How does YANG etf work?
How does YANG etf work?
This ETF offers 3x daily short leverage to the FTSE China 50 Index, making it a powerful tool for investors with a bearish short-term outlook for China large cap stocks. Investors should note that YANG’s leverage resets on a daily basis, which results in compounding of returns when held for multiple periods.
What does YANG track?
YANG Fund Description YANG provides daily 3x inverse leveraged exposure to a market-cap-weighted index of the 50 largest Chinese stocks traded in Hong Kong.
Is YINN an ETF?
Direxion Daily FTSE China Bull 3X ETF (YINN)
How can I short the Chinese stock market?
Easiest way for an individual to short Chinese companies is via warrants in Hong Kong, which are marketed heavily towards retail investors. You have to be certified by ISDA to trade CDS. A US ETF on the largest Chinese stocks (ticker FXI) is a simple way to short China. FXI is a long bet so you have to short it.
Is YINN a good buy?
YINN lost more than 50% in the first quarter of 2020 before gaining more than 100% later in the year. Furthermore, YINN has a much higher volume than the other entries on this list, which means lower spreads for frequent traders. So, investors can decide tactically if it is a good buying opportunity.
What index does YINN track?
Fund Information
| Fund Symbol | Daily Target | Benchmark Index |
|---|---|---|
| YINN | 300% | TXIN0UNU |
| YANG | -300% | TXIN0UNU |
Is day trading illegal in China?
Unique to the world, China adopts a “T + 1 trading rule”, which prevents investors from selling stocks bought on the same day.
Is day trading allowed in China?
Day (turnaround) trading While day trading is possible in the Hong Kong stock market, it is not allowed in the Mainland. Shanghai/Shenzhen stocks purchased through the stock trading link can only be sold one day after the transaction day, i.e. T+1 day.
How does YINN ETF work?
These leveraged ETFs seeks a return that is 300% or -300% of the return of their benchmark index for a single day. The funds should not be expected to provide three times or negative three times the return of the benchmark’s cumulative return for periods greater than a day.
Is YINN a buy?
YINN is an aggressive daily bet on Chinese large-cap equities, delivering 3x leveraged exposure to about 50 large and liquid names traded in Hong Kong. Thus, it is not a buy-and-hold investment and should not be expected to provide index leverage returns greater than a one-day period. The index is rebalanced quarterly.
