Direxion Daily QCOM Bull 2X ETF (QCMU)

The Direxion Daily QCOM Bull 2X ETF (ticker QCMU) is an exchange-traded fund from Direxion that seeks daily investment results, before fees and expenses, equal to two times (200%) the daily percentage change in the share price of Qualcomm Incorporated (QCOM). Qualcomm designs mobile processors, modems and connectivity chips and licenses a large portfolio of wireless communications patents.

To build its leveraged exposure, the fund generally uses swap agreements and may also hold shares of the underlying stock, options or other derivatives, along with cash and short-term instruments used as collateral. The portfolio is rebalanced each trading day to restore the 2x target.

Because the objective resets daily, the fund's results over periods longer than one day are affected by compounding and can differ significantly from twice the stock's return over the same period. The fund is designed as a short-term trading tool focused on a single company.