/biz/ - Business & Finance

>>19323525
I know you're probably meming, but the real answer is because leveraged ETFs suffer disproportionately on the way down, making them perform worse during high volatility. Even if you expect the market to be up overall in a year, you can't guarantee where leveraged ETFs will be in a year.

Just look at SOXX and SOXL - SOXL dropped harder than SOXX at the crash, but has only recovered at the same rate because the volatility is holding it down.