ROM Profile
The ProShares Ultra Technology fund seeks to achieve its investment objectives by employing a strategy designed to deliver daily returns that are twice the daily performance of its underlying index. The fund invests in a variety of financial instruments, including swaps, futures contracts, and other derivative products, to achieve its leveraged exposure. The fund’s investment approach is managed by ProShare Advisors, which utilizes a combination of these instruments to align with the fund's objective of magnifying the returns of the technology sector.
The underlying index tracks the performance of U.S. technology companies, offering broad exposure to the technology sector. This index includes firms engaged in a range of technology-related activities, such as computer hardware and office equipment, software development, communications technology, semiconductor manufacturing, diversified technology services, and internet services. By focusing on these areas, the index reflects the performance of companies that are integral to technological innovation and digital advancements.
The ProShares Ultra Technology fund is designed to provide amplified exposure to the technology sector, aiming for twice the daily performance of the index it tracks. This leverage is achieved through the use of complex financial instruments that can result in higher volatility and increased risk. As a result, the fund is intended for investors seeking short-term, high-risk exposure to the technology sector’s performance, rather than long-term investment.
As a non-diversified fund, the ProShares Ultra Technology concentrates its investments in the technology sector. This focused approach allows the fund to maximize its exposure to a specific industry, but also means it is subject to the risks associated with this sector. The fund’s strategy is suited for investors who are comfortable with the potential for high volatility and are looking to capitalize on short-term movements within the technology market.
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