At a glance
Over the past year it returned −87.4% with distributions reinvested (S&P 500: +11.5%), the weakest of those 7 funds.
The short version
MicroSectors U.S. Big Oil -3 Inverse Leveraged ETN (NRGD) is an exchange-traded note (ETN), unsecured debt of BMO Financial Group, that aims to return three times the opposite of a U.S. big oil index's daily move. Traders may use it to bet on, or hedge against, a brief drop in big oil stocks. As of October 27, 2026, it had lost 87.4% over one year, the weakest of seven similar inverse energy products.
Price history
The interactive chart needs JavaScript.
NRGD -87.4% 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 | |
|---|---|---|---|---|---|---|
| NRGD price data to Oct 27, 2026 | -87.1% | -87.4% | — | — | — | -76.6% |
- Over the year to Oct 27, 2026, NRGD returned -87.4%, 7th of 7 among similar funds.
- The deepest fall in its price history was 95.7% (Apr 8, 2025 to Oct 26, 2026), not yet recovered.
Show as a table
| Year | Price data |
|---|---|
| 2026 (to date) | -87.1% |
| 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 | Before this security existed |
| 2022 bear market stocks fell Jan 3, 2022 – Oct 12, 2022 | Before this security existed |
How it works
NRGD is not a fund. It is an exchange-traded note (ETN): a debt security issued by BMO Financial Group that trades like a stock. Instead of owning a portfolio, the bank promises a return linked to an index of large U.S. oil stocks, minus fees. The note holds no shares or other assets for holders. That means there is no portfolio to list or rebalance, and the payout depends on the index's daily moves.
The target is -3 times the index's return each day. On a day the index falls, the note aims to gain three times that percentage. On a day it rises, the note aims to lose three times as much. This exposure resets daily. Over longer periods, compounding (each day's result building on the last) means returns can drift far from -3 times the index's move, usually for the worse in choppy markets. A sharp rally in big oil stocks can erase much of the note's value.
Because the note is unsecured debt (backed by no specific collateral), holders are paid only as long as BMO can pay. The bank's credit matters as much as the index does. The issuer can also redeem the notes early, ending positions on its timetable rather than the holder's. There is no fund prospectus or holdings report.
What it really costs
Structure and tax notes
- Resets its inverse exposure every day. Over periods longer than a day, compounding means returns can differ sharply from -1× the index — usually worse in choppy markets. Built for short-term trading, not buy-and-hold.
- An exchange-traded note: unsecured debt of the issuing bank, not a fund. It owns no assets on investors’ behalf; it pays the index return minus fees only as long as the issuer can pay, so the bank’s credit matters, and the issuer can redeem the notes early.
In a retirement portfolio
Its -3 times inverse exposure resets daily, it pays no income, and it fell 95.7% between April 8, 2025, and October 26, 2026.
NRGD launched on February 19, 2025, so it has no record through the 2008 financial crisis, the 2020 COVID crash or the 2022 bear market, and no full calendar year of returns. Its deepest drop was 95.7%, from April 8, 2025, to October 26, 2026, and it had not recovered as of October 27, 2026. Over the year to that date it lost 87.4%. Its annualized volatility (a measure of how widely the price swings) was about 79%. Anyone forced to take money out after a fall like that would lock in most of the loss.
Its opposite-direction bet on big oil stocks holds only day by day, so it is not a dependable long-term hedge. It pays no income, and holders carry BMO's credit risk on top of fees. Past results don't predict the future, and a sound plan looks at the whole portfolio, not one fund.
Who it may suit — and who should look elsewhere
May suit
- Active traders seeking three times the opposite of a U.S. big oil index's daily move, who monitor positions throughout the day.
- Traders briefly hedging large U.S. oil stock holdings who accept that payment depends on BMO Financial Group's ability to pay.
- Experienced investors who understand ETN terms, including early redemption by the issuer, and how daily compounding pushes multi-day results away from -3 times.
Look elsewhere if
- Retirement savers and long-term holders: NRGD fell 95.7% from April 8, 2025, to October 26, 2026, and had not recovered.
- Income seekers: NRGD has recorded no distributions, and as a note it owns no dividend-paying oil stocks.
- Anyone uneasy relying on a bank's credit: NRGD is unsecured BMO debt, owns no assets for holders, and can be redeemed early.
Close alternatives
Matched by leveraged/inverse funds on the same index (energy), same direction.
| Fund | Exposure | Cost | Net assets | 1 yr | 3 yr |
|---|---|---|---|---|---|
| NRGD this fund | -1× | — | — | -87.4% | — |
| SCO ProShares UltraShort Bloomberg Crude Oil | -2× | — | $175.0M | -77.3% | -37.8% |
| DRIP Direxion Daily S&P Oil & Gas Exp. & Prod. B… | -2× | — | $53.1M | -65.7% | -31.9% |
| ERY Direxion Daily Energy Bear 2X Shares | -2× | — | $17.8M | -62.1% | -32.6% |
| DUG ProShares UltraShort Energy | -2× | — | $17.4M | -62.3% | -33.0% |
| OILD MicroSectors Oil & Gas Exp. & Prod. -3x Inv… | -3× | — | $12.8M | -79.8% | -52.0% |
| WTID MicroSectors Energy 3X Inverse Leveraged ET… | -3× | — | $2.5M | -82.7% | -55.0% |
Questions investors ask
Is NRGD an ETF or an ETN?
NRGD is an exchange-traded note (ETN), not an ETF. It trades on an exchange like a fund, but it is unsecured debt of BMO Financial Group. It owns no assets on holders' behalf and pays the index-linked return, minus fees, only as long as the bank can pay. That makes BMO's credit a direct risk. The issuer can also redeem the notes early, which could end a position at a time holders didn't choose.
How does NRGD's -3x inverse leverage work?
NRGD aims to return -3 times the daily change in an index of large U.S. oil stocks. When the index falls in a day, the note aims to rise three times as much, and the reverse when it rises. The exposure resets every day. Over longer periods, compounding (each day's return building on the last) means results can differ sharply from -3 times the index's move, usually for the worse when prices swing back and forth. That makes it a short-term trading tool, not a long-term holding.
Is NRGD a good long-term investment?
It is not built for one. NRGD resets its -3 times inverse exposure daily, so results over weeks or months can stray far from -3 times the index's move. As of October 27, 2026, it had lost 87.4% over one year, the weakest one-year result among seven similar inverse energy products. Its deepest drop, from April 8, 2025, to October 26, 2026, was 95.7%, and it had not recovered by October 27. It also pays no income.
Does NRGD pay dividends?
No. NRGD has no recorded distributions. As an exchange-traded note, it is a debt obligation of BMO Financial Group rather than a fund, and it owns no oil stocks that could pass dividends through to holders. Any return comes only from changes in the note's value, which tracks -3 times the daily move of a big oil index, minus fees. It adds no regular cash flow to a portfolio.
What's the difference between NRGD and OILD?
The main difference is the index. NRGD follows large U.S. oil companies, while OILD follows oil and gas exploration and production companies. Both are MicroSectors -3 times inverse exchange-traded notes that reset daily and depend on their issuer's credit. As of October 27, 2026, NRGD had lost 87.4% over one year, versus 79.8% for OILD. Two-times inverse funds such as DRIP and ERY lost 65.7% and 62.1% over the same year.