New Units Signal Increased Investor Interest
In a recent update from ETF Channel, the Direxion Daily 20+ Year Treasury Bull 3X Shares (Symbol: TMF) experienced a remarkable inflow of approximately $276.3 million. This indicates a significant week-over-week rise of 4.8% in outstanding units, increasing from 124,448,386 to 130,398,386 units.
The chart below illustrates the one-year price performance of TMF compared to its 200-day moving average:
From the chart, TMF’s price fluctuated between a low of $42.655 and a high of $67.87 over the past year, with its latest trade recorded at $48.22. Analyzing the current share price against the 200-day moving average offers further insights for investors. [Learn more about the 200-day moving average »]
Exchange-traded funds (ETFs) operate similarly to stocks. However, investors trade “units” instead of “shares.” These units can be traded, created, or destroyed based on investor demand. Each week, we analyze changes in shares outstanding to identify ETFs with significant inflows—indicating many new units created—or outflows, marked by many units being destroyed. Notably, creating new units requires purchasing the underlying holdings in the ETF, while destroying units involves selling those holdings. Therefore, substantial inflows or outflows can impact the individual components within the ETFs.
Click here to find out which 9 other ETFs had notable inflows »
Also see:
- MGAM YTD Return
- EXPD Average Annual Return
- RCPI Videos
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