SPDN Stock Recent News

The Direxion Daily S&P 500 Bear 1X Shares ETF takes a bearish bet against the market, providing short-term speculation opportunities. The ETF has low expense ratios and allows access to shorting at pretty low fees compared to the fees associated with shorting directly. The value erosion risk and daily resetting quirk make SPDN unsuitable for long-term investing, but upcoming inflation data could make it interesting for speculation.

Jerry Wagner is president, founder and chief investment officer of Flexible Plan, a turnkey asset management program (TAMP) with more than $1.5 billion invested in its separately managed accounts.

The anticipation of more rate hikes by the U.S. Federal Reserve could spur more volatility ahead, which makes for trading opportunities in the S&P 500 — notably, the Direxion Daily S&P 500 Bear 1X Shares (SPDN).

Except for the higher probability of a recession occurring this year, market conditions are more or less the same as in 2022, when Direxion Daily S&P 500 Bear 1x Shares ETF delivered gains of nearly 18%. Thus, this ETF becomes attractive in 2023 for shorting the S&P 500 Index.

SPDN is not the largest or oldest way to short the S&P 500, but it's a solid choice. This ETF uses a variety of financial instruments to target a return opposite that of the S&P 500 Index.