Semiconductor stocks like Nvidia (NVDA) and Advanced Micro Devices (AMD) are the lifeblood of the current bull market. The existence of this bull market, despite all the growing recession worries, owes much to the ongoing artificial intelligence revolution, which has led to higher profits and allowed tech stocks to grow to their current elevated valuations.

The Direxion Daily Semiconductor Bull 3X Shares ETF provides leverage and good capital exposure to the semiconductor industry. It’s important to realize, that SOXL is a 3x leveraged product tracking the NYSE Semiconductor Index and not designed as a long-term buy and hold investment. The index includes a combination of semiconductor manufacturers and related materials and device manufacturers. Semi is a big beneficiary of the tech bull market, and SOXL is triple leveraged by the tech bull market, so the potential here is huge if you can manage the risk correctly.

SOXL’s largest shareholders include Susquehanna International Group, Citadel Advisors, Jane Street Group, Wolverine Trading, GTS Securities, Cutler Group LP and Traynor Capital Management, Inc.

All in all, SOXL is a great way to take advantage of what could be a continuation of sustained bull market in semiconductor stocks through 2024 — especially, if the Fed turns into monetary softening. Owning a leveraged fund, however, involves significant risk, and SOXL is no exception. So if you decide to use it, be careful with your stop loss and position size.