Investors can use an exchange-traded fund (ETF) to acquire a large number of stocks or bonds all at once. Investors purchase ETF shares, and the proceeds are utilized to make investments with a specific goal in mind. One ETF that is performing well right now, and could be a potential “buy” candidate, is JDST.
The Direxion Daily Junior Gold Miners Index Bear 2x Shares is explained in detail in our guide.
Quick Direxion Daily Junior Gold Miners Index Bear 2x Shares History
ETF Trust Direxion Shares – Direxion Daily Direxion Investments launched the Junior Gold Miners Index Bear 2X Shares exchange traded fund. It is managed by Rafferty Asset Management, LLC. JDST offers daily -2x exposure to an index of junior gold and silver mining firms from both developed and emerging economies.
JDST provides geared inverse exposure (-2x) to the Market Vectors Junior Gold Miners Index, a cap-weighted index of worldwide gold mining firms that generate at least 50% of their income from gold or silver mining. During each quarterly review, the index limits its exposure to silver mining companies to 20%. JDST’s exposure is reset on a daily basis.
As a result, the fund is intended to be utilized as a tactical trading tool. If you keep the fund for more than a day, you must reset your exposure on a regular basis to obtain the multiple.
The Good and the Bad of Direxion Daily Junior Gold Miners Index Bear 2x Shares
There are several benefits to owning stock or shares in a an ETF. Here are some of the advantages and disadvantages of purchasing the Direxion Daily Junior Gold Miners Index Bear 2x Shares.
Pros of Owning Direxion Daily Junior Gold Miners Index Bear 2x Shares
- Gold is under pressure as the US dollar rises, and this has allowed leveraged products such as the bearish Direxion Daily Jr Gold Miners Bear 2x ETF (JDST) to rise more than 40% for the month.
- JDST has the potential to provide large returns in a short period of time, and because it is linked to a volatile asset class like small-cap gold miners, its risks and rewards are skewed higher.
Cons of Direxion Daily Junior Gold Miners Index Bear 2x Shares
- As of July 15th, the current price of JDST stock is $10.39, and data shows that the asset price has been declining over the last year.
- This stock may not be suitable as a new addition to your portfolio since investing in declining markets such as the gold sector is always more difficult, especially for inexperienced traders.
The fund invests in worldwide public stock markets. It invests in equities of firms involved in the gold and silver mining industries using derivatives. Direxion Shares ETF Trust – Direxion Daily Junior Gold Miners Index Bear 2x Shares (NYSE: JDST) dropped 3.74 percent, to finish at $10.31 on Wednesday.
Shares of Direxion Shares ETF – Direxion Daily Junior Gold Miners Index Bear 2x Shares traded between $10.53 and $10.12 after beginning the day at $10.21. A total of 2,147,008 shares were exchanged, which was a drop from the previous 30 day average.
In the previous 52 weeks, the stock price has ranged between $14.95 and $7.50. The current market price for the JDST ticker symbol is $10.30, a 37.33 percent increase from its 52-week low.
Steps to Buy Direxion Daily Junior Gold Miners Index Bear 2x Shares
To acquire an ETF, first select a brokerage, establish a trading account, search for the ticker symbol, and then begin purchasing shares.
Step 1: Select the Brokerage
Online brokers and traditional broker-dealers both provide ETF trading. You must first create an account with a brokerage firm before you can begin purchasing ETFs. However, before deciding where to create your account, consider your investment goals.
Step 2: Open the Trading Account & Deposit Funds
To purchase an ETF, you must first open a trading account. A full-service account provides you with access to a financial advisor who will assist you. You should contrast each broker’s features and platforms.
If you’re a beginner trader, it’s a good idea to deal with a broker who provides a number of educational resources.
Step 3: Search for the Direxion Daily Junior Gold Miners Index Bear 2x Shares (JDST)
You must enter the ticker symbol for the ETF you wish to purchase.Direxion Daily Junior Gold Miners Index Bear 2X Shares trades on the New York Stock Exchange Arca under the ticker symbol JDST.
Step 4: Purchase Direxion Daily Junior Gold Miners Index Bear 2x Shares
At the bottom of each page, brokers will have a “deal ticket” where you may place your order. On the broker’s order form, you will enter the symbol and the quantity of shares you desire to acquire.
With a market order, you can buy as many shares as you like, or you can use a limit order to delay the purchase until the stock hits a certain price.
Should You Buy Direxion Daily Junior Gold Miners Index Bear 2x Shares?
The Direxion Shares Exchange Traded Fund Trust JDST has recently been one of the market’s biggest movers. Direxion’s reputation is built on the development of products that accurately represent market opinions and allow investors to control their risk exposure.
This week’s action increased the market capitalization of Direxion Shares ETF – Direxion Daily Junior Gold Miners Index Bear 2x Shares up to $70,958,049. If you would like to invest in Direxion Daily Junior Gold Miners Index Bear 2x Shares then you should consider contacting a financial advisor.