Investors are familiar with the concept of “buying the dip” but may not know how to profit from it. While markets have historically been cyclical, there are no guarantees of future returns. Michael Burry, of “The Big Short” fame, has taken a big short position in Palantir and Nvidia. Inverse or bear ETFs rise in price when their target index falls. These ETFs can provide a hedge against market downturns. Inverse ETFs are not limited to stocks, as there are options for bonds, sectors, and even single stocks. As markets evolve, the interest in these inverse ETFs may increase.

Read more at Barchart: These ETFs Prove You Don’t Have to Be Michael Burry of ‘Big Short’ Fame to Profit from Stock Market Dips