ProShares Ultra S&P500 (SSO) ETF: How to Buy

The ProShares Ultra S&P500 ETF (SSO -1.22%) is an exchange-traded fund (ETF) managed by ProShare Advisors. The investment management firm offers exchange-traded funds to both individual and institutional investors.

The ProShares Ultra S&P500 ETF had net assets of approximately $5.63 billion as of early 2025. This guide will teach you everything you need to know about investing in this ETF.

What is the ProShares Ultra S&P500 ETF (SSO)?

The ProShares Ultra S&P500 ETF (SSO) is an exchange-traded fund designed to double the daily performance of the S&P 500 index. It's intended for investors who want to take advantage of potential market increases in large-cap U.S. stocks and is usually preferred by day traders rather than long-term investors. This ProShares ETF was launched in 2006 and uses derivatives like futures and swaps to create its portfolio.

It primarily invests in growth and value stocks of large-cap companies. The ETF also invests in financial instruments that are intended to produce daily returns that match its target. It is considered a nondiversified fund, which means that it concentrates a large portion of its assets in a limited number of securities or industries, and does not spread its investments across a wide variety of asset classes.

How to buy

How to buy the ProShares Ultra S&P500 ETF (SSO)

When considering any exchange-traded fund, you should review factors such as its costs, risks, and underlying assets. Take into account whether the ETF fits your goals, the experience and track record of the management team, and how the ETF has performed in different market conditions.

You should also consider the reputation and financial stability of the ETF issuer, and whether larger funds have better liquidity and lower operating costs. The process for buying the ProShares Ultra S&P500 ETF (SSO) isn't much different from buying a stock, another ETF, or a mutual fund. Let's take a look at the process.

1. Open your brokerage app: Log into your brokerage account where you handle your investments.
2. Search for the ETF: Enter the ticker or ETF name into the search bar to bring up the ETF's trading page.
3. Decide how many shares to buy: Consider your investment goals and how much of your portfolio you want to allocate to this ETF.
4. Select order type: Choose between a market order to buy at the current price or a limit order to specify the maximum price you're willing to pay.
5. Submit your order: Confirm the details and submit your buy order.
6. Review your purchase: Check your portfolio to ensure your order was filled as expected and adjust your investment strategy accordingly.

Holdings

Holdings of the ProShares Ultra S&P500 ETF (SSO)

This ProShares ETF has around 500 holdings, just like its underlying benchmark index, the S&P 500. This ETF is a leveraged ETF, primarily using futures and swaps as derivative instruments to achieve its goal of providing 2x daily leveraged exposure to the S&P 500 index.

As the use of swaps enables the ETF to provide 2x leverage on the S&P 500, a 1% increase in the index would theoretically result in a 2% increase in the fund’s value. The following table shows the top 10 equity swap holdings in the ETF as of early 2025:

As of early 2025, the top 10 company holdings in the ProShares ETF portfolio were as follows:

1. Apple (AAPL -0.19%): 5.26%
2. Nvidia (NVDA -3.38%): 4.85%
3. Microsoft (MSFT -0.65%): 4.32%
4. Amazon (AMZN -1.16%): 3.05%
5. Meta Platforms (META -1.69%): 2.28%
6. Broadcom (AVGO -3.7%): 1.55%
7. Alphabet Class A (GOOGL 0.63%): 1.54%
8. Tesla (TSLA -3.45%): 1.41%
9. Alphabet Class C (GOOG 0.56%): 1.27%
10. Berkshire Hathaway Class B (BRK.B 0.63%): 1.25%

Should I invest?

Should I invest in the ProShares Ultra S&P500 ETF (SSO)?

Making any investment is a personal decision. If you’re considering this ProShares ETF, you need to make sure it aligns with your goals, values, and risk tolerance level. This ETF is primarily designed for day traders rather than geared toward long-term investors.

Leveraged ETFs like the ProShares Ultra S&P500 ETF can offer the opportunity to produce double the daily returns of their underlying index (in this case, the S&P 500). Because this leveraged ETF uses financial derivatives and other instruments to achieve its performance objectives, investors can indirectly gain exposure to options or futures contracts without having to purchase them directly.

Like the S&P 500 index, this ETF offers investors exposure to the largest U.S. companies and sectors. To qualify for the S&P 500 index, which is the underlying benchmark that the ProShares Ultra S&P500 ETF seeks to deliver twice the daily returns of, companies must have a large market cap, be highly liquid, maintain a large public float, and be profitable.

There are several reasons that this ETF might not be the right choice for certain investors. By entering into swap agreements and futures contracts linked to the index, the fund can magnify its returns based on the daily movements of the market, allowing investors to potentially profit significantly from a rising market, but risking amplified losses during downturns.

The leverage is reset daily, meaning that the fund aims to achieve its 2x daily return target each trading day. However, this can lead to significant discrepancies in long-term returns compared to simply holding the S&P 500 and enjoying its compounding effects. Because of the leverage, this ProShares ETF experiences significantly higher volatility compared to a standard S&P 500 tracking ETF.

Dividend

Does the ProShares Ultra S&P500 ETF (SSO) pay a dividend?

This ETF pays a dividend that it distributes on a quarterly basis. The dividend yielded about 1.3% as of early 2025, right in line with the average S&P 500 stock yield.

Expense ratio

What is the ProShares Ultra S&P500 ETF (SSO)’s expense ratio?

This ProShares ETF has an expense ratio of about 0.89%. That is on the higher end of expense ratios, meaning that an $10,000 investment in this ETF would incur an annual fee of approximately $89.

Historical performance

Historical performance of the ProShares Ultra S&P500 ETF (SSO)

The ProShares Ultra S&P500 ETF is an exchange-traded fund that aims to double the daily performance of the S&P 500 index. Let’s see how the fund has delivered on that objective through the years.

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The bottom line

The bottom line on the ProShares Ultra S&P500 ETF (SSO)

Overall, the ProShares Ultra S&P500 ETF could be an intriguing choice for investors who want exposure to a leveraged ETF that seeks to deliver twice the daily return of the S&P 500. The ETF offers exposures to some of the top companies in the world including information technology, financials, and healthcare businesses. Investing in this ETF also presents an opportunity to invest in a fund structured with the aim to significantly beat the returns of the broader market.

However, this fund may not be the best choice for long-term buy-and-hold investors. A fund that uses derivatives like futures and swaps inherently increases risk, so investors should be aware of this and ensure that this setup aligns with their risk tolerance level before buying shares of this ETF. Likewise, while a 1% gain for the S&P 500 would produce a 2% gain for this ETF, a 1% drop could lead to a drop twice that amount (2%).

The high leverage featured in the ProShares Ultra S&P500 ETF means that even small market movements can result in large price swings. Leveraged ETFs are extremely risky for many investors. Except for investors who have an extremely healthy risk appetite, this ETF may be worth only a very small position or merit a pass.

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