# Betting on the Bear: SQQQ etc. "generally not intended to be held overnight"?

**URL:** <https://boards.straightdope.com/t/betting-on-the-bear-sqqq-etc-generally-not-intended-to-be-held-overnight/1018508>\
**Category:** In My Humble Opinion\
**Created:** [May 18, 2025, 6:27pm UTC](https://boards.straightdope.com/t/betting-on-the-bear-sqqq-etc-generally-not-intended-to-be-held-overnight/1018508 "2025-05-18T18:27:26Z")\
**Posts on this page:** 1\
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**Author:** ![Whack-a-Mole](https://sea3.discourse-cdn.com/straightdope/user_avatar/boards.straightdope.com/whack-a-mole/32/141_2.png) [@Whack-a-Mole](https://boards.straightdope.com/u/Whack-a-Mole)\
**Post date:** [May 18, 2025, 6:33pm UTC](https://boards.straightdope.com/t/betting-on-the-bear-sqqq-etc-generally-not-intended-to-be-held-overnight/1018508/2 "2025-05-18T18:33:18Z")

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You might find better answers in:

- [Investment general discussion thread](https://boards.straightdope.com/t/investment-general-discussion-thread/1015169)

More broadly this seems a bearish position. The real risk isn’t overnight holdings per se, but extended holding periods in volatile markets.

ISTM the issue is that these 3X leveraged ETFs reset their exposure daily. This daily resetting creates “volatility decay” or “path dependency,” which means that over multiple days, the ETF’s performance won’t simply be -3X the underlying index’s performance.

IANAFinancial advisor. Lots of other ways to say trading is risky and do not rely on anything I say about it.

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