What Is SQQQ? The ProShares UltraPro Short QQQ ETF (2024)

FAQs

What is ProShares UltraPro short qqq ETF? ›

Key Takeaways. The ProShares UltraPro Short QQQ (SQQQ) is a 3x leveraged inverse ETF that tracks the Nasdaq 100. It seeks to return the exact results of the Nasdaq 100 index times negative three.

While the Fund has a daily investment objective, you may hold Fund shares for longer than one day if you believe it is consistent with your goals and risk tolerance. For any holding period other than a day, your return may be higher or lower than the Daily Target.

SQQQ is a passively managed fund by ProShares that tracks the performance of the NASDAQ-100 Index (-300%). It was launched on Feb 8, 2010. QQQ is a passively managed fund by Invesco that tracks the performance of the NASDAQ-100 Index.

SQQQ Dividend Information

SQQQ has a dividend yield of 12.30% and paid $1.04 per share in the past year. The dividend is paid every six months and the last ex-dividend date was Mar 20, 2024.

The UltraPro Short QQQ (SQQQ) and UltraPro QQQ (QQQ) ETFs have diverged this year as American tech stocks surged. The Nasdaq 100 index, which tracks t ... The UltraPro Short QQQ ETF has a poor track record of losses, but can be used strategically by long-term investors. SQQQ is a leveraged bet against th ...

Since SQQQ's leverage resets on a daily basis, holding the fund beyond a single day may compound returns and provide results that are different from the target return.

SQQQ is a leveraged ETF designed to inversely correlate with the Nasdaq 100 Index, rising in value when the index declines.

Bottom Line on Leveraged ETFs

Leveraged ETFs decay due to the compounding effect of daily returns, volatility of the market and the cost of leverage. The volatility drag of leveraged ETFs means that losses in the ETF can be magnified over time and they are not suitable for long-term investments.

A 1-for-5 reverse stock split is to blame for the SQQQ ETF's seemingly high returns.

Is QQQ better than voo? ›

In the past year, QQQ returned a total of 31.84%, which is significantly higher than VOO's 26.14% return. Over the past 10 years, QQQ has had annualized average returns of 18.88% , compared to 12.89% for VOO. These numbers are adjusted for stock splits and include dividends.

Last dividend for ProShares UltraPro Short QQQ (SQQQ) as of June 16, 2024 is 0.16 USD. The forward dividend yield for SQQQ as of June 16, 2024 is 7.78%. Dividend history for stock SQQQ (ProShares UltraPro Short QQQ) including historic stock price, payout ratio history and split, spin-off and special dividends.

Largest shareholders include Simplex Trading, Llc, Susquehanna International Group, Llp, Citadel Advisors Llc, Jump Financial, LLC, Simplex Trading, Llc, Jane Street Group, Llc, Citadel Advisors Llc, IMC-Chicago, LLC, Susquehanna International Group, Llp, and Simplex Trading, Llc .

Historically, SQQQ decays around 7-8% per month, though this would likely be around 4-5% per month during a flat market such as that experienced so far this year.

QQQ has a dividend yield of 0.55% and paid $2.64 per share in the past year. The dividend is paid every three months and the last ex-dividend date was Mar 18, 2024.

The fund aims to provide 3x the daily performance of the NASDAQ 100, primarily focused on tech stocks with larger weightings in the 'Magnificent 7'. However, some experts are cautious due to extended valuations in the broader tech index. Overall, investors are advised to be very cautious when considering this strategy.

Ultrashort-bond portfolios invest primarily in investment-grade U.S. fixed-income issues and have durations typically of less than one year.

ProShares Short S&P500 seeks daily investment results, before fees and expenses, that correspond to the inverse (-1x) of the daily performance of the S&P 500®.