DUG vs ERY

DUGBProShares UltraShort Energy

ERYCDirexion Daily Energy Bear 2X ETF

In short

DUG The inverse energy trade in stock form: DUG targets -2x the daily move of the S&P 500's energy sector, not barrels of crude. Trading since 2007, it is one of the old hands in a small corner of the market.

ERY A 2008-vintage way to lean against Big Oil: ERY aims for negative 200% of the daily move in the S&P 500's energy sector, shorting the stocks themselves rather than crude futures. Built as a single-day tool.

Stated mandate

DUG The fund seeks daily results, before fees and expenses, equal to two times the inverse of the daily performance of the S&P Energy Select Sector SM Index.

ERY The fund seeks daily investment results, before fees and expenses, equal to negative 200% of the Energy Select Sector Index. It is a leveraged inverse strategy intended for a single day rather than the index’s cumulative return over longer periods.

Why people hold it

• DUG Shorts stocks, not barrels: the stated target is -2x the daily move of the S&P Energy Select Sector Index, the energy names inside the S&P 500.spglobal.com
• Costs 0.95% net of a waiver through September 30, 2027, near the category median and below Direxion's ERY (0.99%) and DRIP (1.01%), each waived through September 1, 2027.
• Running since 2007, which makes it one of the longest-lived inverse energy funds, and one of the stronger implementations in a five-fund peer group.
• ProShares frames it two ways: a short-horizon play on an energy slide, or a hedge against energy exposure held elsewhere.proshares.comproshares.com 2

• ERY Shorts the equity sector, not the barrel: the target index holds the S&P 500's oil, gas and energy-services names, so there is no futures roll to manage.sec.gov
• Listed in 2008, it has traded through multiple oil busts and remains one of the more actively traded names in a thin bear-energy corner.
• The contract is plain: negative 200% of the Energy Select Sector Index for a single day, before fees and expenses. Distributions are quarterly.

Worth knowing

• DUG The -2x target applies to one day. Hold longer and compounding takes over, so multi-week results can differ significantly from -2x the index move.proshares.com
• Without the waiver, the stated gross expense is 1.43%, the level the fee schedule reverts to if the waiver lapses after September 30, 2027.
• Small by ETF standards and only moderately traded, so trading costs weigh more here than in the category's biggest names.

• ERY Daily reset: over multiple days results can drift well away from negative 2x the index's cumulative move, especially in choppy markets. Direxion frames it as a one-day position.direxion.com
• At 0.99% net of a waiver through September 1, 2027 (gross 1.04%), the fee sits near the category median and above DUG's 0.95%, net of a waiver through September 30, 2027.
• Short side, so a rising energy sector works against you at roughly twice the daily pace. Leverage cuts both directions.

Full DUG profile⁠

Full ERY profile⁠