Find Out More About the Index Tracked by SOXL and SOXS
SOXL / SOXSDecember 04, 2023 | 2 min watch
SOXL and SOXS offer traders a dynamic way to take risk on daily semiconductor sector movements. SOXL aims to provide triple the daily performance of the NYSE Semiconductor Index (before fees and expenses), making it a potentially attractive option for those bullish on the sector. Its leveraged structure seeks to magnify potential returns but also increases risk.
On the flip side, SOXS is designed to deliver triple the inverse of the daily performance of the same index (before fees and expenses), allowing investors an opportunity to seek to benefit from declines in the sector. This makes SOXS a potential tool for hedging or implementing a bearish strategy. However, the leveraged nature of SOXS also means increased volatility and risk.
