ETFs Poised to Plunge: Direxion Daily Semiconductor Bear 3x


Based on the aggregated intelligence of 180,000-plus investors participating in Motley Fool CAPS, the Fool's free investing community, the Direxion Daily Semiconductor Bear 3x Shares have received the dreaded one-star ranking.

With that in mind, let's take a closer look at SOXS, and see what CAPS investors are saying about the ETF right now.

SOXS facts


March 2010

Total Net Assets

$38.0 million

Investment Approach

Seeks daily investment results of 300% of the inverse of the performance of the PHLX Semiconductor Sector Index. The index measures the performance of the semiconductor subsector of the U.S. equity market.

Expense Ratio


Year-to-Date / 1-Year / 3-Year Return

(36.7%) / (35.8%) / (52.5%)

Sources: S&P Capital IQ and Motley Fool CAPS.

On CAPS, 67% of the 254 members who have rated SOXS believe the ETF will underperform the S&P 500 going forward.

Just yesterday, one of those Fools, All-Star TerryHogan, succinctly summed up the SOXS underperform case for our community:

Until all my appliances, furniture, shoes, and underwear are connected to the web, I'm bullish on semiconductors long term. ... Even ignoring the huge growth that's still available to semiconductors, I will always bet against a leveraged daily bear ETF (even if it was on buggy whip manufacturers).

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The article ETFs Poised to Plunge: Direxion Daily Semiconductor Bear 3x originally appeared on

Fool contributor Brian Pacampara owns no position in any of the companies mentioned. Try any of our Foolish newsletter services free for 30 days.We Fools may not all hold the same opinions, but we all believe that considering a diverse range of insights makes us better investors. The Fool's disclosure policy always gets a perfect score.

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