The ProShares UltraPro QQQ ETF (TQQQ) offers higher leverage and tech exposure compared to the ProShares Ultra S&P 500 ETF (SSO). TQQQ has a 3x target on the Nasdaq-100, while SSO aims for 2x the S&P 500. TQQQ leans heavily into tech, with a 55% allocation, while SSO is more diversified. TQQQ has a lower expense ratio, higher dividend yield, and higher AUM compared to SSO. However, TQQQ carries significantly more risk, with a higher beta and max drawdown. Both ETFs have doubled an initial $1,000 over five years, but SSO did so with less severe declines.

TQQQ is more suitable for short-term investors due to its higher risk and volatility, while SSO offers greater diversification and milder price fluctuations. TQQQ has potential for higher returns but comes with greater downside risk, as shown by its higher max drawdown. Both funds use a daily leverage reset and are designed for amplified index exposure. Long-term investors may prefer SSO for its lower risk profile.

Investing in leveraged ETFs like TQQQ and SSO entails substantial ups and downs, with both funds carrying greater risk. TQQQ has struggled with volatility in recent years, despite potentially higher returns. SSO, tracking the S&P 500 at 2x daily returns, provides more diversification and stability. Both ETFs are high-risk, high-reward investments suitable for short-term trading.

Read more at Yahoo Finance: TQQQ and SSO Aim for Above-Average Returns, But There’s a Clear Winner for Investors