Just got in. Can anyone explain how this works exactly? When are the values of this fund recalculated? Daily? Upon earnings? I'm really a novice to this method of investing but believe consumer stocks will fall. Any help will be appreciated.
Rkyjake-- This board is, as you can see, pretty much a ghost town, because SZK hasn't had nearly the volatility the other double-inverse ETF's have had. This one is functionally the same as SKF, SRS, QID and others, all of which have active message boards with some really good commentary on the mechanical workings of these Proshares double inverse funds, so I recommend you look them over, going back some months. And, as they say, "read the prospectus".
I consider SZK the "fat lady"-- when she sings it's my signal to clear out of all inverse ETFs, and I've decided she's singing when there is either a 20% up day or 2 X 10% down days in a week for SZK. When that happens to a relatively sedate, defensive group like beverages, foods and basic consumer goods, it's true market capitulation time and time to find a new game to play.
That's my view, anyway. Thought we might have had it today.
Have fun and don't linger too long in these things-- the mathematics of percentage down vs percentage up will over time waste your gains.
I was trading SKF, but the Fed started scaring me with surprise overnight rule changes. It's making a big run off 95 where I should have bought. Now I think I missed. If retail is going to be bad to worse this seems like a good place to be???