Direxion Daily 20+ Year Treasury Bear 3x Shares

Direxion Daily 20+ Year Treasury Bear 3x Shares (TMV) aims to deliver three times the opposite of one day's move in an index of U.S. Treasury bonds maturing in more than 20 years. It resets its leverage every day, so it suits short-term bets that long-term interest rates will rise, not holding for years. It costs 0.97% a year. From June 2009 to August 2020 it lost 98.8%, and as of October 27, 2026, it had not recovered.

• Over the year to Oct 27, 2026, TMV returned +36.5%, 1st of 7 among similar funds.
• Its 5-year annualized return was +27.8% and its 10-year +0.8%.
• In the 2020 COVID crash it fell 43.5% and regained its old high 24.8 months after the low.
• Its worst full calendar year was 2011 (-68.5%); its best was 2022 (+150.2%).
• The deepest fall in its price history was 98.8% (Jun 10, 2009 to Aug 4, 2020), not yet recovered.

As of Jul 31, 2026, most of the fund sat in cash, Treasury bills and money-market holdings (95.46% of net assets), with its inverse exposure coming from 6 swap and futures positions rather than from owning the stocks outright.

• Over the three months to Jul 31, 2026, investors withdrew a net $1.1M (creations minus redemptions, per the N-PORT report).
• Monthly total returns reported for that quarter: -0.79%, -2.69%, +15.70%.

TMV tracks an index of U.S. Treasury bonds with more than 20 years left until maturity. Each bond's weight is set by its market value. To qualify, a bond must pay a fixed rate, be in U.S. dollars and have at least $300 million outstanding, not counting bonds held by the Federal Reserve. The index leaves out inflation-protected bonds, Treasury bills, agency debt and stripped zero-coupon bonds. It is rebalanced on the last business day of each month and held 45 bonds as of December 31, 2025.

The fund doesn't own these bonds. At least 80% of its net assets go into derivatives, mainly swaps and futures, that together give it three times short exposure. A swap is a contract in which a bank pays the fund based on an asset's return. As of July 31, 2026, TMV's derivatives were swaps on the iShares 20+ Year Treasury Bond ETF, and about 95% of its assets sat in cash and similar holdings. If a swap partner can't pay, the fund loses money.

At each market close, Rafferty Asset Management resets the fund's exposure back to -3x. Because of that daily reset, results over longer periods compound in ways that can differ sharply from -3x the index. The fund loses money if the index ends flat, and in choppy markets it can lose money even while the index falls.

• TMV charges 0.97% a year, versus an average of 0.95% for the similar funds below (3rd of 3, cheapest first).
• 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 $99 in the first year and $1,190 over 10 years (assuming a 5% annual return).

TMV seeks -3x the index for a single trading day, and over longer periods its daily reset has led to deep, lasting losses.

TMV launched in April 2009, after the 2008 crisis, so it has no record from that downturn. In the 2020 COVID crash it fell 43.5% from February 19 to March 23, 2020, and needed about 25 months to recover. In the 2022 bear market it gained 140.7% as interest rates jumped, though it still dropped 28.1% along the way. Its worst calendar year was 2011, at -68.5%. From June 2009 to August 2020 it lost 98.8%, a loss not recovered as of October 27, 2026. Anyone forced to raise cash in a bad stretch could lock in deep losses.

Its trailing yield was 2.26% as of October 27, 2026, paid quarterly, which is small next to these swings. Expenses are 0.97% a year. Past results don't predict the future, and a plan should look at the whole portfolio, not one fund.

Matched by leveraged/inverse funds on the same index (treasury), same direction.