Treasury ETF Loses Record $6.1 Billion by Betting on Rate Rise
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An exchange-traded fund that profits when interest rates rise has burned through more investor cash than any other in the industry.
The ProShares UltraShort 20+ Year Treasury fund has lost $6.1 billion of investor money since its inception in 2008, more than any other ETF has lost during its existence, according to data from Bloomberg Intelligence as of March 19. The fund, which trades under the ticker TBT, is down 10.7 percent this year through Friday, losing 7.3 percent last week alone after the Federal Reserve sparked a rally in Treasuries by lowering its economic forecasts and the projected pace of rate hikes.