A leveraged ETF is an exchange-traded fund that uses debt or derivatives as leverage
to amplify the returns of a benchmark index. Leveraged ETFs can generate significant
short-term gains/losses, often achieving 2x or even 3x the daily performance of the
underlying benchmark index. For instance, a 2x leveraged ETF on S&P 500 index, can
have 2x the daily performance of S&P 500 index. I.e., if S&P 500 index gains 1% in one
day, then the 2x leveraged ETF will gain 2%; similarly, if the S&P 500 index loses 1%
in one day, then the 2x leverage ETF will lose 2%. One commonly used financial
derivative to create leveraged ETFs is TRS. Would you please create a trading strategy
(e.g., enter into a contract of xxx, buy yyy, short zzz, etc.) with TRS to mimic a 2x
leveraged ETF on the S&P 500 index? Assume finding a counterparty in your trading
strategy is straightforward, and you have flexibility with benchmark rates and other
necessary assumptions. The strategy should aim for approximately double the index's
returns without needing to match it precisely.