At a glance
CHAU charges 1.19% a year. It has $91.5M in assets; it paid 2.74% of its price in distributions over the past 12 months, quarterly. Over the past year it returned −17.8% with distributions reinvested (S&P 500: +11.5%); over three years it returned +8.3% a year. At its worst it fell 34.9% in the 2020 crash (S&P 500: 33.7%) and 54.9% in the 2022 bear market (S&P 500: 24.5%).
The short version
Direxion Daily CSI 300 China A Share Bull 2x Shares (CHAU) aims to return twice the daily move of the CSI 300 Index, which tracks 300 large mainland Chinese stocks. The leverage resets every trading day, so over weeks or months its results can be far from twice the index. Its expense ratio is 1.19%, and it has dropped as much as 79.2% from a past peak.
Price history
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CHAU -17.8% over the year to Oct 27, 2026, total return with distributions reinvested.
How it has behaved
| YTD | 1 yr | 3 yr | 5 yr | 10 yr | Since start | |
|---|---|---|---|---|---|---|
| CHAU official prospectus, to Dec 31, 2025 | — | +47.54% | — | -11.04% | +0.23% | — |
| CHAU price data to Oct 27, 2026 | -17.2% | -17.8% | +8.3% | -13.2% | +0.5% | -6.7% |
- Over the year to Oct 27, 2026, CHAU returned -17.8%.
- Its 5-year annualized return was -13.2% and its 10-year +0.5%.
- In the 2020 COVID crash it fell 34.9% and regained its old high 3.4 months after the low.
- Its worst full calendar year was 2018 (-51.0%); its best was 2017 (+74.9%).
- The deepest fall in its price history was 79.2% (Jun 12, 2015 to Apr 7, 2025), not yet recovered.
Show as a table
| Year | Price data | Prospectus (official) |
|---|---|---|
| 2026 (to date) | -17.2% | — |
| 2025 | +47.7% | +47.54% |
| 2024 | +6.5% | +6.51% |
| 2023 | -28.3% | -28.45% |
| 2022 | -49.2% | -49.01% |
| 2021 | -2.9% | -2.82% |
| 2020 | +72.0% | +71.70% |
| 2019 | +70.0% | +70.52% |
| 2018 | -51.0% | -51.17% |
| 2017 | +74.9% | +75.29% |
| 2016 | -26.9% | -26.74% |
| 2008 financial crisis stocks fell Oct 9, 2007 – Mar 9, 2009 | Before this security existed |
|---|---|
| 2020 COVID crash stocks fell Feb 19, 2020 – Mar 23, 2020 | Lost 28.6% over that stretch · deepest drop along the way 34.9%, back to its old high 3.4 months after the low |
| 2022 bear market stocks fell Jan 3, 2022 – Oct 12, 2022 | Lost 54.1% over that stretch · deepest drop along the way 54.9%, not recovered by the end of the data |
Dividends and income
Show as a table
| Year | Per share | Change |
|---|---|---|
| 2026 (to date) | $0.3200 | |
| 2025 | $0.4100 | +28.1% |
| 2024 | $0.3200 | -41.8% |
| 2023 | $0.5500 | +266.7% |
| 2022 | $0.1500 | -78.3% |
| 2021 | $0.6900 | +1625.0% |
| 2020 | $0.0400 | -71.4% |
| 2019 | $0.1400 | +14.8% |
| 2018 | $0.1220 |
What's inside
As of Jul 31, 2026, most of the fund sat in cash, Treasury bills and money-market holdings (74.67% of net assets), with its exposure coming from 5 swap and futures positions rather than from owning the stocks outright.
| Holding | Weight | |
|---|---|---|
| XTRACKERS HARVEST CSI 300 CH | 46.02% |
By country
United States 46.02%By asset type
Stocks 46.02%What changed recently
- Over the three months to Jul 31, 2026, investors withdrew a net $3.2M (creations minus redemptions, per the N-PORT report).
- Monthly total returns reported for that quarter: +3.15%, +2.97%, -13.86%.
How it works
CHAU follows the CSI 300 Index, run by China Securities Index Co. The index holds the largest and most liquid China A-shares. These are shares of mainland Chinese companies that trade in renminbi on the Shanghai and Shenzhen exchanges. The index weights stocks by free-float market value, meaning only shares available for public trading count. It reviews its members twice a year. As of December 31, 2025, it held 300 stocks, mostly in financials, information technology and industrials.
Rafferty Asset Management, the fund's adviser, does not qualify to buy A-shares directly and does not use the Stock Connect trading link. So the fund gets most of its exposure through other ETFs and swaps. A swap is a contract in which a bank pays the fund the return of an asset. As of July 31, 2026, about 46% of net assets sat in the Xtrackers Harvest CSI 300 China A-Shares ETF (ASHR). Swaps on that ETF added about 5% more. Most of the rest was held as cash.
At each day's close, the fund adds exposure after the index rises and cuts it after the index falls. This keeps exposure near 2x and causes high trading, with 76% turnover. Because daily returns compound, results over longer periods will very likely differ from twice the index's return. The fund can lose money even when the index ends flat.
What it really costs
- CHAU charges 1.19% a year.
- Of that, 0.75% is the management fee; the rest covers other fund expenses.
- Using the prospectus's standard example, $10,000 invested would cost about $121 in the first year and $1,443 over 10 years (assuming a 5% annual return).
| Cost of $10,000 (SEC example) | 1 yr | 3 yrs | 5 yrs | 10 yrs |
|---|---|---|---|---|
| CHAU | $121 | $378 | $654 | $1,443 |
Structure and tax notes
- Resets its exposure every day. Over periods longer than a day, compounding means returns can differ sharply from 2× the index — usually worse in choppy markets. Built for short-term trading, not buy-and-hold.
In a retirement portfolio
Its 2x exposure resets daily, and its prospectus says it seeks results for a single trading day, not for longer holding periods.
CHAU launched in 2015, so it has no record from 2008. It lost 51.17% in 2018 and 49.01% in 2022, then lost another 28.45% in 2023. In the 2022 bear market it fell 54.9% and still had not recovered as of October 27, 2026. Its deepest drop was 79.2%, from June 2015 to April 2025, and it had not recovered from that either. It did bounce back about 3.4 months after a 34.9% fall in March 2020. Anyone who had to cash out during one of these slumps would have locked in deep losses. The trailing yield was 2.74% as of October 27, 2026, paid quarterly. That is small next to swings like these. Costs run $121 in the first year on $10,000 under the SEC's standard example. Past results don't predict the future, and a plan should look at the whole portfolio, not one fund.
Who it may suit — and who should look elsewhere
May suit
- Active traders who want twice the daily move of large mainland Chinese stocks for a day or a few days, and who watch positions closely.
- Experienced investors who understand that the daily reset and compounding mean multi-month returns can differ sharply from 2x the CSI 300.
- Traders comfortable with swaps and counterparty risk, and with indirect exposure through the ASHR ETF rather than direct ownership of A-shares.
Look elsewhere if
- Retirees and long-term holders: the fund had not recovered from a 79.2% drop as of October 27, 2026.
- Investors who want low-cost China exposure: the 1.19% expense ratio adds up to $1,443 over ten years in the SEC's $10,000 example.
- Anyone who can't stomach big swings: the fund lost 51.17% in 2018 and 49.01% in 2022, and its worst quarter lost 36.58%.
Close alternatives
Matched by leveraged/inverse funds on the same index (the index could not be identified from the name).
No close alternatives found.
Questions investors ask
Is CHAU a good long-term investment?
CHAU isn't designed for long-term holding. Its prospectus says it seeks twice the CSI 300's return for a single trading day only. Over longer periods, daily compounding can pull results far from 2x. As of December 31, 2025, its average annual return was 0.23% over 10 years and -11.04% over 5 years, even after a 47.54% gain in 2025. It fell 79.2% from its 2015 peak to April 2025 and had not recovered as of October 27, 2026.
Does CHAU pay dividends?
Yes. CHAU pays distributions quarterly. Its trailing 12-month yield was 2.74% as of October 27, 2026, or about $0.47 per share. That income can vary a lot from year to year. It also counts for little next to the fund's price swings: shares fell 17.2% in 2026 through October 27. Investors looking for steady income from China stocks are unlikely to find it in a leveraged fund that resets daily.
What's the difference between CHAU and ASHR?
ASHR, the Xtrackers Harvest CSI 300 China A-Shares ETF, tracks the CSI 300 without leverage. CHAU aims for twice the index's daily return. In fact, CHAU gets much of its exposure through ASHR: as of July 31, 2026, about 46% of its net assets sat in ASHR shares, with swaps on ASHR adding about 5% more. CHAU's daily reset and 1.19% expense ratio mean its results over months or years can differ sharply from twice ASHR's.
Why does CHAU hold an ETF instead of Chinese stocks?
Foreign investors generally need special approval to buy China A-shares directly, through the qualified foreign investor program, or must use the Stock Connect link through Hong Kong. CHAU doesn't qualify for the first and doesn't plan to use the second. So it gets exposure mostly through ETFs that track the CSI 300, chiefly ASHR, plus swaps tied to that ETF. This adds counterparty risk, the chance that a swap partner fails to pay. Investors also bear part of the underlying ETF's costs indirectly.
What is CHAU's expense ratio?
CHAU's expense ratio is 1.19%, according to its prospectus filed February 26, 2026. That includes a 0.75% management fee. In the SEC's standard example, which assumes $10,000 invested and a 5% annual return, costs come to about $121 after one year, $378 after three years, $654 after five years and $1,443 after ten years. The fund's high trading, with 76% annual turnover, can add costs that this figure doesn't capture.