WTIU +3x MicroSectors Energy 3x Leveraged ETNs
BULL ETN extreme · Issuer MicroSectors · Tracks Energy (XLE) · Listed 2023-02-15
Realized vs theoretical +3x Energy
Cumulative return of WTIU against a clean +3x of Energy's return over the same window; the red line (right axis) is the gap between them.
Other leveraged products on Energy
6| Symbol | Factor | Direction | Issuer | Name | Implied AUM | 30d volume | Options |
|---|---|---|---|---|---|---|---|
| ERX | +2x | BULL | Direxion | Direxion Daily Energy Bull 2X ETF | $232.3M | 308,431 | ✓ |
| DIG | +2x | BULL | ProShares | ProShares Ultra Energy | $81.0M | 53,411 | ✓ |
| TEXU | +2x | BULL | Direxion | Direxion Daily Energy Top 5 Bull 2X ETF | — | 4,345 | |
| ERY | -2x | BEAR | Direxion | Direxion Daily Energy Bear 2X ETF | $42.3M | 13,466,663 | ✓ |
| DUG | -2x | BEAR | ProShares | ProShares UltraShort Energy | $39.7M | 200,999 | ✓ |
| WTID | -3x | BEAR | MicroSectors | MicroSectors Energy -3x Inverse Leveraged ETNs | — | 121,673 |
How WTIU works
WTIU targets +3x the daily return of Energy — not the return over longer windows. It rebalances every day, so over weeks and months its result drifts away from +3x × 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 +3x 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.