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gained momentum in April, damping demand for exchanged-traded funds that move opposite the market.
Only one "inverse-leveraged" fund ranked among the 10 most-popular ETFs in April based on daily average dollar volume, down from two in
, according to TheStreet.com Ratings. Four ProShares UltraShort ETFs were among the top 15 in March, but only two made the list in April.
Investors fled inverse-leveraged funds, which are designed to fall as
rise, as the S&P 500 Index advanced 9.4% last month. These funds have also proved to be unreliable for anything other than short-term hedges and speculative trades. The
ProShares UltraShort Dow 30 ETF
, which should have lost more than 10% this year, is down 3.7%.
SPDR S&P 500 ETF
was the most-popular ETF for April. Its top holdings include blue chips
The No. 2 fund,
, climbed 13% during the month. The fund holds the 100 largest Nasdaq-listed stocks, which includes
Richard Widows is a senior financial analyst for TheStreet.com Ratings. Prior to joining TheStreet.com, Widows was senior product manager for quantitative analytics at Thomson Financial. After receiving an M.B.A. from Santa Clara University in California, his career included development of investment information systems at data firms, including the Lipper division of Reuters. His international experience includes assignments in the U.K. and East Asia.