GraniteShares Unleashes 2x Lucid And Rivian ETFs, But Are DRIV And IDRV The Smarter EV Plays?

Lucid Group LCID and Rivian Automotive RIVN inspired GraniteShares to launch two new exchange-traded funds.

What Happened: In the latest fuel for EV-thematic investors, GraniteShares unveiled two single-stock ETFs. They’re designed to return 2x the day’s return of their respective underlying stocks.

This means when Lucid has a decent hair day in the market, the GraniteShares 2x Long LCID Daily ETF LCDL attempts to double down on it.

Similarly, when Rivian gets revs up, the GraniteShares 2x Long RIVN Daily ETF RVNL seeks to floor it.

But, as a word of caution, these ETFs are designed for tactical traders, not long-haul investors, as the funds reset daily.

Also Read: 3 High-Risk ETFs Aggressive Retail Investors Can’t Stop Buying

Why It Matters: Lucid, with its luxury sedans and in-house battery technology, cut a niche in the premium EV market. Its cars are designed and built in California and feature fresh styling and serious range.

Rivian, on the other hand, is more rugged with its R1T pickup and R1S SUV, not to mention its high-profile Electric Delivery Van (EDV) fleet. The company is also made and based in the U.S., targeting consumers and commercial customers who want environmentally friendly transport.

Both stocks have recently experienced a rough ride, making them good targets for traders wagering on short-term rebounds—or reversals.

Other ETFs To Watch: It’s worth noting that GraniteShares’ LCDL and RVNL ETFs are not for Sunday drivers. They are designed for pit-stop traders who have an iron stomach and are watching the daily ticker.

For investors who want to tap into the wider EV universe with less volatility than single-stock plays, keep an eye on the following:

Global X Autonomous & Electric Vehicles ETF DRIV, which provides diversified exposure to both EV producers and top suppliers in AI and battery technology. It’s been a consistent performer during macro headwinds. Looking at the rear view mirror, the ETF has dipped 12.8% in the past year. However, a longer look down the road shows that it has gained 61.62% in the past five years. The expense ratio it carries is 0.68%.

iShares Self-Driving EV and Tech ETF IDRV, which offers international exposure to leaders in autonomous and electric vehicle innovation. Tesla TSLA, BYD BYD, and Nvidia NVDA are some of its best holdings. The past year price performance is discouraging at a loss of 4.53%. However, the fund has gained more than 20% in the past five years. The expense ratio of the fund is 0.47%.

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