ETFs Poised to Plunge: Direxion Daily Semiconductor Bear 3x

Based on the aggregated intelligence of 180,000-plus investors participating in Motley Fool CAPS, the Fool's free investing community, the Direxion Daily Semiconductor Bear 3x Shares (NYSEMKT: SOXS  ) have received the dreaded one-star ranking.

With that in mind, let's take a closer look at SOXS, and see what CAPS investors are saying about the ETF right now.

SOXS facts

   

Inception

March 2010 

Total Net Assets

$38.0 million

Investment Approach

Seeks daily investment results of 300% of the inverse of the performance of the PHLX Semiconductor Sector Index. The index measures the performance of the semiconductor subsector of the U.S. equity market.

Expense Ratio

1.2%

Year-to-Date / 1-Year / 3-Year Return

(36.7%) / (35.8%) / (52.5%)

Sources: S&P Capital IQ and Motley Fool CAPS.

On CAPS, 67% of the 254 members who have rated SOXS believe the ETF will underperform the S&P 500 going forward.

Just yesterday, one of those Fools, All-Star TerryHogan, succinctly summed up the SOXS underperform case for our community:

Until all my appliances, furniture, shoes, and underwear are connected to the web, I'm bullish on semiconductors long term. ... Even ignoring the huge growth that's still available to semiconductors, I will always bet against a leveraged daily bear ETF (even if it was on buggy whip manufacturers).

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