AIBD -2x Direxion Daily AI and Big Data Bear 2X ETF

BEAR ETF standard · Issuer Direxion · Tracks AI · Listed 2024-05-15

Quote & options All leveraged ETFs
Implied AUM
$5.7M
shares out × price
Last close
$42.72
20261001
30-day avg volume
5,785
no listed options
AIBD realized
—
what holders actually earned
Theoretical -2x
—
-2x × AI's return
Decay gap
—
realized minus theoretical

Realized vs theoretical -2x AI

Cumulative return of AIBD against a clean -2x of AI's return over the same window; the red line (right axis) is the gap between them.

Pair counterpart: AIBU (+2x bull, Direxion Daily AI and Big Data Bull 2X ETF)
Shorting both legs of a daily-reset bull/bear pair captures their combined decay over time. It isn't free money — the edge depends on borrow rates (often punitive on the bear leg) and assignment risk on hard-to-borrow shares.

Other leveraged products on AI

4
SymbolFactorDirectionIssuerNameImplied AUM30d volumeOptions
AIQU +3x BULLMicroSectorsMicroSectors 3x Long Artificial Intelligence (AI) ETNs — 8,427
AIBU +2x BULLDirexionDirexion Daily AI and Big Data Bull 2X ETF $27.1M 3,912 ✓
UBOT +2x BULLDirexionDirexion Daily Robotics, Artificial Intelligence & Automation Index Bull 2X ETF $23.5M 14,643 ✓
AIQD -3x BEARMicroSectorsMicroSectors -3x Short Artificial Intelligence (AI) ETNs — 441

How AIBD works

AIBD targets -2x the daily return of AI — not the return over longer windows. It rebalances every day, so over weeks and months its result drifts away from -2x × the index, usually downward when the market chops around.

The maths: the drag is roughly −½ × N × (N−1) × σ² per period (N = leverage, σ = the index's volatility). For a -2x fund on an index with 25% annual volatility that is several percent a year before fees — the red line above is that drag measured.

Short-term trades (a day or a few) are what these funds are built for. Premium sellers like their rich option IV — see the quote page. Multi-day directional bets work in strong trends and get eaten in chop.

Not investment advice.