Direxion Daily Semiconductors Top 5 Bear 2X ETF

Frequently Asked Questions About TSXD

What does TSXD invest in?

These Direxion Daily Semiconductors Top 5 Bull and Bear 2X ETFs are designed to deliver daily investment results that are either double the direct performance, or double the inverse performance, of the NYSE Semiconductor Top 5 Equal Weight Index. These returns are calculated before deducting any fees and expenses. However, there is no assurance that these funds will consistently meet their outlined daily investment targets.

What is the expense ratio of TSXD?

Direxion Daily Semiconductors Top 5 Bear 2X ETF (TSXD) charges an expense ratio of 9.79%. This is the annual fee deducted from fund assets to cover management and operations.

Is TSXD a good long-term hold?

TSXD 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 with 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 TSXD's daily reset work?

TSXD 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 TSXD?

Direxion Daily Semiconductors Top 5 Bear 2X ETF (TSXD) manages $1.7M 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 TSXD actively managed or an index fund?

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