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2x leveraged Palantir ETF lost 33% in a year despite flat stock due to daily reset decay.

Market News
05 Aug 2026
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Neutral
2x leveraged Palantir ETF lost 33% in a year despite flat stock due to daily reset decay.

Palantir's stock was nearly flat over the past year, rising just 1.24%, yet the GraniteShares 2x Long PLTR Daily ETF (PTIR) tracking it dropped 33.27%. This discrepancy is due to volatility decay inherent in daily-reset leveraged ETFs, which can lose value over time even if the underlying stock remains flat. PTIR performs well over short periods, doubling daily moves, but over longer periods with volatility, it suffers losses. Palantir's strong Q2 2026 earnings and optimistic guidance may boost short-term gains, but the ETF's structure makes it risky for buy-and-hold investors.

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