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00683L

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1d
1w
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Analysis and statistics

  • Open
    21.2185$
  • Previous Close
    21.3452$
  • 52 Week Change
    --
  • Day Range
    -0.13$
  • 52 Week High/Low
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  • Dividend Per Share
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  • Market cap
    --$
  • EPS
    --
  • Beta
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  • Volume
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About

00683L.TW represents the Yuanta S&P US Daily Leverage ETF. This exchange-traded fund (ETF) seeks to achieve a daily investment result, before fees and expenses, that is two times (2x) the daily performance of the S&P 500 Index. As a leveraged product, it is designed for short-term trading strategies and is not suitable for all investors, particularly those with a long-term investment horizon, due to the effects of compounding and potential for amplified losses. Investors should understand the risks associated with leveraged ETFs before investing.

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Factors

Underlying Index Performance: The price of 00683L.TW, a leveraged ETF, is primarily affected by the performance of its underlying index, the FTSE Taiwan RIC Capped Index. A positive movement in the index generally results in a magnified positive movement in the ETF's price, while a negative movement leads to a magnified negative impact.

Leverage Ratio: 00683L.TW is a 2x leveraged ETF, meaning it aims to deliver twice the daily performance of the underlying index. This leverage amplifies both gains and losses, making it more volatile than a non-leveraged ETF tracking the same index.

Volatility: Higher market volatility generally leads to increased price fluctuations in leveraged ETFs like 00683L.TW. This is because the daily resetting of the leverage can lead to volatility decay, especially in choppy markets.

Interest Rates: Interest rates can affect the cost of maintaining the leveraged position. Higher interest rates may increase the expense ratio of the ETF, potentially impacting its returns.

Supply and Demand: Market forces of supply and demand also play a role. Increased demand for the ETF can push its price higher, while increased selling pressure can lower the price, regardless of the underlying index performance.

Tracking Error: The ETF may not perfectly track twice the daily performance of its underlying index due to factors like fees, transaction costs, and the ETF's management strategy. This tracking error can affect the ETF's price.

Trading Volume and Liquidity: Higher trading volume and liquidity generally lead to tighter bid-ask spreads and more efficient price discovery, potentially making the ETF price more responsive to changes in the underlying index.

Market Sentiment: Overall market sentiment and investor confidence in the Taiwanese stock market can influence the demand for 00683L.TW and, consequently, its price. Positive sentiment tends to drive prices up, while negative sentiment leads to price declines.

Economic Conditions: Taiwan's economic health, including GDP growth, inflation, and employment rates, can impact the performance of the companies included in the FTSE Taiwan RIC Capped Index, ultimately affecting the ETF's price.

Global Events: Major global economic or political events can also influence the Taiwanese stock market and, therefore, the price of 00683L.TW.

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