Proshares Ultra Sk Hynix

Frequently Asked Questions About SKHU

What does SKHU invest in?

ProShares Ultra SK hynix seeks daily investment results, before fees and expenses, that correspond to two times (2x) the daily performance of the American Depositary Receipt (ADR) of SK hynix Inc., a leading South Korean memory semiconductor manufacturer and a major supplier of high bandwidth memory (HBM) used in AI accelerators alongside Nvidia chips. The Fund achieves its exposure primarily through swap agreements and shares of SKHY, resetting daily. Given the extraordinarily high cost of obtaining leveraged foreign-ADR exposure, the Fund may underperform even when SK hynix's underlying share price rises, and returns over periods longer than a day can differ significantly from the 2x daily target due to compounding.

What is the expense ratio of SKHU?

Proshares Ultra Sk Hynix (SKHU) charges an expense ratio of 1.04%. This is the annual fee deducted from fund assets to cover management and operations.

Is SKHU a good long-term hold?

SKHU is a leveraged 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 SKHU's daily reset work?

SKHU 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 SKHU?

Proshares Ultra Sk Hynix (SKHU) manages $82.2M 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 SKHU actively managed or an index fund?

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