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QLD ProShares Ultra QQQ

Category: Leveraged Equities

Inception: 2006-06-19 Issuer: Proshare Advisors LLC
Net Assets
$6.5B
Expense Ratio
N/A
# of Holdings
108
Average Daily Volume
4.63M

Fund Overview

The ProShares Ultra QQQ (QLD) is a leveraged ETF designed to deliver twice the daily performance of the Nasdaq-100 Index. This ETF uses financial derivatives and debt to amplify returns, making it suitable for investors seeking short-term exposure to the tech-heavy Nasdaq-100. The Nasdaq-100 Index includes 100 of the largest non-financial companies listed on the Nasdaq Stock Market, with a strong emphasis on technology, consumer services, and healthcare sectors. QLD is intended for sophisticated investors who understand the risks of leveraged products and are comfortable with the potential for amplified gains or losses.
Asset Class
Equity
Industry
N/A
Annual Dividend Rate
Smart Beta
No
Leveraged / Inverse
N/A / No
Dividend Quality - Yield
 - N/A
Currency Hedged
No
Portfolio Turnover
24 %
Dividend Date

Why Invest in the QLD ETF?

Potential Benefits

  • Offers 2x daily leveraged exposure to the Nasdaq-100 Index, potentially magnifying short-term gains.
  • Provides a cost-effective way to gain amplified exposure to leading tech and growth companies.
  • Liquidity is high, with tight bid-ask spreads, making it easy to trade.
  • No need for margin accounts or complex options strategies to achieve leveraged returns.
  • Diversified exposure to top-performing sectors like technology and consumer discretionary.

Potential Risks

  • Leveraged ETFs are designed for short-term holding periods; holding them long-term can lead to significant losses due to compounding effects.
  • Highly sensitive to market volatility, which can magnify losses as well as gains.
  • Performance may deviate from the 2x target over extended periods due to daily reset mechanics.
  • Higher expense ratio compared to non-leveraged ETFs, which can erode returns over time.
  • Not suitable for risk-averse investors or those unfamiliar with leveraged products.

Performance

1 Week 1 Month 1 Year 3 Years 5 Years YTD 2025 2024 Since Inception
+1.89% -1.80% +40.27% +175.20% +121.94% +28.47% +30.94% +47.79% +9028.12%

Performance


Monthly Returns (%)

Year Jan Feb Mar Apr May Jun Jul Aug Sep Oct Nov Dec
2026 +1.8% -5.2% -10.3% +32.9% +21.5% -1.7% -13.5% +7.9% -0.3% - - -
2025 +3.5% -6.0% -15.6% -0.3% +18.2% +12.5% +4.3% +1.2% +10.5% +9.0% -3.9% -1.9%
2024 +2.9% +10.0% +1.7% -9.3% +12.4% +12.1% -4.3% +1.1% +4.4% -2.4% +10.1% +0.1%
2023 +21.2% -1.7% +18.8% +0.3% +15.2% +12.3% +7.2% -4.0% -10.5% -4.9% +21.8% +10.7%
2022 -17.2% -9.6% +7.9% -26.0% -4.8% -18.3% +25.6% -10.9% -20.9% +6.6% +9.8% -18.1%
2021 +0.2% -0.7% +2.3% +11.8% -2.8% +12.7% +5.6% +8.4% -11.4% +16.2% +3.6% +1.6%
2020 +5.6% -11.8% -21.1% +30.6% +12.4% +12.3% +14.9% +22.8% -12.0% -6.7% +22.6% +9.8%
2019 +17.8% +5.6% +7.6% +10.8% -16.5% +15.4% +4.3% -4.7% +1.4% +8.4% +8.0% +7.6%
2018 +17.8% -3.4% -8.7% +0.3% +11.3% +1.7% +5.0% +11.8% -0.8% -17.7% -1.2% -17.9%
2017 +10.3% +8.8% +3.9% +5.3% +7.6% -5.1% +8.2% +3.6% -0.6% +9.1% +3.7% +0.9%
< -5% -5% to -2% -2% to 0% 0% 0% to +2% +2% to +5% > +5%

Top Holdings (by weight)

Symbol Company Name Weight
MSFT MICROSOFT CORP 7.5 %
AAPL APPLE INC 7.4 %
NVDA NVIDIA CORP 6.7 %
AMZN AMAZON.COM INC 5.2 %
AVGO BROADCOM INC 3.5 %
META META PLATFORMS INC CLASS A 3.2 %
COST COSTCO WHOLESALE CORP 2.8 %
NFLX NETFLIX INC 2.6 %
GOOGL ALPHABET INC CLASS A 2.4 %
GOOG ALPHABET INC CLASS C 2.3 %
Top 10 holdings shown, out of 108 total holdings.

Related ETFs: QLD vs Peers

ETF Full Name Expense Ratio Net Assets Holdings Asset Class
PSQ ProShares Short QQQ 0.95 % $571.9M 5 Equity
QLD ProShares Ultra QQQ N/A $6.5B 108 Equity
QQQ Invesco QQQ Trust Series I 0.20 % $297.5B 102 Equity
SDS ProShares UltraShort S&P500 N/A $450.2M 4 Equity
SPXL Direxion Daily S&P 500 Bull 3X Shares N/A $4B 507 Equity
SPXS Direxion Daily S&P 500 Bear 3X Shares N/A $416.8M 1 Equity
SQQQ ProShares UltraPro Short QQQ N/A $2.5B 9 Equity
SSO ProShares Ultra S&P 500 N/A $4.8B 510 Equity
TQQQ ProShares UltraPro QQQ N/A $19.6B 114 Equity
UPRO ProShares UltraPro S&P500 N/A $3.3B 512 Equity
Comparison highlights key differences on cost, coverage, and focus within sector ETFs.

Investment Strategy

QLD seeks to deliver 2x the daily performance of the Nasdaq-100 Index by using swaps, futures, and other derivative instruments. The fund does not invest directly in the index components but instead uses financial engineering to achieve its leveraged objective. The Nasdaq-100 Index is market-cap-weighted, meaning larger companies have a greater impact on performance. QLD rebalances its exposure daily to maintain the target leverage ratio, which is critical for investors to understand, as frequent rebalancing can lead to performance drift over longer periods.

Frequently Asked Questions

Is QLD suitable for long-term investing?

No, QLD is designed for short-term trading due to the effects of daily leverage resetting, which can lead to significant performance deviations over time.

How does QLD achieve its 2x leverage?

QLD uses derivatives such as swaps and futures to amplify daily returns, rather than holding the underlying stocks directly.

What are the main risks of investing in QLD?

The primary risks include volatility drag, compounding effects, and the potential for amplified losses in declining markets.

How does QLD compare to TQQQ?

QLD offers 2x daily leverage, while TQQQ provides 3x leverage, making TQQQ more aggressive and volatile.

Can QLD be used for hedging?

While primarily a bullish product, QLD could be part of a paired trade with inverse ETFs like SQQQ for hedging purposes, though this requires careful execution.

Industry Overview

The ProShares Ultra QQQ (QLD) is part of the leveraged ETF industry, which caters to traders and investors looking for amplified exposure to specific indices or sectors. Leveraged ETFs like QLD are popular among short-term traders and hedge funds seeking to capitalize on market movements. The Nasdaq-100 Index, which QLD tracks, is heavily weighted toward technology giants such as Apple, Microsoft, and Amazon, making it a barometer for the tech sector's performance. Investing in QLD requires a clear understanding of leverage risks and market timing, as these products are not designed for buy-and-hold strategies.

Alternative Comparison

Compared to its closest peer, the ProShares UltraPro QQQ (TQQQ), which offers 3x daily leverage, QLD provides a more moderate level of amplification, potentially reducing some of the volatility drag associated with higher leverage. Another alternative, the Invesco QQQ Trust (QQQ), offers non-leveraged exposure to the same index, making it a better choice for long-term investors. QLD's expense ratio is competitive within the leveraged ETF space, though it is higher than non-leveraged funds like QQQ. Unlike some leveraged ETFs that use synthetic replication, QLD aims for precise daily tracking through a mix of derivatives and cash equivalents.

Issuer Overview

ProShares is a leading provider of leveraged and inverse ETFs, offering a wide range of products designed for tactical trading strategies. The firm is known for its expertise in derivatives-based investing and has a strong track record in delivering innovative ETF solutions. ProShares' leveraged ETFs, including QLD, are widely used by active traders and institutional investors seeking short-term market exposure.

Conclusion

The ProShares Ultra QQQ (QLD) is a powerful tool for traders seeking amplified exposure to the Nasdaq-100 Index. Its 2x daily leverage can enhance returns in favorable market conditions but comes with significant risks, including volatility drag and potential for substantial losses. QLD is best suited for experienced investors with a short-term trading horizon and a high tolerance for risk. Long-term investors may prefer non-leveraged alternatives like QQQ for more stable exposure to the same underlying index.

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