At a glance
TWM charges 0.95% a year, the same as the average of the 5 funds most like it (the cheapest of 3). It has $46.8M in assets, the 4th largest of that group; it paid 3.9% of its price in distributions over the past 12 months, quarterly. Over the past year it returned −21.6% with distributions reinvested (S&P 500: +11.5%), 3rd of those 6 funds; over three years it returned −33.3% a year. At its worst it fell 35.0% in the 2022 bear market (S&P 500: 24.5%), and is still below its earlier high.
The short version
ProShares UltraShort Russell2000 (TWM) aims to return -2x the daily move of the Russell 2000 Index of small US companies. It gets this exposure through swaps and futures instead of owning stocks. Because it resets every day, results over longer periods can drift far from -2x the index: it lost an average of 26.18% a year over the 10 years to December 31, 2025. Its 0.95% expense ratio is the same as the -1x ProShares Short Russell2000 (RWM).
Price history
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TWM -21.6% 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 | |
|---|---|---|---|---|---|---|
| TWM official prospectus, to Dec 31, 2025 | — | -24.75% | — | -18.15% | -26.18% | — |
| TWM price data to Oct 27, 2026 | -23.8% | -21.6% | -33.3% | -15.9% | — | -27.7% |
- Over the year to Oct 27, 2026, TWM returned -21.6%, 3rd of 6 among similar funds.
- Its 5-year annualized return was -15.9%.
- Its worst full calendar year was 2021 (-35.4%); its best was 2022 (+28.4%).
- The deepest fall in its price history was 90.1% (Jun 11, 2020 to Aug 14, 2026), not yet recovered.
Show as a table
| Year | Price data | Prospectus (official) |
|---|---|---|
| 2026 (to date) | -23.8% | — |
| 2025 | -24.7% | -24.75% |
| 2024 | -19.3% | -19.46% |
| 2023 | -26.9% | -26.84% |
| 2022 | +28.4% | +28.30% |
| 2021 | -35.4% | -35.44% |
| 2020 | — | -59.91% |
| 2019 | — | -38.39% |
| 2018 | — | +18.92% |
| 2017 | — | -26.50% |
| 2016 | — | -39.38% |
| 2008 financial crisis stocks fell Oct 9, 2007 – Mar 9, 2009 | Not in the price data, which starts Jun 2, 2020 |
|---|---|
| 2020 COVID crash stocks fell Feb 19, 2020 – Mar 23, 2020 | Not in the price data, which starts Jun 2, 2020 |
| 2022 bear market stocks fell Jan 3, 2022 – Oct 12, 2022 | Gained 49.1% over that stretch · deepest drop along the way 35%, not recovered by the end of the data |
Dividends and income
Show as a table
| Year | Per share | Change |
|---|---|---|
| 2026 (to date) | $0.5600 | |
| 2025 | $1.7300 | -38.0% |
| 2024 | $2.7900 | +1.5% |
| 2023 | $2.7500 | +1733.3% |
| 2022 | $0.1500 |
What's inside
As of Aug 31, 2026, most of the fund sat in cash, Treasury bills and money-market holdings (88.75% of net assets), with its inverse exposure coming from 8 swap and futures positions rather than from owning the stocks outright.
| Holding | Weight | |
|---|---|---|
| Repurchase Agreement RA | 5.41% | |
| Repurchase Agreement RA | 3.59% | |
| Repurchase Agreement RA | 2.16% | |
| Repurchase Agreement RA | 1.15% | |
| Repurchase Agreement RA | 0.72% |
By country
United States 13.03%By asset type
RA 13.03%What changed recently
- Over the three months to Aug 31, 2026, investors withdrew a net $2.7M (creations minus redemptions, per the N-PORT report).
- Monthly total returns reported for that quarter: -7.37%, +6.86%, -1.65%.
How it works
TWM is built around the Russell 2000 Index, which FTSE Russell maintains. The index takes the 2,000 smallest companies in the Russell 3000, an index of the 3,000 largest US companies. It weights them by market value (market capitalization) and reviews members and weights each June and December. As of May 31, 2026, every company in the index was worth less than $81 billion. Before fees, the fund aims to return -2x the index's move each day.
The fund doesn't own the index's stocks. It uses derivatives instead. These are total return swaps, which are contracts with large financial institutions that pay out based on the index's return, plus Russell 2000 E-mini futures. The cash behind these positions sits in Treasury bills, repurchase agreements (very short-term loans secured by government securities) and a ProShares money market ETF. As of August 31, 2026, about 88.75% of assets were cash and similar holdings. If a swap partner fails to pay, the fund can lose money.
The fund resets its exposure every day. When the index rises, the fund's assets shrink and it cuts its short position. When the index falls, it adds to the position. Over longer periods this compounding can pull returns far from -2x the index, and usually lower when markets swing back and forth. If the index got close to a 50% gain in one day, holders could lose their entire investment.
What it really costs
- TWM charges 0.95% a year, versus an average of 0.95% for the similar funds below (1st of 3, cheapest first).
- Of that, 0.75% is the management fee; the rest covers other fund expenses.
- The fee includes a 0.22% waiver from the adviser, which may end.
- Using the prospectus's standard example, $10,000 invested would cost about $97 in the first year and $1,401 over 10 years (assuming a 5% annual return).
| Cost of $10,000 (SEC example) | 1 yr | 3 yrs | 5 yrs | 10 yrs |
|---|---|---|---|---|
| TWM | $97 | $350 | $622 | $1,401 |
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.
In a retirement portfolio
It targets -2x the Russell 2000's daily move and resets every day, so long holding periods have produced deep, compounding losses.
TWM rises when small caps fall, but it has not worked as a lasting hedge. No figures are available for 2008. In 2020 its strongest quarter (55.43% to March 31) was followed by its weakest (-46.75% to June 30), and it lost 59.91% for the year. That was its worst calendar year from 2016 to 2025. In the 2022 bear market it gained 49.1% from the January 3 market peak to the October 12 low, despite a 35% drop from June 16 to August 15. Its deepest fall was 90.1%, from June 11, 2020 to August 14, 2026, and it had not recovered as of October 27, 2026. Anyone forced to cash out in a bad year would likely take a steep loss. The 3.9% trailing yield as of that date, paid quarterly, doesn't make up for that. Expenses are 0.95% a year. 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 a one-day bet against the Russell 2000 and can check their position every day.
- Experienced investors hedging small-cap stocks for days rather than months, who accept the counterparty risk that comes with swaps.
- Traders who want twice the short exposure of ProShares Short Russell2000 (RWM), at the same 0.95% expense ratio, without moving to -3x funds like SRTY.
Look elsewhere if
- Retirees and long-term holders: TWM lost an average of 26.18% a year over the 10 years to December 31, 2025.
- Income seekers: the 3.9% trailing yield as of October 27, 2026 was swamped by a -21.6% one-year return.
- Investors who can't watch daily: a near-50% one-day rise in the Russell 2000 could wipe out the whole investment.
Close alternatives
Matched by leveraged/inverse funds on the same index (russell 2000), same direction.
| Fund | Exposure | Cost | Net assets | 1 yr | 3 yr |
|---|---|---|---|---|---|
| TWM this fund | -2× | 0.95% | $46.8M | -21.6% | -33.3% |
| SDD ProShares UltraShort SmallCap600 | -2× | — | $2.5M | -25.0% | -29.3% |
| TZA Direxion Daily Small Cap Bear 3X Shares | -3× | — | $283.1M | -34.5% | -49.4% |
| RWM ProShares Short Russell2000 | -1× | 0.95% | $192.4M | -8.9% | -14.9% |
| SRTY ProShares UltraPro Short Russell2000 | -3× | — | $83.0M | -34.6% | -50.0% |
| SBB ProShares Short SmallCap600 | -1× | 0.95% | $4.9M | +79.2% | +13.1% |
Questions investors ask
Is TWM a good long-term investment?
TWM isn't designed for long holding periods. It targets -2x the Russell 2000's return for one day only, and the daily reset compounds over time. As of December 31, 2025, it returned -18.15% a year over five years and -26.18% a year over 10 years. From 2016 to 2025 it gained in only two calendar years: 18.92% in 2018 and 28.3% in 2022. Every other year was a loss, including -59.91% in 2020.
What's the difference between TWM and RWM?
The main difference is leverage. Both are ProShares funds that bet against the Russell 2000, both reset daily, and both have a 0.95% expense ratio. RWM aims for -1x the index's daily move, while TWM aims for -2x. Doubling the exposure has hurt more over time. As of October 27, 2026, TWM's one-year return was -21.6% against -8.9% for RWM. Its three-year annual return was -33.3% against -14.9%.
Does TWM pay dividends?
Yes. TWM pays quarterly, and it paid $0.93 per share over the 12 months to October 27, 2026, a trailing yield of 3.9%. It owns no dividend-paying stocks. Most of its assets are cash-like holdings such as repurchase agreements. The payouts have been small next to its losses: the fund's one-year return to the same date was -21.6%.
Why doesn't TWM return -2x the Russell 2000 over a year?
Because it resets its exposure every day, the -2x target applies to single days only. Over weeks or months, the daily gains and losses compound. Results can then differ sharply from -2x the index's longer-term return, and they usually come out lower when the index swings up and down. Fees, financing costs for the derivatives and trading costs also cut into returns. ProShares warns that the gap may be significant.
What does TWM actually hold?
Mostly cash and derivatives, not stocks. As of August 31, 2026, about 88.75% of its $46.8 million in net assets was in cash and similar holdings. The largest of these were repurchase agreements, which are short-term loans secured by government securities. The short exposure comes from total return swaps with large financial institutions and from Russell 2000 E-mini futures. If a swap partner fails to pay, the fund could lose money.