At a glance
SCO charges 0.95% a year. It has $882.0M in assets, the largest of that group. Over the past year it returned −77.3% with distributions reinvested (S&P 500: +11.5%), 4th of those 7 funds; over three years it returned −37.8% a year. At its worst it fell 38.4% in the 2020 crash (S&P 500: 33.7%) and 71.1% in the 2022 bear market (S&P 500: 24.5%).
The short version
ProShares UltraShort Bloomberg Crude Oil (SCO) is a commodity pool that uses derivatives to seek -2x the daily performance of a Bloomberg crude oil futures index, so it aims to rise when oil futures fall. It resets daily, which hurts long holding periods: it lost 99% over the 10 years to October 27, 2026. Its expense ratio was 0.95% through June 30, 2026, and it issues Schedule K-1 tax forms instead of 1099s.
Price history
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SCO -77.3% 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 | |
|---|---|---|---|---|---|---|
| SCO price data to Oct 27, 2026 | -79.3% | -77.3% | -37.8% | -42.7% | -40.7% | -27.9% |
- Over the year to Oct 27, 2026, SCO returned -77.3%, 4th of 7 among similar funds.
- Its 5-year annualized return was -42.7% and its 10-year -40.7%.
- In the 2020 COVID crash, while stocks fell, it gained 150.6%.
- Its worst full calendar year was 2021 (-72.6%); its best was 2014 (+142.3%).
- The deepest fall in its price history was 99.9% (Feb 18, 2009 to Oct 23, 2026), not yet recovered.
Show as a table
| Year | Price data |
|---|---|
| 2026 (to date) | -79.3% |
| 2025 | +15.9% |
| 2024 | -19.0% |
| 2023 | -12.4% |
| 2022 | -62.6% |
| 2021 | -72.6% |
| 2020 | -4.2% |
| 2019 | -58.5% |
| 2018 | +19.2% |
| 2017 | -22.4% |
| 2016 | -52.6% |
| 2015 | +74.7% |
| 2014 | +142.3% |
| 2013 | -21.9% |
| 2012 | +4.5% |
| 2011 | -23.9% |
| 2010 | -25.5% |
| 2009 | -56.9% |
| 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 | Gained 150.6% over that stretch · deepest drop along the way 38.4%, back to its old high 1.3 months after the low |
| 2022 bear market stocks fell Jan 3, 2022 – Oct 12, 2022 | Lost 59% over that stretch · deepest drop along the way 71.1%, not recovered by the end of the data |
What's inside
The fund holds futures contracts and the cash and Treasury bills backing them, not the commodity itself; its net assets were $882.0M as of Jun 30, 2026 (per its 10-Q). As a commodity pool it files 10-Q and 10-K reports instead of N-PORT holdings reports, so there is no holdings list.
How it works
SCO is one series of ProShares Trust II, a Delaware statutory trust. Its sponsor, ProShare Capital Management LLC, also runs it as a commodity pool operator registered with the Commodity Futures Trading Commission. The fund seeks daily results, before fees and expenses, equal to -2x the daily performance of a Bloomberg crude oil index built from crude oil futures contracts. It does not hold oil. It uses derivatives instead. Derivatives are contracts whose value comes from another asset, such as futures, swap agreements and forward contracts.
The -2x target applies to a single day only, measured from one net asset value (NAV) calculation to the next. Over longer periods, daily returns compound. Results can then differ in amount, and even in direction, from -2x the index. ProShares says the index's volatility can matter as much as its direction, and it suggests that holders consider actively monitoring their positions.
Futures expire, so the fund rolls into later contracts. Price gaps between old and new contracts can add to or subtract from returns. The index can also move very differently from physical crude prices. Large firms called Authorized Participants create and redeem shares in blocks of 50,000, and the shares trade on NYSE Arca. The fund is not a 1940 Act investment company. It is taxed as a partnership and issues Schedule K-1s.
What it really costs
- SCO charges 0.95% a year.
Structure and tax notes
- Resets its inverse 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.
- A commodity pool: it holds futures contracts (and the cash and Treasury bills backing them), not the commodity itself, and it is not a 1940 Act investment company, so it lacks some fund-specific investor protections. It is taxed as a partnership: investors get a Schedule K-1 rather than a 1099 and owe tax on their share of its gains each year, even without selling. Expiring contracts must be rolled into later ones, and the price gap between them adds to or takes from returns, so over time it can drift well away from the spot price of what it tracks. Besides the sponsor's fee, it pays brokerage commissions and other costs.
In a retirement portfolio
It seeks -2x crude oil futures' daily move and resets each day, and it has fallen 99.9% from its February 2009 peak, so it is not built to be held for years.
SCO pays no income, and no distributions are recorded. It launched in November 2008, so it missed most of the 2008 crisis. In the 2020 COVID crash it gained 150.6% while stocks fell, but it also dropped 38.4% from March 18 to March 19, 2020, before recovering by April 27. In the 2022 bear market it lost 59%. Its 71.1% slide from January 3 to June 8, 2022, has never been recovered. Its worst calendar year was 2021, at -72.6%. From February 18, 2009, to October 23, 2026, it fell 99.9%. Anyone forced to sell in a bad year could lock in deep losses, and the 0.95% expense ratio adds to the drag. Past results don't predict future ones, and a retirement plan should look at the whole portfolio, not one fund.
Who it may suit — and who should look elsewhere
May suit
- Experienced traders who want a one-day or few-day bet that crude oil futures will fall, and who check the position daily.
- Short-term traders who want the largest fund among six similar inverse energy funds, with $882 million in net assets as of June 30, 2026.
- Traders who can handle sharp swings: its volatility was 60.8% over the year to October 27, 2026.
Look elsewhere if
- Buy-and-hold and retirement investors: it lost 99% over the 10 years to October 27, 2026, and has never regained its 2009 peak.
- Anyone seeking income: the fund has no recorded distributions, so returns come only from price changes.
- Investors who want a simple Form 1099 and 1940 Act protections: SCO is a commodity pool taxed as a partnership and issues K-1s.
Close alternatives
Matched by leveraged/inverse funds on the same index (energy), same direction.
| Fund | Exposure | Cost | Net assets | 1 yr | 3 yr |
|---|---|---|---|---|---|
| SCO this fund | -2× | 0.95% | $882.0M | -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% |
| NRGD MicroSectors U.S. Big Oil -3 Inverse Levera… | -1× | — | — | -87.4% | — |
Questions investors ask
Is SCO a good long-term investment?
SCO is designed for short-term trading, not long-term holding. It seeks -2x the daily move of its crude oil futures index and resets every day, so longer-term results drift away from that target. Through October 27, 2026, it returned -42.7% a year over five years and -40.7% a year over 10 years, a cumulative loss of 99% over the decade. ProShares says its geared funds are meant for knowledgeable investors who monitor their positions.
What does SCO track?
SCO seeks daily results, before fees and expenses, equal to -2x the daily performance of a Bloomberg crude oil index made up of crude oil futures contracts. On a day the index falls, the fund aims to gain about twice that percentage. On a day it rises, the fund aims to lose about twice as much. It uses futures, swaps and forward contracts rather than holding oil, and the index can move quite differently from physical crude prices.
Does SCO pay dividends?
No. SCO has no recorded distributions, so it provides no income stream, and any return comes only from changes in its share price. Because it is taxed as a partnership, holders may still owe tax on their share of the fund's gains in a given year, even without receiving any cash. That makes it a poor match for income goals.
Does SCO issue a K-1?
Yes. SCO is a commodity pool taxed as a partnership, so investors receive a Schedule K-1 rather than a Form 1099. Holders owe tax on their share of the fund's gains each year, even if they haven't sold any shares, and K-1s can make tax filing more complex. The fund is also not registered under the Investment Company Act of 1940, so it lacks some protections that typical mutual funds and ETFs have.
What's the difference between SCO and DUG?
Both are ProShares funds that seek -2x a benchmark's daily return, but they bet against different things. SCO targets crude oil futures, while DUG (ProShares UltraShort Energy) targets the energy sector. SCO is the largest fund in this group, with $882 million in net assets as of June 30, 2026. As of October 27, 2026, SCO returned -77.3% over one year and -37.8% a year over three years, compared with -62.3% and -33% for DUG.