Guide: Short & Leveraged ETPs

Hi Guys,

It seems like there is still some confusion about Short and Leveraged ETP/ETFs and why returns may not match the given leverage factor when held for >1 day.

Here at Leverage Shares, we recently put together a Guide explaining the main features of these products and how they work.

:warning: Please keep in mind that these are sophisticated products, so it’s important you understand the risks involved before investing.

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As always, thanks @Oktay.
The main thing that I struggle with, is the recommendation of holding the ETP for 1 day, as the EU markets are open till 17.30 + and the “magic” in the US happens till the closure of the US stock market at 22.00. Also, the major rise and falls happens after 15.30 when the US market opens, giving you 2 hours “to hold” the ETP. :wink:

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Anytime @libreus :wink: Yeah tell me about it, would be great if LSE stayed open until US close :smiley:

But in all seriousness, we’re looking into some other options that would allow for trading from UK open all the way to US close. So if that were to happen, I think it’d address this issue.

Btw - last chance for new product recommendations since our next pipeline is almost finalised!

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Has coinbase leverage shares short been closed?

Hi @bmbm365 - COIN stock gapped up >33.33% at US open on the 4th of August, rendering -3x Short Coinbase ETP worthless.

The ETP will be delisted in the upcoming week(s) and investors will be compensated with approximately $0.10 per ETP held (minimum redemption amount). There will be an official notice published on the site of London Stock Exchange shortly.