Ben Felix talks about LETFS
Ben Felix was on the iced coffee hour and he talked about LEFTs and what he said is pretty much in line with most on this sub believe, which is:
-As long as you know exactly what you are getting yourself into, and can stomach the downturns, it’s not a bad strategy.
-He also mentioned that a couple of professors he talked to who did research about LETFs said the volatility decay is not much of a concern at all. The outsized gains of LETFs more than make up for both the expense ratios and the volatility decay.
He definitely doesn’t go as far as recommending it for the average person, but I thought it was interesting that he doesn’t outright reject it the way a lot of people do.
Another thing he talked about was the importance international diversification for those planning to implement this strategy. Besides EFO, do you guys know of any international LETFs that cover the market?
PS: Skip to 34:28 for the discussion about LETFs