|
Followers
|
291
|
Posters
|
|
|
Posts (Today)
|
0
|
Posts (Total)
|
20475
|
|
Created
|
10/04/13
|
Type
|
Free
|
| Moderators captainscotty | |||
JNUG provides geared exposure (2x) to the MVIS Global Junior Gold Miners Index—a market-cap-weighted index of global gold mining companies that derive at least 50% of their revenue from gold or silver mining activities. The index caps exposure to silver mining firms at 20% during each quarterly review. The term "junior" refers to the size of these firms, which are considered to be small-caps as defined by the index provider, which slightly dilutes its exposure to gold relative to our benchmark for gold. Like most leveraged products (including sister fund JDST, which provides -2x exposure to the same index), JNUG's exposure is reset daily. The fund is therefore designed to be used as a tactical trading tool. You must regularly reset your exposure to get the multiple if you hold the fund for more than a day. Tradability is paramount for a tactical tool—which a 2x play on gold surely is. Trading costs should be taken into consideration. Effective 4/24/2017, JNUG resumes daily creations. Prior to March 31, 2020 the fund provided 3x exposure to the same index.
