T-Rex 2X Inverse Tesla Daily Target ETF Price & Performance (TSLZ)

The popularity of leveraged ETFs has surged, allowing investors to bet on short-term market movements. However, these high-risk funds are now facing significant challenges as market volatility rises. Analysts warn that while these funds offer potential for quick profits, they can also lead to steep losses, especially if held long-term.12

The T-Rex 2X Inverse Tesla ETF has seen a sharp rise in options trading activity, with call options trading up 54% from average volumes. The ETF, which inversely tracks Tesla's daily performance, has attracted attention from both institutional and retail investors seeking to capitalize on Tesla's recent stock declines.34

Single-stock leveraged ETFs, such as those tracking Tesla and Nvidia, have grown in popularity, representing 8% of ETF assets. Experts caution retail investors about the risks of these high-fee, short-term products, which can amplify losses as quickly as gains. Proper understanding and active monitoring are essential for their use.24