The triple-leverage financial ETFs of Direxion Daily Financial Bull 3X Shares (NYSE: FAS) and Direxion Daily Financial Bear 3X Shares (NYSE: FAZ) are getting to deal with yet another potential wrench in the machine: preferred share redemptions from major banks.  This will also pose a potential issue for the Ultra Financials ProShares (NYSE: UYG) and the UltraShort Financials ProShares (NYSE: SKF) ETFs that trade at double-leverage of the Dow Jones U.S. Financials index.

The PowerShares Financial Preferred (NYSE: PGF) is the ETF that specifically tracks the preferred shares of financial stocks.  This can also be impacted, although we would note that this ETF here has five of its top ten holdings which are European bank preferred shares and the top ten holdings are over half of the ETF.

This comes on the hells of this morning’s Bank of America Corporation (NYSE: BAC)

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What is THE most important aspect of investing? It’s not the ability to read a balance sheet. Nor is it recognizing trading patterns. In fact, this particular quality isn’t even specific to investing; it’s essential to any skill. I’m talking about patience. From an action standpoint, investing is boring. Unless you’re a day trader, it’s very much a waiting game. After all, buying or selling an investment requires nothing more than a click of the mouse. A couple seconds and you’re done. The rest of the time (99%) you’re doing nothing. Well, not quite nothing; you’re actually patiently ignoring information. Every day investors are bombarded with information about the financial markets. Whether it’s the TV, internet, newspaper, or even radio, multiple media outlets spew forth theories and updates about what’s happening every second of every day. Almost all of this is pure noise. Financial journalists make their living ...

Just when you think the Banks, Brokers and Money Centers cannot go any lower the Proshares Ultrashort Financials ETF (SKF) hits a new high. New 52 Week High Currently trading up 5% as the market has taken a steep decline on news of further trouble with automobile makers General Motors and Ford, SKF has reached a new ...