Leveraged ETFs Lured $1.5 Billion on Day Gensler Flagged Risks
- Flow data shows traders poured into amped-up funds on Monday
- SEC chief warned products not suitable for every investor
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The very day Gary Gensler signaled new rules to tame the risky world of leveraged ETFs, investors piled into the complex products at a historic rate.
More than $1.5 billion was poured into four of the most amped-up exchange-traded funds in the U.S. on Monday, according to data compiled by Bloomberg released overnight. The outsize allocation came just as the Securities and Exchange Commission Chair warned the derivatives-powered investing style is not suitable for everyone