What is the “highest performing ETF in Japan”? High-tech and crude oil levers popular among individuals

iFreeE ETF NASDAQ 100 leverage 2x will be listed on 2022/11/16. Purchases of high-tech stocks due to the AI semiconductor boom etc. were amplified by 2 times, resulting in high performance. Along with the ETF, Daiwa Asset Management also listed the “NASDAQ100 Double Inverse,” where price movements are amplified by 2 times in the opposite direction, on the same day. As for ETFs linked to Japanese stock indices such as the Tokyo Stock Price Index (TOPIX), products with double price movements have already been listed domestically, but this is the first time in the US stock index, and it has gained popularity.

Although NEXT NOTES Nikkei/JPX crude oil leverage also raised high returns, it seems that the outflow of funds since the beginning of the year was also large due to severe fluctuations in crude oil prices. There was a drastic decline from the end of September to the beginning of October, but BI says “the risk of global crude oil price fluctuations in the fourth quarter has decreased.”

The feature of ETFs is that they can be bought and sold while watching the price in real time during trading hours. Since stocks held are disclosed every day, transparency is high, and the shift away from mutual funds is also intensifying. There is also an expectation that the global ETF market will expand 2.5 times from today to 25 trillion dollars (about 3700 trillion yen) by 2030. In Japan, 32 ETFs were listed last year. It was the first time in 7 years since 37 in 2015.

Also, according to the scatterplot shown by BI in the report, what had high performance for the 3rd quarter was energy related ETFs of NEXT FUNDS Energy Resources (TOPIX-17) exchange-traded funds, WTI crude oil price-linked exchange-traded funds, and NEXT FUNDS NOMURA crude oil index-linked exchange-traded funds.