ETF Education Report: TBXU

What this ETF is trying to do

The Trust Direxion Daily Biotech Top 5 Bull 2X ETF (TBXU) is a specialized fund. It is a leveraged ETF, which means it aims to amplify the movements of its target area. This specific fund focuses on the biotechnology sector.

What the numbers show

The current price of TBXU is $37.07. Looking at the past year, we can see how the share price has moved:

• Price Return: This measures only the change in the share price. The one-year price return was approximately 40.43%.

• Total Return: This includes both the share price change and any distributions (cash payments) made to investors. The one-year total return was approximately 43.86%.

For the year-to-date (YTD) period, the price return was approximately 19.32%, while the total return was approximately 20.59%. To put this in perspective, an estimated price from roughly one year ago was $26.39. If you had invested based only on the share price, a $10,000 investment would have grown to approximately $14,043 over the last year.

Income and distribution explanation

Some investors look for ETFs that pay out cash. TBXU has a distribution yield of approximately 2.07%. This means the fund paid out cash relative to its price. Over the last 12 months, there were 5 payouts. These distributions usually happen on a quarterly basis, though they often land on a Tuesday. It is important to remember that a distribution yield is not the same as total return.

NAV erosion explanation

"NAV erosion" refers to a situation where the value of the underlying assets in the fund decreases over time. StockValueFinder uses an "erosion-risk score" to measure this risk. For TBXU, the erosion score is 100, and the label states "No price erosion detected." There is no severe erosion-risk flag for this ETF.

Pros

• The fund has shown significant positive price returns over the last year.

• The total return is higher than the price return, meaning distributions added value to the overall performance.

Cons

• This is a leveraged ETF, which can lead to much larger price swings than standard funds.

• The fund is highly concentrated, with only 5 total holdings.

Top Holdings

As of October 7, 2026, the fund's exposure is concentrated in these companies:

• AMGEN INC (4.98%)

• GILEAD SCIENCES INC (4.62%)

• VERTEX PHARMACEUTICALS INC (4.52%)

• ARGENX SE ADR (4.33%)

• REGENERON PHARMACEUTICALS INC (4.33%)

Beginner takeaway

TBXU is a leveraged fund that focuses on a small group of biotech companies. While it has seen strong price and total returns recently, leveraged funds move much faster than regular funds. Always remember that high distributions are separate from the actual growth of your share price.