Investors are pouring money into Nvidia ETFs, driving up assets and boosting prices

From Yahoo Finance:

Investors are flocking to Nvidia-focused ETFs as AI excitement surges, with the GraniteShares 2x Long NVDA Daily ETF seeing a record $197 million in daily inflows. The fund’s assets have skyrocketed from $213.75 million to $1.41 billion this year.

Leveraged ETFs tracking single stocks, like those for Nvidia, have gained popularity for speculators chasing volatile shares based on earnings. Nvidia’s stock, dominant in the high-end AI chip market, has surged 82% this year amidst AI hype.

“Nvidia has been the hottest stock in 2024,” says Todd Rosenbluth of VettaFi. Expectations for heightened returns in exchange for increased risk are driving investors towards single-stock leveraged ETFs amid the emergence of new must-own companies.

Net monthly inflows into leveraged ETFs linked to Nvidia hit records in February, with the GraniteShares ETF smashing its net monthly flow record in just the first six days of the month. Assets of three Nvidia-linked ETFs have jumped up to 11 times since the start of 2024, with prices up between 143% and 218% year-to-date, outperforming other ETFs.



Read more at Yahoo Finance: Inflows into bullish Nvidia ETF hit record on AI frenzy