Direxion Daily AMD Bear 1X ETF

Frequently Asked Questions About AMDD

What does AMDD invest in?

These Direxion ETFs, the Daily AMD Bull 2X and Daily AMD Bear 1X, aim for specific daily investment results, prior to fees and expenses: the Bull fund targets twice (200%) the performance of Advanced Micro Devices, Inc. (NASDAQ: AMD) common shares, while the Bear fund endeavors to achieve 100% of the inverse (opposite) performance of the same shares.

What is the expense ratio of AMDD?

Direxion Daily AMD Bear 1X ETF (AMDD) charges an expense ratio of 1.45%. This is the annual fee deducted from fund assets to cover management and operations.

Is AMDD a good long-term hold?

AMDD is a inverse fund designed to deliver a daily multiple of its underlying index. Daily reset compounding means returns over multi-day periods can diverge significantly from the headline multiple — typically negative drift in choppy markets. These funds are designed for short-term tactical use, not buy-and-hold. Review the fund's prospectus before holding more than a few days.

How does AMDD's daily reset work?

AMDD rebalances exposure each trading day to maintain its target leverage ratio against the next day's move. The daily reset means returns compound at the daily level — so a +1%, −1% sequence on the underlying doesn't return the underlying to flat after the leverage multiplier. Over time this path-dependence erodes returns in volatile markets and amplifies them in trending markets.

How big is AMDD?

Direxion Daily AMD Bear 1X ETF (AMDD) manages $18.7M in total assets. AUM determines bid-ask liquidity and the fund's vulnerability to closure — funds below ~$50M are at higher risk of liquidation.

Is AMDD actively managed or an index fund?

AMDD's management style is described in the fund's prospectus. See the description on the Summary tab for the published strategy.