Re:Ask HN: What was your best passive income in 2016?
by Rodfarva on Sunday December 11, 2016 @02:36PM
(#13152715)
This is very bad advice. 3x funds are not meant for long term buy an hold. They experience contango and even if they index end up flat you can still lose money from the gyrations of the market. Nobody should b investing in in leveraged etf longer than a few days.
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Re:Ask HN: What was your best passive income in 2016?
by module0000 on Monday December 12, 2016 @10:06AM
(#13158498)
I didn't say to buy and hold it...that would be very foolish unless you know something that noone else does(which is unlikely). I was talking about using the daily volatility to profit from following the banks. ie: day trading. My positions in leveraged funds last less than 60 minutes, and the average is probably closer to 10 minutes.
Before you jump into 2x or 3x, you should be able to reliably generate returns from a non-leveraged ETF tracking the same commodity.