Based on the aggregated intelligence of 180,000-plus investors participating in Motley Fool CAPS, the Fool's free investing community, the ProShares UltraPro Short S&P500 (NYSEMKT:SPXU) have received the dreaded one-star ranking.

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

SPXU facts



June 2009

Total Net Assets

$580.7 million

Investment Approach

Seeks daily investment results that correspond to three times the inverse (-3x) of the daily performance of the S&P 500. The index is a float-adjusted, market capitalization-weighted index of 500 U.S. operating companies and real estate investment trusts selected through a process that factors criteria such as liquidity, price, market capitalization, and financial viability.

Expense Ratio


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

(30.5%) / (46.5%) / (42.9%)


ProShares Short S&P500 

ProShares UltraShort QQQ 

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

On CAPS, 51% of the 459 members who have rated SPXU believe the ETF will underperform the S&P 500 going forward.

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

If there is anything other than a dramatic S&P plunge, this baby is basically mathematically guaranteed to underperform. Even with a long side-ways trend, expenses and volatility degradation will kill this sucker. This is just a short-term hold for people (read: suckers) that think they can time the market.

Want to see how well (or not so well) the stocks in this series are performing? Follow the TrackPoisedTo CAPS account.

Fool contributor Brian Pacampara owns no position in any of the companies mentioned. Try any of our Foolish newsletter services free for 30 days. We Fools may not all hold the same opinions, but we all believe that considering a diverse range of insights makes us better investors. The Motley Fool has a disclosure policy.