Tradr ETFs is set to launch two first-to-market leveraged single-stock ETFs on MongoDB (MDB) and Lam Research (LRCX) on August 19. The new funds, MDBX and LRCU, will expand Tradr's suite of single-stock ETFs to 18 funds. The two ETFs are designed for sophisticated investors and professional traders looking to express high conviction investment views.
Tradr ETFs is set to introduce two first-to-market leveraged single-stock ETFs on MongoDB (MDB) and Lam Research (LRCX) on August 19. The new funds, Tradr 2X Long MDB Daily ETF (MDBX) and Tradr 2X Long LRCX Daily ETF (LRCU), will expand Tradr's suite of single-stock ETFs to 18 funds. These ETFs are designed for sophisticated investors and professional traders seeking high conviction investment views.
The upcoming launch will grow Tradr's leveraged ETF lineup to 23 funds, with 18 of these representing single-stock strategies. The company has been focusing on expanding its product line around the AI theme, with previous launches including leveraged ETFs on CoreWeave (CWVX), Tempus AI (TEMT), AppLovin (APPX), Datadog (DOGD), and Astera Labs (LABX) [1].
Since late-April, Tradr ETFs has launched fourteen 2X long daily leveraged ETFs, accumulating over $400 million in assets under management. These ETFs aim to deliver twice the daily percentage movement of their underlying securities, making them suitable for short-term trading strategies. However, they come with significant risk characteristics, as investors could theoretically lose all their capital if the underlying security moves more than 50% against their position in a single trading day [2].
The two new funds, MDBX and LRCU, will target companies positioned within the AI infrastructure ecosystem. MongoDB (MDB) provides database services critical for AI applications, while Lam Research (LRCX) manufactures semiconductor equipment essential for chip production that powers AI systems. These ETFs are designed to amplify the exposure to these stocks, providing investors with the opportunity to express their high conviction views.
Investors should carefully consider the risks associated with leveraged and inverse ETFs, including the potential for significant losses due to the magnified performance of the underlying securities. These products are intended for short-term trading and are not suitable for long-term investment strategies.
References:
[1] https://www.prnewswire.com/news-releases/first-leveraged-etfs-on-mdb-and-lrcx-set-to-trade-next-week-302530589.html
[2] https://www.stocktitan.net/news/LRCX/first-leveraged-et-fs-on-mdb-and-lrcx-set-to-trade-next-xofhjss6g0i7.html
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