Leverage & Ruin

A 2x leveraged ETF moves twice as far as its index on any single day. Over twenty years it does not deliver twice the index return: daily volatility eats into the compounding. This page simulates the range of outcomes of a leveraged position over many years. You describe the market and the product costs; the chart shows the average, the typical path and the chance of being wiped out at every leverage from 0 to 5.