The ProShares UltraPro QQQ ETF (NASDAQ: TQQQ) has been gaining a lot of attention from investors in 2024 due to its impressive performance. In just six weeks, the ETF has seen a nearly 50% increase, adding to its strong track record since its inception in 2010. For example, if you had invested $5,000 in the ETF back then, you would be close to becoming a millionaire today.
This ETF falls under the category of leveraged ETFs, aiming to provide three times the daily returns of the Nasdaq 100 index. While this has led to remarkable long-term performance, it’s important to note that losses are also magnified in the same way. The fund has seen significant growth over various time periods compared to the S&P 500 benchmark index.
However, it’s crucial to consider the context of the fund’s inception date, which coincided with a favorable period for technology stocks. While the ProShares UltraPro QQQ has delivered exceptional returns over the past 14 years, there are no guarantees for the future. Investors should approach this investment cautiously, as it can be volatile and risky.
In conclusion, investing in the ProShares UltraPro QQQ can be lucrative if the market performs well, especially in the tech sector. However, it’s essential to be prepared for potential downturns and be aware of the risks involved. This ETF may not be suitable for all investors, and it’s advisable to proceed with caution and only invest money that you can afford to lose.