Fund Evaluator:

Rydex Emerging Markets 2X Strategy C Overview

Rydex Emerging Markets 2X Strategy C (RYWUX) is a passively managed Miscellaneous Trading--Leveraged Equity fund. Rydex Funds launched the fund in 2010.

The investment seeks to provide investment results that correlate, to 200% of the performance of the S&P Emerging 50 ADR Index on a daily basis. The fund will invest at least 80% of its net assets, plus any borrowings for investment purposes, in securities of companies in the underlying index and derivatives and other instruments whose performance is expected to correspond to that of the underlying index. The index is a capitalization weighted index comprised of the 50 largest emerging market based ADRs having a free-float market capitalization ranging from approximately $4.5 billion to $901.6 billion as of June 30, 2024. It is non-diversified.

About Rydex Emerging Markets 2X Strategy C (RYWUX)

There are 4 members of the management team with an average tenure of 6.99 years: Brendan Cain (2022), Spencer Crane (2022), Scott Miller (2022), Michael Byrum (2010). Management tenure is more important for actively managed funds than passive index funds.

The fund has 2 primary benchmarks: MSCI World ex USA NR USD index with a weighting of 200% and S&P Emerging 50 ADR NR USD index with a weighting of 100%. Rydex Emerging Markets 2X Strategy C has 62 securities in its portfolio. The top 10 holdings constitute 50.8% of the fund’s assets. The fund meets the SEC requirement of being classified as a nondiversified fund. The fund is not considered to have an ESG focus with its investment selection and management.

Rydex Emerging Markets 2X Strategy C is part of the Other global asset class and is within the Miscellaneous fund group. Rydex Emerging Markets 2X Strategy C has 60.3% of its portfolio invested in foreign issues. The overall assets allocated to domestic stock is 0.7%. There is 60.3% allocated to foreign stock, and 0.0% is allocated to preferred stocks. The bond allocation as a percentage of total assets is 0.0% (0.0% domestic bond, 0.0% foreign bond and 0.0% convertible bond). Rydex Emerging Markets 2X Strategy C has 39.6% of the portfolio in cash.

Assets Under Management

The fund has $71 million in total assets, which is below the $69 million average for the Trading--Leveraged Equity category. Normally, lower assets under management translates to higher average expense ratios, and greater total assets are desired. However, for some investment categories, such as small-cap investing, it may be difficult for the manager to fully employ the desired active strategy if assets grow too large or too quickly.

RYWUX Performance and Fees

The expense ratio measures how much of a fund’s assets are used for administrative expenses and operating expenses, including adviser fees and fees for the transfer agent and custodial services. The Rydex Emerging Markets 2X Strategy C expense ratio is high compared to funds in the Trading--Leveraged Equity category. Rydex Emerging Markets 2X Strategy C has an expense ratio of 2.54%, which is 25% higher than its category average, making the fund expense ratio grade a D. While it is difficult to predict returns, it is known that high annual expense ratios reduce your rate of return, and excessive fees are difficult to overcome. Active management normally comes with higher expense ratios than passive index management. Certain investment categories such as small company and foreign also normally have higher expense ratios. It is best to compare fund expense ratios against the category averages for meaningful assessments.

High portfolio turnover can translate to higher expenses and lower aftertax returns. Rydex Emerging Markets 2X Strategy C has a portfolio turnover rate of 271%, indicating that holds its assets around 0.0 years. By way of comparison, the average portfolio turnover is 398% for the Trading--Leveraged Equity category.

Recently, in the month of July 2026, Rydex Emerging Markets 2X Strategy C returned 0.9%, which earned it a grade of B, as the Trading--Leveraged Equity category had an average return of -2.7%. The letter grades of A, B, C, D and F are based upon relative rankings within the investment category. A grade of A, for example, would indicate that the return is in the highest 20% for that time period compared to all funds in that category.

Rydex Emerging Markets 2X Strategy C has a trailing yield of 0.93%, which is below the 1.00% category average. The fund normally distributes its income annually and its capital gains annually.

It’s natural to seek the best-performing investments, but you must consider the relationship between risk and return and the impact of costs and taxes on your realized returns.

Rydex Emerging Markets 2X Strategy C Grades

Year to date, the fund has returned 1.0%, 16.1 percentage points worse than the category, which translates into a grade of F. The fund has returned 26.1% over the past year (grade of D), 18.4% over the past three years (grade of C) and -0.0% per year over the past five years (grade of F) and 7.0% per year over the past 10 years (grade of F).

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