FNGU Stock Forecast 2025 : The MicroSectors FANG+ Index 3X Leveraged ETN (FNGU) is a stock traded on the NYSEArca stock exchange . As of November 28, 2023, 12:35 AM EST, the stock price is $201.78 .
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What Is FNGU Stock ?
FNGU, or MicroSectors FANG+ Index 3X Leveraged ETN, is an exchange-traded note (ETN) that tracks the performance of the MicroSectors FANG+ Index, which focuses on the top 30 most liquid and tradable U.S.-listed stocks of companies in the technology, media, and telecommunications (TMT) sectors. This ETN provides 3x leveraged exposure to the index, meaning that its value can fluctuate three times as much as the index itself.
How does FNGU work?
FNGU is a leveraged ETN, which means it uses borrowed money to amplify its exposure to the underlying index. This can magnify both gains and losses. For example, if the underlying index goes up 1%, FNGU would go up 3%. Conversely, if the underlying index goes down 1%, FNGU would go down 3%.
What are the risks of investing in FNGU?
FNGU is a high-risk investment due to its leveraged nature and sector concentration. Some of the key risks include:
- Leveraged risk: The ETN’s leveraged nature can magnify both gains and losses, making it a volatile investment.
- Sector risk: The ETN’s concentration in technology stocks exposes it to sector-specific risks, such as a downturn in the tech sector.
- Interest rate risk: The ETN is sensitive to changes in interest rates.
Who should invest in FNGU?
FNGU is designed for sophisticated investors who are comfortable with a high degree of risk and are looking for short-term trading opportunities. It is not suitable for long-term buy-and-hold investors.
Alternatives to FNGU
There are a number of alternative investments that offer exposure to technology stocks without the same level of risk as FNGU. Some of these include:
- State Street Corp.’s Technology Select Sector SPDR Fund (XLK): Offers broad tech exposure without investing in Alphabet, Facebook, and Twitter.
- Vanguard Information Technology ETF (VGT): Provides broad tech exposure without investing in Alphabet, Facebook, and Twitter.
- Invesco QQQ Trust (QQQ): Invests in non-financial companies listed on the Nasdaq, including all FANG stocks except Twitter.
- Direxion Daily Technology Bull 3X Shares (TECL): Uses leverage to juice returns of the same stocks as XLK.
Management fee
FNGU’s management fee of 95 basis points is considered high for a passive investment.
Overall, FNGU is a high-risk investment that is not suitable for all investors. It is important to carefully consider your investment objectives, risk tolerance, and financial situation before investing in FNGU.
FNGU Stock Forecast 2025
Here’s a breakdown of FNGU’s key features:
Feature | Value (FNGU Stock Forecast 2025) |
---|---|
Investment Objective | Provide 3x leveraged exposure to the performance of the MicroSectors FANG+ Index |
Underlying Index | MicroSectors FANG+ Index |
Leverage | 3x |
Asset Class | Exchange-Traded Note (ETN) |
Sector Focus | Technology, Media, and Telecommunications (TMT) |
Price as of November 27, 2023 | $201.19 |
52-Week Range | $36.64 to $228.00 |
Total Net Assets | $1.815 billion |
FNGU Stock Forecast 2025
It is difficult to make a definitive prediction for FNGU’s performance in 2025, as the future of the TMT sector is uncertain. However, based on current trends, it is possible that FNGU will continue to experience volatile swings in price.
Here are some factors that could affect FNGU’s performance in 2025:
- The overall performance of the TMT sector: If the TMT sector experiences strong growth, FNGU is likely to do well. However, if the sector experiences a downturn, FNGU is likely to suffer.
- Interest rates: Changes in interest rates can affect the performance of leveraged ETFs like FNGU. If interest rates rise, the cost of borrowing money to amplify exposure to the underlying index will increase, which could lead to lower returns for FNGU.
- Economic conditions: FNGU is more sensitive to economic downturns than the broader market. If the economy enters a recession, FNGU is likely to experience significant losses.
Latest Facts for Users
- FNGU’s current price is $203.55.
- FNGU’s average daily trading volume is 37,360 shares.
- FNGU’s YTD return is 208.57%.
- FNGU’s beta is 3.31.
- FNGU’s expense ratio is 0.95%.
Recommendation For FNGU Stock Forecast 2025
If you are considering investing in FNGU, it is important to carefully consider the risks involved. You should only invest in FNGU if you have a high risk tolerance and are comfortable with the possibility of significant losses.
MicroSectors FANG+ Index 3X Leveraged ETN (FNGU)
Feature | Value |
---|---|
Previous Close | 203.20 |
Open | 202.55 |
Bid | 0.00 x 800 |
Ask | 0.00 x 1000 |
Day’s Range | 201.31 – 206.55 |
52 Week Range | 36.64 – 228.00 |
Volume | 848,179 |
Avg. Volume | 2,066,203 |
Net Assets | 1.82BN |
NAV | 203.44 |
PE Ratio (TTM) | 85.21 |
Yield | 0.00% |
YTD Daily Total Return | 369.50% |
Beta (5Y Monthly) | 3.31 |
Expense Ratio (net) | 0.95% |
Inception Date | 2018-01-22 |
FNGU is a 3x leveraged exchange-traded note (ETN) that tracks the performance of the MicroSectors FANG+ Index. The index is composed of the top 30 most liquid and tradable U.S.-listed stocks of companies in the technology, media, and telecommunications (TMT) sectors. As of today, FNGU was trading at $201.19 per share. The stock has a 52-week range of $36.64 to $228.00. The total net assets of the ETN are $1.815 billion.
Key Considerations for Investing in FNGU:
- Leveraged risk: The ETN is leveraged, which means that it uses borrowed money to amplify its exposure to the underlying index. This can magnify both gains and losses.
- Sector risk: The ETN is concentrated in the TMT sector, which is more volatile than the overall market.
- Interest rate risk: The ETN is sensitive to changes in interest rates.
FNGU is a volatile investment that is not suitable for all investors. The ETN is designed for investors who have a strong understanding of leveraged investments and who are willing to accept a high degree of risk.
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FAQs about FNGU: FNGU Stock Forecast 2025
1. What is FNGU?
FNGU, or MicroSectors FANG+ Index 3X Leveraged ETN, is an exchange-traded note (ETN) that tracks the performance of the MicroSectors FANG+ Index, which focuses on the top 30 most liquid and tradable U.S.-listed stocks of companies in the technology, media, and telecommunications (TMT) sectors. This ETN provides 3x leveraged exposure to the index, meaning that its value can fluctuate three times as much as the index itself.
2. How does FNGU work?
FNGU is a leveraged ETN, which means that it uses borrowed money to amplify its exposure to the underlying index. This can magnify both gains and losses. For example, if the underlying index goes up 1%, FNGU would go up 3%. Conversely, if the underlying index goes down 1%, FNGU would go down 3%.
3. What are the risks of investing in FNGU?
FNGU is a high-risk investment due to its leveraged nature and sector concentration. Some of the key risks include:
- Leveraged risk: The ETN’s leveraged nature can magnify both gains and losses, making it a volatile investment.
- Sector risk: The ETN’s concentration in technology stocks exposes it to sector-specific risks, such as a downturn in the tech sector.
- Interest rate risk: The ETN is sensitive to changes in interest rates.
4. Who should invest in FNGU?
FNGU is designed for sophisticated investors who are comfortable with a high degree of risk and are looking for short-term trading opportunities. It is not suitable for long-term buy-and-hold investors.
5. What are some alternatives to FNGU?
There are a number of alternative investments that offer exposure to technology stocks without the same level of risk as FNGU. Some of these include:
- State Street Corp.’s Technology Select Sector SPDR Fund (XLK): Offers broad tech exposure without investing in Alphabet, Facebook, and Twitter.
- Vanguard Information Technology ETF (VGT): Provides broad tech exposure without investing in Alphabet, Facebook, and Twitter.
- Invesco QQQ Trust (QQQ): Invests in non-financial companies listed on the Nasdaq, including all FANG stocks except Twitter.
- Direxion Daily Technology Bull 3X Shares (TECL): Uses leverage to juice returns of the same stocks as XLK.
6. What is the management fee for FNGU?
FNGU’s management fee of 95 basis points is considered high for a passive investment.
7. What is FNGU’s correlation with the S&P 500?
FNGU has a high correlation with the S&P 500, meaning that its performance closely tracks the performance of the broad market. However, its leveraged nature can cause its performance to diverge from the S&P 500 in the short term.
8. How does FNGU rebalance?
FNGU rebalances daily to ensure that its exposure to the underlying index remains at 3x. This rebalancing process can lead to additional volatility in the ETN’s price.
9. What is FNGU’s historical performance?
FNGU has a volatile history, with periods of both significant gains and losses. Over the past five years, the ETN has returned an annualized 38.2%. However, it has also experienced periods of significant drawdowns, such as in 2022 when it lost over 60% of its value.
10. Is FNGU a good investment?
FNGU is a risky investment that is not suitable for all investors. It is important to carefully consider your investment objectives, risk tolerance, and financial situation before investing in FNGU.
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