Direxion Monthly 7-10 Year Treasury Bull & Bear 2X Funds










    1.96 / 1.46*

  • Duration

    15.16 Years


    Mar 31, 2005










    2.42 / 1.47*

  • Duration

    -15.16 Years


    May 17, 2004


The Direxion Monthly 7-10 Year Treasury Bull & Bear 2X Funds seek monthly investment results, before fees and expenses, of 200%, or 200% of the inverse (or opposite), of the calendar month performance of the ICE U.S. Treasury 7-10 Year Bond Index. There is no guarantee the funds will meet their stated investment objective.

Direxion’s Leveraged Index-based Funds seek to provide monthly returns which are a multiple of the returns of the relevant benchmark. In practice, this means that Leveraged Index-based Funds react to gains by increasing market exposure and react to losses by decreasing market exposure.

Strategy & Benefits

Key Benefits

You know that TRADING is different than investing. But the opportunity to take advantage of short-term trends is only won, if you get the direction right.

Whether you’re a bull or a bear, Direxion is with you. Our leveraged and inverse Mutual Funds are tools built to help you:

  • Provide 2x monthly targeted magnified exposure to a diversified set of benchmark indexes 
  • Use precise derivative options to seek to optimize benchmark trading accuracy
  • Seek to reduce the impact of compounding through the use of monthly rebalancing

Leveraged mutual funds pursue monthly leveraged investment objectives which means they are riskier than alternatives which do not use leverage. They seek to magnify the returns of their benchmarks on a monthly basis and should not be expected to track the underlying index over periods longer than one month. They are not suitable for all investors and should be utilized only by investors who understand leverage risk and who actively manage their investments.

Target Index

The ICE U.S. Treasury 7-10 Year Bond Index (IDCOT7TR) is a market value weighted index that includes publicly issued U.S. Treasury securities that have a remaining maturity of greater than seven years and less than or equal to ten years. Eligible securities must be fixed rate, denominated in U.S. dollars, and have $300 million or more of outstanding face value, excluding amounts held by the Federal Reserve. Securities excluded from the Index are zero-coupon STRIPS, inflation linked securities, floating rate notes, cash management and Treasury bills, and any government agency debt issued with or without a government guarantee. One cannot directly invest in an index.

Index Bond Maturities %

9-10 36.19
7-9 63.81

Index Credit Ratings %

Aaa 100.00

The credit ratings are published rankings based on Moody's financial analyses as it relates to the bond issuer’s ability to meet debt obligations. The highest rating is Aaa, and the lowest is C.

Index Statistics

Duration 7.58 Years
Weighted Average Maturity 8.52 Years
Weighted Average Coupon 2.72%
30 Day Volatility 5.04%

Duration is a measure of the sensitivity of the price (the value of principal) of a fixed-income investment to a change in interest rates. Duration is expressed as a number of years.

The weighted average maturity of the time until all maturities on treasuries in the index. The higher the weighted average to maturity, the longer the bonds have in the index until maturity.

The weighted average coupon of the index is arrived at by weighting the coupon of each bond by its relative size in the portfolio.

Volatility is a measurement of risk based on daily volatility of price over the last 30 days of the period calculated using standard deviation.

Source: Bloomberg. Data as of 6/30/2019 and is subject to change at any time.

Related Reading

Why Monthly Leveraged Mutual Funds?

Here you will find educational materials that aim to streamline and simplify leveraged index-based mutual funds, helping you to effectively deploy them in support of your portfolio strategies.

This page contains in depth information on the nature of leveraged index-based funds and related topics. These literature pieces should provide you with a good understanding of industry concepts and how leveraged index-based funds may perform.

  • Monthly Leveraged Mutual Funds – The Direxion 2x monthly leveraged index-based mutual funds provide 200% (or 200% of the inverse) exposure to their benchmarks and the ability for investors to navigate changing markets with flexibility. This brochure is designed to provide you with details concerning the composition of these funds, their monthly rebalancing feature, and the potential risks associated with them.
  • Managing Intra-Month Purchases of Monthly Leveraged Index-Based Funds – This piece is designed to provided details on how to manage intra-monthly purchases of these funds, how to understand the changes in exposure that invariably occur each day of the month, and the tools that Direxion offers to help investors understand current exposure level – so they can make educated decisions about any leveraged index-based fund purchase they may be considering.
  • The Impact of Changing Market Exposure on Monthly Leveraged Index-Based Fund Performance – Leveraged index-based fund performance can be significantly affected both positively and negatively by fluctuating market exposure. This piece provides a clear understanding of how market exposure can affect performance of these investments over time.