Summary of Basic Knowledge of Leveraged ETFs - Knowledge may not necessarily make more money, but it can reduce losses I have written three articles on the stock market in South Korea, and one article discussing leveraged ETFs in the United States through the Korean market. Respectively: 1. Korean retail investors' financing has exploded, and their leverage ratio has dropped to a low level: https://((((x.com)))/HyrexNi/status/2071467942269907224? s=20 2. The South Korean stock market goes from heaven to hell day by day - the index is rising, and the volatility is also increasing: https://((((((x.com))))))/PhyrexNi/status/2073051792716480743? s=20 3. Behind the high volatility of the South Korean stock market - the rapid expansion of leveraged ETFs: https://((((x.com)))/PhyrexNi/status/2073263132001353873? s=20 4. Leveraged ETF rebalancing funds have become amplifiers of US stock volatility: https://((((x.com)))/PhyrexNi/status/2074016524864721171? s=20 These four articles are not about how much I anticipated the market risks, they don't exist. They are all about seeing some data released by traditional institutions. Many people may not believe in the data, but I am still quite sensitive to it, so I wrote these four articles based on these data. And the main meaning of these four articles is similar, that is, now Korean investors in the Korean stock market are more likely to leverage the market through financing and leveraged ETFs. This also explains why the volatility of the South Korean stock market is very large, which is similar to the previous concept of the South Korean real estate market, which is too much leverage. In terms of the cryptocurrency circle, it means taking out an online loan and using the money from the online loan to apply for triple leverage. I have also talked about the wear and tear on principal of triple ETFs during volatile market conditions, which are: 5. The difference between triple leverage ETFs and triple contracts - both aim to amplify returns, but the sources of risk are completely different: https://((((((x.com))))))/PhyrexNi/status/2074077033907495036? s=20 What is volatility loss and why is the wear and tear of multi leverage ETFs higher?? ：https://((((((x.com))))))/PhyrexNi/status/2074036163661443108? s=20 These two articles are actually telling friends about triple leverage, such as TQQQ or KODEX (which is double), and SOXL risk, especially SOXL, which is the most frequently bought triple long semiconductor by Korean investors recently. From 2024 to 2026, it will be the main force of leveraged ETFs in Korea. It's not that triple leverage ETFs are bad, but rather that we need to recognize where the risks lie. I have made a chart that suggests the best time to buy a leveraged ETF is when the market is dominated by one side, because leveraged ETFs reset every day, so the cost price is rising in volatile markets. The previous two tweets have already provided a very detailed introduction to the reset and wear and tear of leveraged ETFs. If you want to buy a leveraged ETF, it is recommended to read it first, otherwise it is easy to have the probability of not making money even though it has risen.