|Bid||27.10 x 1400|
|Ask||27.18 x 1300|
|Day's Range||26.83 - 27.83|
|52 Week Range||26.68 - 63.40|
|PE Ratio (TTM)||N/A|
|Beta (3Y Monthly)||-1.57|
|Expense Ratio (net)||1.10%|
Like many other sectors, real estate experienced a difficult 2018. Despite starting the year with high home prices and impressively low mortgage rates, climbing interest rates ended up deterring buyers.
Direxion, one of the largest issuers of leveraged exchange traded funds, is planning to change the indexes its leveraged pharmaceuticals and real estate ETFs track. Currently, the Direxion Daily Pharmaceutical ...
NEW YORK , May 31, 2019 /PRNewswire/ -- The Board of Trustees of the Direxion Shares ETF Trust ("Trust") has approved changes to the investment objective, investment strategy and underlying index ...
NEW YORK , May 24, 2019 /PRNewswire/ -- Direxion has announced it will execute a reverse split of the issued and outstanding shares of the Direxion Daily Mid Cap Bear 3X Shares, Direxion Daily Small Cap ...
Existing U.S. home sales hit their lowest level in three years last month, according to the National Association of Realtors (NAR), which boosted the Direxion Daily MSCI Real Est Bear 3X ETF DRV (DRV B-) by as much as 2.7 percent on Thursday.
Real estate has come a long way since the Great Recession of 2008 that saw market values plummet to remarkable depths after low interest rates and subprime mortgages pushed homes to exorbitant values. During the decade-long bull run in U.S. stocks, low interest rates ruled as the real estate markets were in recovery following the credit crisis in 2008. The depressed values in U.S. real estate also attracted cash buyers from China, but even to the vast majority who used financing to purchase a home, low rates still made real estate attractive.
Real estate stocks and the related exchange traded funds are sensitive to changes in interest and that much is being confirmed this year, but there are ways for risk-tolerant traders to garner short-term profits on both sides of the real estate trade. The Direxion Daily Real Estate Bull 3x Shares ETF (DRN) is an example of a bullish leveraged real estate exchange traded fund. DRN has a bearish cousin, the Direxion Daily Real Estate Bear 3x Shares (DRV) , which attempts to deliver triple the daily inverse returns of that benchmark.
Real estate investment trusts (REITs) and the related exchange traded funds, including the iShares US Real Estate ETF (IYR) , are viewed as vulnerable to rising interest rates. The Federal Reserve has boosted rates three times this year and a fourth rate hike is widely expected in December, but some real estate ETFs have been surprisingly solid in recent weeks. IYR is up more than 1% over the past week, but historical data suggest investors may not want to be holding that fund when November arrives.
Real estate stocks and the related exchange traded funds are sensitive to changes in interest and that much is being confirmed this year. The MSCI US Investable Market Real Estate 25/50 Index, a widely ...
Investors seeking to capitalize on the rising rate scenario in a short span could consider any of the following ETFs given the bearish outlook for the rate sensitive sectors.
A rising rate landscape continues to rock the foundations of the real estate sector, particularly when it comes to homebuilders, which could benefit the Direxion Daily MSCI Real Est Bear 3X ETF (DRV) , but put persistent downward pressure on the Direxion Daily Homebuilders and Supplies Bull 3X Shares (NAIL) . With 30-year mortgage rates already surpassing the 5% mark, the cost to finance a home is getting more expensive, clamping down a housing market that has been lagging even as U.S. equities were in the midst of a historic bull run. Compounding the issue is the benchmark U.S. Treasury yield on the 10-year note reaching a new seven-year high.
The latest round of Chinese tariffs took effect yesterday as the United States and China continue waging their seemingly endless tariff-for-tariff war, which is set to increase the cost of homebuilding and thus, affect homebuilder ETFs like the iShares US Home Construction ETF (ITB), SPDR S&P Homebuilders ETF (XHB) and the Invesco Dynamic Building & Construction ETF (PKB) . DRV seeks daily investment results equal to 300% of the inverse of the daily performance of the MSCI US REIT Index, which is a free float-adjusted market capitalization weighted index that is comprised of equity REITs that are included in the MSCI US Investable Market 2500 Index. As it currently stands, the housing market is already feeling the pangs of rising interest rates crimping homebuyer enthusiasm to take on financing to purchase real estate.