‘100%’ Yields Are Fueling a Retail Boom in New Quick-Buck ETFs (1)

Oct. 7, 2024, 4:39 PM UTC

Across platforms like TikTok, YouTube and Reddit, financial influencers are promoting a new way to speculate in the stock market — touting payouts that, at first blush, can top 100%, or more.

Known in the industry as derivatives-enhanced exchange-traded funds, they’ve become a big hit with retail investors who are piling into a slew of bold-faced trades, including those that amp up the daily returns of the hottest stocks on the planet.

Tens of thousands of amateur investors are congregating on forums to discuss the merits of the fast-growing product range, like options-powered bets on Nvidia Corp., Tesla Inc., ...

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