Intro

This chapter delves into the use of leverage in investment portfolios, particularly through exchange-traded funds (ETFs). It highlights how leverage can enhance returns while also exposing investors to greater risks, especially during market declines, supported by historical examples.

Play episode from 00:00

chevron_right

Transcript

chevron_right

Transcript

Episode notes

Bryan Armour, director of passive strategies research for North America for Morningstar Research Services, talks about the best way for most retail investors to leverage and which leveraged ETFs look promising. Travis Miller, strategist for Morningstar Research Services, discusses how tech companies are looking to nuclear energy to fuel data centers’ surging demand.

Why Leverage Has a Debatable Reputation in Investing

Volatility Drag and Leveraged ETFs

Why Does Leverage Kill ETFs?

What Are ETPs?

A Better Way for Investors to Use Leverage in Their Portfolio

How Can Investors Add Leverage to Their Portfolio Without Volatility Drag?

Costs of Leveraged ETFs

How Most Investors Should Gain Exposure to Leverage

Do Leveraged ETFs Show Promise?

What’s Coming Up in the Markets?

How Much Energy Does a Data Center Need to Run?

Why Small Modular Reactors Could Be Key to Powering Data Centers

Are Carbon-Free Pledges Driving Companies Toward Nuclear Energy?