UPW +2x ProShares Ultra Utilities

UPW

ETF +2x BULL standard
ProShares Ultra Utilities
Issuer: ProShares · Tracks: Utilities (XLU) · Listed: 2007-01-30
Implied AUM
$17.8M
Last Close
$23.39
20260720
30d Avg Vol
11,544
Options
available
Realized return vs theoretical +2x Utilities
Pair counterpart found: SDP (-2x bear, ProShares UltraShort Utilities)
Shorting both legs of a daily-reset bull/bear pair captures combined decay drift over time. Theoretical "free money" — actual edge depends on borrow rates (often punitive on the bear leg) and assignment risk on hard-to-borrow products.
Other leveraged products tracking Utilities
Symbol Factor Direction Issuer Name Implied AUM 30d Vol Options
UTSL +3x BULL Direxion Direxion Daily Utilities Bull 3X ETF $44.1M 108,694
SDP -2x BEAR ProShares ProShares UltraShort Utilities $4.0M 2,682

How UPW works

UPW targets +2x the daily return of Utilities — not the cumulative return over multi-day windows. The fund rebalances at the close each day using swaps or futures, which is what creates the volatility drag the chart above visualizes.

Mathematical headline: drag ≈ −0.5 × N × (N−1) × σ² per period. For a +2x product on an underlying with 25% annualized vol, expected annual drag is around 6.2%. Add expense ratio and the realized number is typically worse.

  • Short-term tactical: daily and intraday holds are where these products were designed to live.
  • Premium selling: options on UPW carry very rich IV — see the quote page for IV rank and straddle pricing.
  • Multi-day directional: works in strong trends; gets eaten alive in chop. Use the chart above to gauge the realized vs theoretical track record.