UXI: PROSHARES ULTRA INDUSTRIALS
Share-split context: A forward split was recorded on May 25, 2021 with coefficient 4. A forward split turns each old share into multiple new shares and lowers the quoted price per share proportionally. Proportional ownership is unchanged at the split moment, so the split itself creates neither a gain nor a loss. The price-return figures in this report are already split-adjusted.
Understanding ProShares Ultra Industrials (UXI)
ProShares Ultra Industrials (UXI) is a leveraged ETF designed to provide exposure to the industrial sector. Because it is a leveraged fund, it uses financial tools to amplify the performance of its underlying index.
What this ETF is trying to do
UXI focuses on the industrial sector. It uses "swaps" and other tools to seek higher returns than a standard industrial index. This means it aims to move more significantly in the same direction as the industrial market. It is important to note that this is a leveraged ETF, which carries different risks than a standard fund.
What the numbers show
The data shows how the share price and total value of the fund have moved over different time periods.
• Year-to-Date (YTD): The price return is approximately 10.55%, while the total return is approximately 10.86%.
• One-Year: The price return was approximately 10.38%, and the total return was approximately 10.89%.
• Three-Year: The price return was approximately 124.73%, and the total return was approximately 128.51%.
Note on Price vs. Total Return: The "price return" only tracks the change in the share price. The "total return" includes both the price changes and the impact of distributions (cash payments).
This ETF has a history of forward splits. In a forward split, each old share becomes multiple new shares, and the price per share falls proportionally. This change does not create a gain or a loss for the investor; it just changes how many shares you own.
Income and distribution explanation
UXI provides some cash income through distributions. The current distribution yield is approximately 0.47%. This means the fund paid out about $0.24 per share over the last year. These payments usually happen quarterly, with 4 payments recorded in the last 12 months.
NAV erosion explanation
"NAV erosion" refers to a decline in the Net Asset Value (the actual value of the fund's assets). The supplied data is sufficient to evaluate price erosion, but it does not include enough historical NAV-per-share data to confirm or rule out NAV erosion.
However, regarding price movement, the fund has an erosion-risk score of 100, which is labeled as "No price erosion detected." There is no severe erosion-risk flag for this ETF.
Top Holdings
The following are the top holdings in the portfolio (note that this list is partial):
• CASH: 15.28%
• Industrial Select Sector Index Swap: 8.32%
• Caterpillar Inc: 4.34%
• GE Aerospace: 4.18%
• RTX Corp: 3.34%
• GE Vernova Inc: 2.92%
• Union Pacific Corp: 2.09%
• Deere & Co: 2.05%
• Boeing Co: 1.96%
• Uber Technologies Inc: 1.85%
Pros and Cons
Pros:
• Strong historical price returns over the three-year period.
• No detected price erosion based on current risk scores.
Cons:
• As a leveraged ETF, it is more complex and carries higher risk than non-leveraged funds.
• The distribution yield is relatively low at 0.47%.
Beginner takeaway
UXI is a leveraged tool used to gain amplified exposure to industrial companies like Caterpillar and GE Aerospace. While it has shown significant price growth in the past, its leveraged nature means it can be more volatile than standard ETFs. Always remember that a high distribution yield is not the same as total return, and past performance does not guarantee future results.
Top Holdings
Structured portfolio holdings supplied by the ETF data provider. These figures are not generated by the AI article.
| # | Holding | Ticker | Weight |
|---|---|---|---|
| 1 | CASH | n/a | 15.28% |
| 2 | INDUSTRIAL SELECT SECTOR INDEX SWAP | n/a | 8.32% |
| 3 | CATERPILLAR INC | CAT | 4.34% |
| 4 | GE AEROSPACE | GE | 4.18% |
| 5 | RTX CORP | RTX | 3.34% |
| 6 | GE VERNOVA INC | GEV | 2.92% |
| 7 | UNION PACIFIC CORP | UNP | 2.09% |
| 8 | DEERE & CO | DE | 2.05% |
| 9 | BOEING CO | BA | 1.96% |
| 10 | UBER TECHNOLOGIES INC | UBER | 1.85% |