BetaShares - US Equities Strong Bear Currency Hedged Complex ETF (BBUS.AX)
BetaShares - US Equities Strong Bear Currency Hedged Complex ETF operates in the Asset Management industry of the Financial Services sector, headquartered in Sydney, NSW, AU. The stock last traded at $21.81, down 0.41% on the session, giving a market capitalisation of $987.5M. Its beta of -2.33 implies it has historically moved less than the broad market.
The BetaShares - US Equities Strong Bear Currency Hedged Complex ETF (BBUS) aims to deliver amplified returns that move in the opposite direction to the U.S. stock market's performance. Specifically, the Fund is designed to achieve an amplified positive return on days when the S&P 500 Total Return Index declines, and a similarly amplified negative return when the index increases. Typically, a 1% drop in the U.S. equity market over a single day should lead to an increase in the Fund's value ranging from 2% to 2.75%. Conversely, a rise in the U.S. market would result in a proportional decrease in the Fund's value. Its portfolio is actively managed and rebalanced daily to maintain a target inverse exposure between -2x and -2.75x. It's important to note that the Fund's returns over periods extending beyond a single day may not align with this -2x to -2.75x range. This divergence occurs because of the daily rebalancing required to uphold the target inverse exposure and the cumulative impact of compounding investment returns over time. Consequently, the magnitude and even the direction of the Fund's returns over multi-day periods might deviate from its intended daily target. This deviation typically becomes more significant with increased U.S. market volatility and longer investor holding periods. Therefore, investors are advised to actively review their investment on a daily basis to confirm it continues to align with their financial goals. The Fund gains its market exposure through the use of futures contracts, rather than directly holding the underlying shares. Since the futures market operates for a longer duration each day compared to the conventional share market, the Fund's daily performance might occasionally diverge from what the underlying share market indices alone would suggest. During ASX trading hours, the U.S. futures market remains active. As such, the Fund's intraday performance will reflect the movements in these futures, even when the primary U.S. stock market is closed. Leverage inherently amplifies both profits and losses, making this strategy potentially unsuitable for many investors. Investing in this Fund carries a very high level of risk.
BetaShares - US Equities Strong Bear Currency Hedged Complex ETF is most often compared with the following Financial Services names: