The ETRACS Monthly Pay 2X Leveraged US Dividend High Income ETN, with the ticker symbol SCDL, is an exchange-traded note (ETN) that seeks to provide leveraged exposure to the performance of the Solactive US Dividend Low Volatility Index. The index is designed to track the performance of 100 U.S. stocks with high dividend yields and low volatility.
SCDL seeks to provide twice the monthly return of the Solactive US Dividend Low Volatility Index, net of fees. The ETN is designed to provide leveraged returns on a monthly basis, and is intended to be held for short-term trading rather than as a long-term investment.
Investing in SCDL can provide investors with leveraged exposure to high dividend-yielding U.S. stocks with low volatility, which can offer the potential for income and capital appreciation. However, it's important to keep in mind that investing in any leveraged product like SCDL carries certain risks, including the potential for amplified losses during periods of market volatility.
As with any investment, investors should carefully consider their investment goals, risk tolerance, and other factors before investing in SCDL or any other security. It's also important to consult with a financial advisor to determine whether this ETN is a suitable investment given an individual's unique circumstances and financial goals.
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