It replicates a sharply amplified multiple of the daily price movement of the Russell 2000 Index, combining stocks with derivatives such as index return swap agreements to maintain leveraged exposure.

It is suited to experienced traders who expect a clear short-term rally in the US small-cap market and are willing to accept high risk in pursuit of high returns.

Direxion launched it in 2008 as an actively managed ETF.

At the close of each trading day, the fund resets its leverage ratio to the stated multiple. It increases exposure when the index rises and reduces it when the index falls in order to maintain the daily target multiple, relying mainly on derivative contracts.

• The industry's leading leveraged vehicle for the US small-cap market
• A smooth trading environment backed by high trading volume and abundant liquidity

Assets under management (AUM) stand at $1.3B, and the Expense Ratio is 1.05% per year.

Compared with other leveraged ETFs shown in the table, such as TQQQ, SOXL, and QLD, TNA stands out because it invests in the economic sensitivity of small caps as a whole rather than in technology or semiconductor stocks.

It can post sharp gains when small caps are strong on hopes of an economic recovery or during a rate-cut cycle, but in choppy, sideways markets with high volatility, its value tends to erode regardless of the index's performance.

Directional-bet money on the small-cap sector flows in actively around macroeconomic data releases and monetary policy shifts, and daily trading value remains at a high level.

Its strength is maximizing profit in short-term rallies, but the risk of capital erosion in falling and sideways markets due to the compounding effect can be severe.

TQQQ and SOXL in the table amplify the Nasdaq 100 and a semiconductor index respectively, and carry a similar risk profile. If the leverage multiple feels burdensome, you can consider a product with a lower multiple, and if you want to bet against small caps, you can consider the inverse product TZA. To invest in small caps without leverage, IWM is the standard choice.

These are highly critical risk points to review before investing in TNA. Please approach it only after fully understanding the structural characteristics of leveraged ETFs and the serious danger of volatility decay, and after considering whether it fits your own investment profile.

Because it seeks a multiple of daily returns, cumulative returns diverge from the index's performance after even a single day. In particular, holding it for the long term in a highly volatile market can lead to losses so deep that recovering your principal becomes impossible.

It is a short-term tactical tool for experienced traders. It should be used only in a limited way during periods of a clear uptrend, and should be avoided as a long-term core holding in a portfolio.