Hey I posted my question in another topic but here it is again and I created two excel sheets and the results were educational. question: Why not just short FAS and FAZ(3x Russell 1000 financial index). You win by the decay! I learned this works for choppy markets like ours, but if there is a trend you get HAMMERED!!! Russell(RIFIN) is now at 452 last time it was there was Jan 20th, roughly 36 trading days. Had you shorted both FAS and FAZ you would have made 33% on FAS and 54% on FAZ. Investing $30,000 into each short you make a total of $26,000. Hell YEA!!!! But wait... Had in those 36 trading days the Russell(RIFIN) go up 2% every day here are the results. You lose on FAS 625% and you win on FAZ 88%. You would have LOST(assuming no margin calls) $161,000. Does this sound correct, crazy shit, sorry if this is stuff you already know, it was a learning experiment for me. I don't think I will be doing this, lol. ----QUESTION----- If you were to do this would it be better to do this by buying puts on both sides, or selling calls, or shorting the actual stock? Also do you pay interest on the money from the short selling even if the stock moves in your favor?