ETF is US25461H8613.

Direxion Daily MSCI Emerging Markets Bear 3X ETF Price

— EUR

PRO

TER1.34 %

AUM25.58 M USD

IndexMSCI EM (Emerging Markets)

CurrencyUSD

Funds Launch12/17/2008

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Underlying

EEM

EEM3X Short Daily

EEM

Direxion Daily MSCI Emerging Markets Bear 3X ETF provides 3X inversedaily exposure to EEM.

Leverage & Compounding Risk

This ETF rebalances daily to achieve its 3X target. Over periods longer than one day, compounding can cause returns to deviate significantly from 3X the underlying's return — especially in volatile, sideways markets (volatility decay). This product is designed for short-term trading, not buy-and-hold investing.