<prompt> Human: I am making investments over a somewhat long period 5-8 years and am relatively risk seeking. If my investments in stock represent the risk in my portfolio and I overall believe it will go up, why not invest in the SP 500 3x instead of just a normal index? It seems to me like unless youre very risk averse, its a normal investment strategy. Im sure Im wrong, please fill me in. Thank you!  <response>: You are definitely wrong.3x annual leverage would be fine. 3x monthly leverage might even work. But you are going to invest in a 3x daily leverage fund, and annualized daily volatility is generally much higher than realized annual volatility. In a volatile, sideways market, you will lose a lot of money. In a perpetually down market, forget about keeping anything, because you are resetting your vol every day and creating that much more pain for yourself.If you really want leverage so badly, you are better off with futures. 