BetaShares Leveraged US Bear ETF (BBUS)

Our Q&As are emailed in our Saturday Morning Report, find the answer to this question below.

Ask a question

The Latest Q&A

Question asked 21/04/2021

BetaShares Leveraged US Bear ETF (BBUS)

Hi James, I have found the new format very helpful thank you. (It would be great if I could just refresh the page with the last report and the latest pops up.) Can you please comment on ETF BBUS and if it is a suitable ASX substitute for the VIX? Is there a better ASX sub? Also I found great value in the webinar with the Shaw commodity expert (small, med and big stocks) you held last year and was hoping that there could be an update webinar again soon please. Cheers, Jill

Answer

Hi Jill,

These are 2 very different products although they are positively correlated, the BBUS is a leveraged Australian listed bearish play on US stocks while the VIX is a pure volatility play. Usually when stocks fall volatility rises but if they grind lower the VIX may hardly bounce hence the answer I’m afraid is no.

If an investor is bearish US stocks the BBUS is more aligned with that view, or if an investor wants to buy volatility the US traded iPath VXX ETF as we have in the MM Global Macro ETF Portfolio is the go. I appreciate that having an international account is more complex however trading globally affords so much more opportunity.

chart

BetaShares Leveraged US Bear ETF (BBUS)

LAST UPDATED 21/04/2021 13:57

Latest Reports

Weekend report 27/04/2024

Weekend Q&A: Strong inflation crushes hopes of a rate cut in 2024

Afternoon report 26/04/2024

The Match Out: ASX (nearly) gives up week’s gain in tough Friday session

The local market dropped ~100 points on the open, failing to see any reprieve following two weaker sessions out in the US since our close on Wednesday. After dropping back below 7600 the index traded in a reasonably tight 30-point range for the rest of the session, failing to join in on the rally across the region and what’s showing on the US Futures ahead of their Friday session. BHP managed to take 31pts off the market alone today, weakness coming after they lobbed an all scrip bid for Anglo American (AAL LN). Despite the soggy end to the week, the ASX200 finished marginally higher, +8pts / +0.11%.