Investing

5 articles

Why Leveraged Stocks Are More Dangerous Than They Appear

Leveraged exchange-traded funds promise amplified returns, but their structure introduces risks that many investors underestimate. Products like Direxion Daily S&P 500 Bull 3X Shares (SPXL) are designed to track multiples of daily market movements, not long-term performance. This leads to effects like volatility decay, where gains and losses compound unevenly, gradually eroding value even in sideways or mildly positive markets. Combined with daily rebalancing, higher costs, and the risk of margin calls, leveraged investing can result in significant losses, even when an investor is directionally correct.

Noah SolingaApril 14, 2026

Defensive Stocks

Defensive stocks are shares of companies that tend to remain stable regardless of overall economic conditions. These businesses provide essential goods and services—such as groceries, household products, healthcare, and utilities—that people continue to rely on even during economic downturns. While companies like Walmart and Procter & Gamble may still be affected by the economy, demand for their products remains relatively consistent. This stability makes defensive stocks less volatile, though they often grow more slowly during strong economic periods. As a result, defensive stocks are commonly used to reduce risk and add stability within a diversified investment portfolio.

Dovid ZlotnickApril 14, 2026

What Is Quantitative Finance?

What if a math equation could beat every investor on Wall Street? For Renaissance Technologies, it already has.

Josh PortnoyMarch 15, 2026

Mutual Funds and Index Funds: What Is the Difference?

Mutual funds and index funds sound like the same thing, but picking the wrong one could cost you thousands of dollars over time. Here's what you actually need to know.

Pin FeldmanMarch 15, 2026

Why I Prefer ETFs Over Mutual Funds

Most people think paying a professional to manage their money is the safe bet. The data says otherwise.

Dovid ZlotnickMarch 15, 2026