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3LME

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1d
1w
1m

Analysis and statistics

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About

3LME.LSE represents a leveraged exchange-traded fund (ETF) that aims to deliver three times the daily performance of the London Metal Exchange (LME) index. This specific product allows investors to gain amplified exposure to the price movements of a basket of metals traded on the LME, such as aluminum, copper, lead, nickel, tin, and zinc. Due to the leveraged nature, it is designed for short-term trading and is generally not suitable for long-term holding, as compounding effects and daily resets can significantly deviate from the expected returns over extended periods.
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Factors

Underlying Assets: 3LME.LSE tracks the price of London Metal Exchange (LME) aluminum. Aluminum prices depend on supply and demand, global economic growth, production costs, and geopolitical events.

Leverage: Being a 3x leveraged ETF, its price amplifies daily changes in aluminum prices. This magnifies both gains and losses.

Expense Ratio & Trading Costs: Management fees and trading costs within the ETF reduce returns, impacting its price over time.

Market Sentiment: Overall investor sentiment towards commodities and leveraged ETFs can influence buying and selling pressure, affecting the price.

Rebalancing: The ETF rebalances daily to maintain its 3x leverage. These rebalancing trades can impact the ETF's price, especially in volatile markets.

Interest Rates: Changes in interest rates can affect the cost of holding positions, which can influence the ETF's price.

Currency Fluctuations: Changes in the GBP/USD exchange rate could affect the ETF's price.

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