SPCQ's -2x SpaceX Bet Carries a Hidden Cost: Volatility Decay That Erodes Correct Trades
Defiance ETFs' SPCQ targets -200% of SpaceX's daily return, but compounding mechanics mean the fund diverges from that objective beyond a single trading day. Daily rebalancing, illiquid derivatives, and Elon Musk-linked idiosyncratic volatility compound the risk. Retail investors who get the directional call right can still lose money.
Salvado•