DUSL: DIREXION DAILY INDUSTRIALS BULL 3X SHARES
ETF Education Report: DIREXION DAILY INDUSTRIALS BULL 3X SHARES (DUSL)
What this ETF is trying to do
DUSL is an exchange-traded fund (ETF) that focuses on the industrial sector. It is a "leveraged" ETF, which means it is designed to amplify the movements of its target index. This type of fund aims to provide three times the daily performance of its underlying benchmark.
What the numbers show
When looking at an ETF, it is important to separate "price return" from "total return." Price return only tracks how much the share price changes. Total return includes both the price change and any cash distributions paid out to investors.
Based on the data:
• Year-to-Date (YTD): The price return is approximately 13.90%, while the total return is approximately 14.17%.
• One-Year: The price return was approximately 5.61%, while the total return was approximately 17.12%.
• Three-Year: The price return was approximately 141.24%, while the total return was approximately 186.13%.
To visualize the price change, we can look at an estimated price from roughly one year ago, which was $72.82. The current price is $76.91.
Top Holdings
The following are the top holdings in this portfolio (note that this list is partial):
• IXI SWAP ASSET LEG: 71.27%
• DREYFUS GOVT CASH MAN INS: 5.01%
• GOLDMAN FINL SQ TRSRY INST 506: 3.37%
• CATERPILLAR INC: 1.54%
• GE AEROSPACE: 1.34%
• GE VERNOVA INC: 1.04%
• RTX CORP: 1.03%
• GOLDMAN SACHS FIN GOV 465 INSTITUT: 0.87%
• DEERE & CO: 0.69%
• EATON CORP PLC: 0.69%
Income and distribution explanation
This ETF has a distribution yield of approximately 9.76%. This number describes the cash distributions relative to the ETF price. Over the last 12 months, the trailing distributions were approximately $7.51 per share. Distributions are usually paid quarterly, and in the last year, there were 5 payouts.
It is important to remember that a high distribution yield does not mean an investor earned that percentage as their total return.
NAV erosion explanation
"NAV erosion" refers to a decline in the Net Asset Value (the actual value of the fund's assets). While a falling share price can sometimes look like erosion, they are not always the same thing. For this ETF, the erosion-risk score is 100, and the label states "No price erosion detected." There is no severe erosion-risk flag for this fund.
Pros
• The fund has shown significant total returns over the three-year and five-year periods.
• It provides a high distribution yield for those seeking cash income.
Cons
• This is a leveraged ETF, which means it can experience much larger price swings than standard funds.
• High yields can sometimes be misleading if the share price is not stable.
Beginner takeaway
DUSL is a leveraged fund that seeks to multiply industrial sector movements. While it offers high distribution yields and strong historical total returns, the leveraged nature of the fund means prices can move very quickly in both directions. Always remember to look at both price return and total return to see the full picture.
Top Holdings
Structured portfolio holdings supplied by the ETF data provider. These figures are not generated by the AI article.
| # | Holding | Ticker | Weight |
|---|---|---|---|
| 1 | IXI SWAP ASSET LEG | n/a | 71.27% |
| 2 | DREYFUS GOVT CASH MAN INS | n/a | 5.01% |
| 3 | GOLDMAN FINL SQ TRSRY INST 506 | n/a | 3.37% |
| 4 | CATERPILLAR INC | CAT | 1.54% |
| 5 | GE AEROSPACE | GE | 1.34% |
| 6 | GE VERNOVA INC | GEV | 1.04% |
| 7 | RTX CORP | RTX | 1.03% |
| 8 | GOLDMAN SACHS FIN GOV 465 INSTITUT | n/a | 0.87% |
| 9 | DEERE & CO | DE | 0.69% |
| 10 | EATON CORP PLC | ETN | 0.69% |