UVXY gives leveraged exposure to short-term VIX futures — not to the VIX index itself, which cannot be traded directly. It targets 1.5x the daily move of an index of first- and second-month VIX futures, so it rises hardest when markets are falling and fear is being repriced. Note the leverage: ProShares cut it from 2x to 1.5x in 2018, and older write-ups still quote the wrong figure.
ProShares Ultra VIX Short-Term Futures ETF (UVXY) is currently trading at $19.52. Over the past 52 weeks, UVXY has traded between a low of $19.18 and a high of $70.60. Recent daily volume is around 6.0M. These figures update live as the market moves.
The fund holds VIX futures and rolls them forward continuously. That roll is the defining feature: VIX futures are usually in contango, meaning next month costs more than this month, so the fund persistently sells low and buys high. The result is a structural downward drift that has nothing to do with leverage decay and everything to do with the shape of the futures curve. Over long periods UVXY loses value relentlessly, punctuated by violent spikes.
Almost entirely short-term traders and hedgers. Buying UVXY is a bet that volatility rises within days, not weeks. Some traders hold small positions as portfolio insurance, accepting the steady bleed in exchange for a payoff during a crash. Holding it as a long-term position is a well-documented way to lose money slowly.
Any session where equities drop sharply — UVXY often moves before the selling is obvious in the index. Also watch it around Fed decisions, CPI releases, and geopolitical shocks. A rising UVXY alongside a falling SPXS tells you volatility is being bid rather than just prices drifting down.