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5 Best Performing Leveraged ETFs of February

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Stocks across the globe have performed well in February, with international stocks outperforming their U.S. counterparts. This is especially true as Vanguard FTSE All-World ex-US ETF (VEU - Free Report) , targeting the international equity market, gained 5.8% last month compared with growth of 2.1% for iShares MSCI ACWI ETF (ACWI - Free Report) , which targets the global stock market, including the United States, and 0.4% for the SPDR S&P 500 ETF Trust (SPY - Free Report) .

Inflationary pressure and concerns over the new administration’s tariffs shifted investors' interest toward international stocks. In fact, investors are growing more bullish on global equities, buoyed by solid European fundamentals and China’s recovery.

As such, we have highlighted a bunch of the best-performing leveraged equity ETFs from various parts of the global market that led the way higher in February. These include Direxion Daily CSI China Internet Index Bull 2X Shares (CWEB - Free Report) , MicroSectors Gold Miners 3X Leveraged ETN (GDXU - Free Report) , Direxion Daily MSCI Mexico Bull 3X Shares (MEXX - Free Report) , Direxion Daily FTSE Europe Bull 3x Shares (EURL - Free Report) and Direxion Daily MSCI Emerging Markets Bull 3x Shares (EDC - Free Report) .

These funds seek to register big gains in a short span and will continue their strong trend, at least in the near term, provided the sentiments remain bullish. Leveraged ETFs provide multiple exposures (2X or 3X) to the daily performance of the underlying index. These funds employ various investment strategies, such as swaps, futures contracts and other derivative instruments, to accomplish their objectives.

China stocks led the way, as DeepSeek’s innovation in artificial intelligence sparked optimism among investors. The MSCI China Index rose 26.5% from its January low. The iShares MSCI China ETF (MCHI - Free Report) rallied 20.7% over the past month. European markets notched the 10th straight week of gains on improving economic conditions and cheap valuation. The Stoxx Europe 600 index hit all-time highs, gaining 3.3% last month, marking its strongest February performance since 2019. Vanguard FTSE Europe ETF (VGK - Free Report) appreciated 7.5% in a month.

Meanwhile, the U.S. stock market ended February on a dismal note, with the S&P 500 dropping 1.5%, marking its worst month since December. The risk-off trade has raised the appeal for gold as a safe-haven demand amid Trump’s tariff plans. Notably, gold logged in its longest winning streak since 2020 before falling last week (read: 5 ETFs Riding on Gold's Longest Rally in Four Years).

Leveraged ETFs in Focus

Direxion Daily CSI China Internet Index Bull 2X Shares (CWEB - Free Report) – Up 52.1%

Direxion Daily CSI China Internet Index Bull 2X Shares offers twice (2X or 200%) the leveraged exposure to China’s Internet market by tracking the CSI Overseas China Internet Index. It charges an annual fee of 86 bps and trades in an average daily volume of about 844,000 shares. Direxion Daily CSI China Internet Index Bull 2X Shares has accumulated an AUM of $433.1 million (read: 5 Leveraged ETFs With Double-Digit Gains Halfway Through Q1). 

MicroSectors Gold Miners 3X Leveraged ETN (GDXU - Free Report) – Up 29.7%

MicroSectors Gold Miners 3X Leveraged ETN seeks to deliver three times (3X or 300%) the performance of the S-Network MicroSectors Gold Miners Index. It has amassed $415.4 million in its asset base and charges 95 bps in annual fees. MicroSectors Gold Miners 3X Leveraged ETN trades in an average daily volume of 724,000 shares.

Direxion Daily MSCI Mexico Bull 3X Shares (MEXX - Free Report) - Up 28.1%

Direxion Daily MSCI Mexico Bull 3X Shares creates a three-times-long position in the MSCI Mexico IMI 25/50 Index, charging 95 bps in annual fees. It has an AUM of $22.3 million and trades in an average daily volume of 212,000 shares.

Direxion Daily FTSE Europe Bull 3x Shares (EURL - Free Report) – Up 22.2%

Direxion Daily FTSE Europe Bull 3x Shares seeks exposure to deliver three times the performance of the FTSE Developed Europe All Cap Index. It charges 95 bps in annual fees and trades in an average daily volume of 39,000 shares. Direxion Daily FTSE Europe Bull 3x Shares has amassed $23 million in its asset base (read: Europe ETFs Beating S&P 500 in 2025: Here's How).

Direxion Daily MSCI Emerging Markets Bull 3x Shares (EDC - Free Report) – Up 20.5%

Direxion Daily MSCI Emerging Markets Bull 3x Shares seeks to provide three times the performance of the MSCI Emerging Markets Index. It has amassed $86.7 million in its asset base and trades in a volume of 95,000 shares. Direxion Daily MSCI Emerging Markets Bull 3x Shares charges 95 bps in annual fees.

Bottom Line

As a caveat, investors should note that these products are extremely volatile and suitable only for short-term traders. Additionally, the daily rebalancing, when combined with leverage, may make these products deviate significantly from the expected long-term performance figures (see: all the Leveraged Equity ETFs here).

Yet, for ETF investors who are bullish on these regions in the near term, any of the above-mentioned products can be an interesting choice. A near-term long could be intriguing for those with high risk tolerance and a belief that the trend is a friend in this corner of the investing world.

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