SMN

SMN is managed by ProShares. The fund uses financial instruments such as futures contracts, swaps, and other derivatives to achieve its leveraged inverse exposure. The fund aims to achieve its performance objective on a daily basis, which means it is designed for short-term trading and may not be suitable for long-term investors.

SMN can be purchased through brokerage accounts like other ETFs. It is traded on major stock exchanges, and investors can buy shares through a broker or trading platform.

The liquidity of SMN is determined by its trading volume and bid-ask spread. Generally, higher trading volumes indicate better liquidity, which can facilitate easier entry and exit from positions.

While technically possible, SMN is generally not recommended for retirement accounts due to its high volatility and leverage. It is more suited for short-term trading rather than long-term investing.

In market downturns, SMN is designed to gain value when the Dow Jones U.S. Basic Materials Index falls. Due to its leveraged inverse strategy, it aims to provide amplified returns in the opposite direction of the index. However, its performance can be volatile and may not always align perfectly with the inverse multiple of the index's daily return.

Similar ETFs include: SRS (ProShares UltraShort Real Estate): Provides -2x the daily performance of the Dow Jones U.S. Real Estate Index. SH (ProShares Short S&P 500): Provides -1x the daily performance of the S&P 500 Index. SQQQ (ProShares UltraPro Short QQQ): Provides -3x the daily performance of the NASDAQ-100 Index.

SMN has an expense ratio of approximately 0.95%. This fee covers the costs of managing the ETF, including the expenses associated with leveraging and derivatives trading.

Historical performance includes data on past returns, both positive and negative, based on the fund’s objective to deliver -2x the daily performance of the Dow Jones U.S. Basic Materials Index. Historical performance should be reviewed with the understanding that past results do not guarantee future performance.

SMN's performance is compared to other leveraged inverse ETFs that target different sectors or indices. Its performance may differ from similar funds based on the underlying index and the level of leverage used. It is important to compare SMN with other funds that use similar strategies and focus on the basic materials sector.

SMN generally does not distribute dividends. As an inverse leveraged ETF, its primary focus is on achieving its daily performance objectives rather than providing income through dividends.