U.S. geared exchange-traded funds drew $13B in new capital during October, the strongest month on record for the asset class. The monthly peak was driven by activity for the week ending Oct 16, when leveraged ETFs saw inflows of $9.5B, more than double the previous weekly record of $4.5B set in 2024. Much of that volume entered the 3x leveraged long Semiconductor ETF, which recorded a record $7B in weekly inflows, and the 3x leveraged long Nasdaq 100 ETF, which gained $1.3B.
Goldman Sachs noted the disparity between bullish and bearish bets peaked in a single day, with levered ETFs taking in $3.3B while inverse funds saw $2.2B in outflows. The surge in risk-taking follows a period of extreme volatility in the sector; the largest weekly outflow for leveraged products occurred in late 2025 when funds lost $7.5B in assets.