Those leveraged ETFs are a pretty bad idea (they give you the daily leverage which is ~never what you want, edit: unless you do daily trade and always reset your positions every day).
IIRC there’s some new ETF that work over longer period of time, but you need to invest in them at the start of the period of it to make sense.
From one of the best financial newsletter there is:
The intuition is this. A 3x leveraged ETF is designed to give you three times the daily return of a stock, whenever you buy it. So on Monday morning, say, the ETF price is $100 and the stock price is $100. The ETF gives you exposure to the return of three shares of stock. The stock goes up 10% that day, so the ETF goes up 30%, so that at the end of the day the stock is at $110 and the ETF is at $130. On Tuesday, you buy a share of the ETF. You pay $130, and if the stock goes up 10% again, you want your money to go up 30%. So the ETF now has to give you exposure to more than three shares of stock: It has to give you exposure to three times $130 worth of stock, or about 3.55 shares. And then if the stock goes up 10% again, the stock will end the day at $121 (up 10% from $110) and the ETF will end the day at $169 (up 30% from $130).
To get this result, the ETF has to buy more shares at the end of the day on Monday: It started Monday with each ETF share representing three shares of the underlying stock, but it needs to start Tuesday with each ETF share representing 3.55 shares of the underlying stock. So at the end of Monday it needs to buy 0.55 more shares, to continue to offer three times the return of the underlying stock.
But what if, instead, the stock goes down 9% on Tuesday? Then:
- The stock closes at $100.10, down 9% ($9.90) from $110.
- The ETF closes at $94.90, down 27% ($35.10) from $130.
So the two-day return of the stock is +0.1%: up 10% Monday, down 9% Tuesday, so from $100 to $110 to $100.10. The two-day return of the ETF is -5.1%: up 30% on Monday, down 27% on Tuesday, so from $100 to $130 to $94.90. The ETF gives you three times the Monday return, and three times the Tuesday return, but negative 50 times the Monday-and-Tuesday return.