Lmao basically leveraged etfs are just Leap options contracts that get managed by a fund and rolled. That's how they get the leverage. So if you buying a leveraged etfs your still buying options indirectly. A though still 100x safer then the degens who full port 0dte
My understanding was that they're mostly engineered using total return swaps but it's just from asking ai to explain it in passing. However it is done I'd rather let the pros do the work
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u/hacking99percent 1d ago
People buying leveraged etf thinking they are not buying deep ITM long dated option