Kimpten : volatility decay and it has higher management fee than uvix

10baggerbamm OP Kimpten : no it doesn't decay is rapidly as what people want to say it does.
I've been in s o x l at one point for 9 months without trading out of it. I've been in b i t x for a very long period without trading out of it. I've been in nvdu or very very long time.
the only one that I can tell you that I have witnessed decay is nvdu.
there's just too many people there was a period of time earlier this year back in June July before the market crash of the Japanese trade unwinding were tech stocks got their ass handed to them. right around 131 dollars for nvda was a similar price for nvdu. at that point nvdu crossed over nvda and was moving at a 45° line higher..
once we had this market sell off a lot of the underlying option positions that are used in these leverage ETFs they expired worthless and I believe that had a significant impact to decay in nvdu leveraged ETF.
because this time around when nvda crossed 130, nvdu was $10 less. so there was a material loss because of how they had to restructure that leverage portion of the portfolio as a result of the significant sell-off of Nvidia where I think all of the options expired worthless they couldn't roll them they were so far out of the money whatever it is that they do strategically this created a massive loss. even this morning when we look at the price of nvda and compare it to nvd you you see that discrepancy. if you go back and plot a chart in May June early July of these two symbols. you will see what I'm telling you and how the breakdown occurred. within ethereum within soxl within many of the other leveraged ETFs it's virtually in discernible.