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Investing

Should I invest in a leveraged ETF?

Quick Answer

Generally no — leveraged ETFs (TQQQ, SPXL, SOXL) are designed for single-day directional bets, not buy-and-hold investing. Daily resetting causes volatility decay, and 80%+ drawdowns are common during market crashes (TQQQ fell 80% in 2022).

When leveraged ETFs are appropriate versus dangerous.
Warren Team
Updated April 26, 2026
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Important Disclaimer:

The information provided is for educational purposes only and should not be considered as personalized financial advice. Warren is a registered investment advisor. Past performance does not guarantee future results. Please consult with a qualified financial advisor before making investment decisions.

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