Today I will purchase the ProShares Ultra Short S&P 500 (SDS) for the Growth Portfolio, Aggressive Growth Portfolio and Conservative Growth Portfolio. The S&P 500 just broke through support levels this morning, after being oversold for weeks. Right now there’s a force pulling stocks down that is too strong for many — if not any — to climb.
This exchange traded fund (ETF) provides approximately double the inverse of the S&P 500 Index, this if the S&P falls 10% this will rise close to 10% hypothetically. And vise versa.
At this point our biggest risk is market risk. As oil falls so does the stock market, and oil is constantly hitting new lows. It may be on its way from $28 to $20.
