This stock description should stump most

[Hopperbin]

HND-T T for traded on TSX.

Description.

Description
Horizons BetaPro NYMEX Natural Gas Bear Plus ETF (the Fund) seeks daily investment results, before fees, expenses, distributions, brokerage commissions and other transaction costs, that correspond to two times (200%) the inverse (opposite) of the daily performance of the New York Mercantile Exchange (NYMEX) natural gas futures contract for the next delivery month. The Fund is managed by BetaPro Management Inc. ProFund Advisors LLC is the portfolio manager of the Fund. ProFund Advisors LLC serves as the investment adviser and provides management services to Horizons BetaPro NYMEX Gas Bear Plus ETF.

I have no idea what that just meant. Can anyone repeat that in English more slowly? They are down almost 10 percent today so no advice to jump into the stock. Just would like to understand it.

[cottonpicken]

Its leveraged etf(exchange trade fund) betting that gas
will go down.They have a bull etf that pays you double
if gas goes up.

These etf funds exist across the market from relestate
to commodities to financials to manufacturing etc,etc.

These would not be for the faint of heart.

[Hopperbin]

Thanks that does actually explain it better, I noticed the bull one also and just know someone day trading both. What I cannot figure out is why have both? Because one cancels the other out and the investor is left with all the fees. Perhaps a trip to Vegas would be better.

[ado089]

I play with this one a bit. They are kind of like buying option in the sense that you can bet on up or down, bull/bear, but they're in the form of an TSX traded security. They're good if there's some obvious changes coming down the pipe but I wouldn't hold them more than two weeks, mostly because they get pounded when they role future contracts. My experience with them is that unless you make some good, read lucky, moves they are double leveraged on the risk side and close to par on upside potetial. There's also some sentiment or emotion that gets worked into the trading price that will cause the ETF price to diverge from the underlying commodity.

[wilagro]

They are CONS to draw in the suckers. Buy some bonds...safer.

[Hopperbin]

No argument there.