UGE vs UYG

UGEBProShares Ultra Consumer Staples

UYGAProShares Ultra Financials

In short

UGE Leverage pointed at the market's sleepiest aisle. UGE aims for twice the daily move of the S&P 500's consumer staples names, the soap-soda-and-cereal corner, and it has been doing it since 2007.

UYG Listed in January 2007, a year before the banking crash, UYG targets 2x the daily move of the financial stocks in the S&P 500. A veteran of the leveraged shelf, priced at 0.93% with no fee waiver propping that number up.

Stated mandate

UGE The fund seeks daily returns, before fees and expenses, equal to twice the daily performance of the S&P Consumer Staples Select Sector Index.

UYG UYG seeks pre-expense daily results equal to 2x the daily performance of the S&P Financial Select Sector Index. It is designed to provide magnified financials-sector exposure on a daily basis.

Why people hold it

• UGE Targets 2x the daily performance of the S&P Consumer Staples Select Sector Index, which measures the staples companies inside the S&P 500. Roughly 40 names, one ticker.spglobal.com
• Costs 0.95% net of a waiver through September 30, 2027, versus 2.02% gross. That lands near the typical fee for leveraged equity funds and matches stablemate DDM at 0.95%.
• Launched in 2007, giving it a long operating history for a geared sector fund, and it sits in the upper tier of the leveraged long funds we cover.
• Staples leverage is a thin shelf. Most geared sector products chase tech, semis or financials, so a 2x line on toothpaste and groceries is a rarer tool.proshares.com

• UYG One of the originals: on the tape since January 30, 2007, still running the same mandate of 2x the daily performance of the S&P Financial Select Sector Index.proshares.com
• At 0.93% with no waiver doing the work, it sits near the median fee of its leveraged peer group and level with sibling ROM (0.93%). QLD is 0.89%, but net of a waiver through September 30, 2027.
• The whole sector in one ticker: banks, insurers and capital-markets firms from the S&P 500, roughly 80 names, geared daily.proshares.com
• Stands in the top tier of the leveraged bull funds we grade, a group of close to a hundred tickers.

Worth knowing

• UGE The 2x target resets every day. Held longer, daily rebalancing and compounding can push results away from twice the index's move over that stretch, in either direction.proshares.com
• Assets are small and the shares trade thinly next to the headline geared funds, which tends to show up as wider bid-ask spreads.
• Distributions come quarterly, but the stated objective is the daily index multiple, not income.

• UYG The 2x target is a one-day target and resets each day. Over longer holds the result comes from compounding daily moves, and in choppy markets that can land well off twice the index's return for the period.proshares.com
• One sector, doubled. Financials move with rates, credit conditions and deal flow, and UYG amplifies that daily swing in both directions.
• It changes hands less than the headline leveraged funds, so the spread is worth a look before you place an order.

Full UGE profile⁠

Full UYG profile⁠