The moomoo app is an online trading platform offered by Moomoo Technologies Inc. Securities, brokerage products and related services available through the moomoo app are offered by including but not limited to the following brokerage firms: Moomoo Financial Inc. regulated by the U.S. Securities and Exchange Commission (SEC), Moomoo Financial Singapore Pte. Ltd. regulated by the Monetary Authority of Singapore (MAS), Futu Securities International (Hong Kong) Limited regulated by the Securities and Futures Commission of Hong Kong (SFC), Moomoo Financial Canada Inc. regulated by the Canadian Investment Regulatory Organization (CIRO) and Futu Securities (Australia) Ltd regulated by the Australian Securities and Investments Commission (ASIC).
For further information about Moomoo Financial Inc., please visit Financial Industry Regulatory Authority (FINRA)’s BrokerCheck. Brokerage accounts with Moomoo Financial Inc. are protected by the Securities Investor Protection Corporation (SIPC). Moomoo Financial Inc. is a member of Securities Investor Protection Corporation (SIPC), which protects securities customers of its members up to $500,000 (including $250,000 for claims for cash). It is important to understand that SIPC protects customer accounts against losses caused by the financial failure of the broker-dealer, but not against an increase or decrease in the market value of securities in customers' accounts. SIPC does not protect against market risk, which is the risk inherent in a fluctuating market. For further information about SIPC coverage for accounts with Moomoo Financial Inc., see www.sipc.org or request an explanatory brochure from Moomoo Financial Inc.
Options trading entails significant risk and is not appropriate for all customers. It is important that investors read Characteristics and Risks of Standardized Options before engaging in any options trading strategies. Options transactions are often complex and may involve the potential of losing the entire investment in a relatively short period of time. Certain complex options strategies carry additional risk, including the potential for losses that may exceed the original investment amount. Supporting documentation for any claims, if applicable, will be furnished upon request.
Investments in stocks, options, ETFs and other instruments are subject to risks, including possible loss of the amount invested. The value of investments may fluctuate and as a result, clients may lose the value of their investment. Past performance should not be viewed as an indicator of future results.
Margin trading involves interest charges and heightened risks, including the potential to lose more than invested funds or the need to deposit additional collateral. Before trading on margin, customers are advised to determine whether this type of trading is appropriate for them in light of their respective investment objective, experience, risk tolerance and financial situation.
Free trading refers to $0 commissions for Moomoo Financial Inc. self-directed individual cash or margin brokerage accounts of U.S. residents that trade U.S. listed securities via mobile devices or Web. Relevant SEC & FINRA fees may apply. For details, please see Commission and Fees.
All types of investments are risky and investors may suffer losses. Past performance of investment products does not guarantee future results. Electronic trading also poses risks to investors. The responsiveness of the trading system may vary due to market conditions, system performance, and other factors. Account access and trade execution may be affected by factors such as market volatility.
No content on the website shall be considered as a recommendation or solicitation for the purchase or sale of securities, futures, or other financial products. All information and data on the website are for reference only and no historical data shall be considered as the basis for predicting future trends.
Information contained on this website is general in nature and has been prepared without any consideration of customers’ investment objectives, financial situations or needs. Customers should consider the appropriateness of the information having regard to their personal circ*mstances before making any investment decisions.
Investment products are not insured by the Federal Deposit Insurance Corporation (FDIC) or guaranteed by a bank, and may decline in value.
The services and products offered on the website are subject to applicable laws and regulations, as well as relevant service terms and policies. The services and products are not available to all customers or in all geographic areas or in any jurisdiction where it is unlawful for us to offer such services and products.
Copyright © 2024 Moomoo Technologies Inc. All Rights Reserved.
FAQs
For those who believe that the Nasdaq will spike in the short run, the TQQQ may be a better option since it provides leverage. However, because of the structure of leveraged ETFs, the recommended holding period is from intraday to only a few days. Moreover, if the index drops, the TQQQ will lose 3x as much as the QQQ.
Why is TQQQ so risky? ›
Because TQQQ is so highly leveraged, the amount of buying of TQQQ becomes a strong indicator of what investors expect from the market. While this is true of all ETFs, it is much more so with the two highly leveraged ProShares ETFs TQQQ and SQQQ.
Why is TQQQ falling? ›
ProShares UltraPro QQQ (NASDAQ:TQQQ) shares are trading lower by 5.1% to $56.50 Tuesday morning. The leveraged ETF is falling after inflation for January 2024 dipped slightly but missed economists' forecasts.
What is the underlying of TQQQ? ›
TQQQ is a levered fund that delivers 3x exposure only over a one-day holding period of NASDAQ-100 stocks. The underlying index includes 100 of the largest non-financial companies listed on NASDAQ based on market capitalization.
Can 3x leveraged ETF go to zero? ›
Leveraged ETF prices tend to decay over time, and triple leverage will tend to decay at a faster rate than 2x leverage. As a result, they can tend toward zero.
Is now a good time to buy TQQQ? ›
Since the short-term average is above the long-term average there is a general buy signal in the ETF giving a positive forecast for the stock. On further gains, the ETF will meet resistance from the short-term Moving Average at approximately $64.00.
What is the most volatile 3x ETF? ›
The Direxion Daily Junior Gold Miners Index Bull 3x Shares (JNUG) and the Direxion Daily Junior Gold Miners Index Bear 3x Shares (JDST) are the two most volatile exchange-traded funds of all. Each has a one-year volatility reading of about 170.
What is the strategy of TQQQ? ›
The basic strategy is pretty simple: by holding TQQQ and some QQQ puts, you can insulate yourself from the downside and even realize a positive return if QQQ really sells off hard. Meanwhile, you have the aggressive upside offered by holding TQQQ.
Should you hold leveraged ETFs overnight? ›
Investors can hold the ETF for longer than a day, but returns can vary significantly from 2x exposure over longer periods. That's because the ETF resets its leverage daily. In oscillating markets, the leverage reset can significantly erode returns.
What is the TQQQ forecast for 2024? ›
According to the latest long-term forecast, ProShares UltraPro QQQ price will hit $80 by the end of 2024 and then $125 by the end of 2025. ProShares UltraPro QQQ will rise to $150 within the year of 2027, $200 in 2029 and $250 in 2033.
ProShares UltraPro QQQ (TQQQ)
Due to the daily reset feature, holding the fund for longer than a single day will result in compounding of returns and results that are likely to significantly differ from the target return.
Why is TQQQ so popular? ›
QQQ appears to be the single best long-term investment option for investors seeking total returns due to its ability to expose holders to top U.S. companies on an ongoing basis. The Nasdaq 100 has consistently outperformed the S&P 500 in terms of total returns, making it a favorable choice for long-term investors.
What are the negatives of TQQQ? ›
Leverage risk
TQQQ's triple leverage can significantly magnify losses. As a result, it is a highly volatile investment and is generally considered unsuitable for long-term investing.
Who is the largest holder of TQQQ? ›
Largest Shareholders of TQQQ
| Fund/Manager Name | % of Portf. | Shares Owned |
|---|
| Flow Traders US Llc | 5.04% | $ 94.32M |
| Jump Financial LLC | 1.18% | $ 43.20M |
| Paragon Advisors LLC | 15.09% | $ 37.45M |
| Cantor Fitzgerald L P | 7.74% | $ 33.80M |
6 more rowsThe bottom line on ProShares UltraPro QQQ
The ProShares UltraPro QQQ is certainly a risky, volatile ETF that isn't for investors with a low level of risk tolerance. If the Nasdaq-100 has a particularly bad market crash, it's possible to lose almost all your money.
Why is it bad to hold leveraged ETFs long term? ›
Bottom Line on Leveraged ETFs
Leveraged ETFs decay due to the compounding effect of daily returns, volatility of the market and the cost of leverage. The volatility drag of leveraged ETFs means that losses in the ETF can be magnified over time and they are not suitable for long-term investments.
Is it good to hold ETF for long term? ›
Units of such ETFs can be held for a long term as a part of the core portfolio. Investors can also use these ETFs to complement their trading or investment style to achieve diversification. For example, an aggressive trader going after momentum trades, can park some money in the units of low volatility ETF.
Why not hold SQQQ long term? ›
Disadvantages of the UltraPro Short QQQ (SQQQ) ETF
ProShares designed this for short-term, high-risk, and high-reward gains if the Nasdaq 100 struggles. This fund is unsuitable for a long-term hold; investors who buy and hold SQQQ find their returns badly damaged by expenses and decay.
Does TQQQ decay? ›
Does Tqqq decay? Because of its volatility, the TQQQ leveraged ETF might not be a good long-term investment for traders, or so experts say. Analysts say this ETF and other similar to it (such as the SQQQ) are better suited for intraday holding.
