UPRO seeks to deliver three times the daily return of the S&P 500 and resets its leverage every trading day. Because of daily compounding, returns over periods longer than one day can differ substantially from three times the index return. In volatile or falling markets the fund can lose much more than three times the index decline over the same period, and after large losses the index must rise by much more to recover. Leveraged funds also incur financing costs. UPRO is intended for short-term trading, not for long-term buy-and-hold investing.
