Posts  / #POST-205029
REDDIT

Long-term hold for SPY/QQQ vs 2X vs 3X leveraged ETFs

1
Apr 5, 2025 · 01:18

Due to volatility drag, leveraged ETFs aren't considered optimal for holding long-term. While buying the dip with a 3X sounds great, it will take longer to recover than the underlying.

For instance, if SPY recovers 100%, it might take the leveraged ETF several months longer... and only if SPY keeps increasing.

Anyone find a workaround using stops or trailing stops?