Why DPK Is Poised to Keep Plunging
With that in mind, let's take a closer look at DPK and see what CAPS investors are saying about the ETF right now.
Total Net Assets
Seeks daily investment results of 300% of the inverse (or opposite) of the performance of the MSCI EAFEA Index. The index is designed to measure developed market equity performance, excluding the U.S. and Canada.
Year-to-Date / 1-Year / 3-Year Return
(28.2%) / (55.1%) / (50%)
Sources: S&P Capital IQ and Motley Fool CAPS.
On CAPS, 53% of the 561 members who have rated DPK believe the ETF will underperform the S&P 500 going forward.
I'm actually not super bullish on developed markets from these prices levels, but I don't claim to be able to time the markets. I'm just against the 3X leveraged ETFs, particularly the shorts over the long term, as I believe in a long-term upward trend in the markets, particularly with the advent of near-worldwide low interest rates and monetary easing.
The article Why DPK Is Poised to Keep Plunging originally appeared on Fool.com.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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