Lately, I've been fascinated by the double-short ETFs like SRS and SKF. I have yet to see an analysis of these vehicles that made sense.
These ETFs track (and compound) -2x the daily swing in the underlying index. Several folks have already mentioned that volatility acts against the long holders of these securities. I am searching at the moment for a quantification of the volatility reduction, but have found nothing as of yet.
Perhaps I will have some spare cycles over the holiday. In the meantime, any pointers are welcome.
