BABX vs. MSTX

Last updated Jun 3, 2026

BABX (GraniteShares 2x Long BABA Daily ETF) and MSTX (Defiance Daily Target 2X Long MSTR ETF) are both Leveraged Equities funds. Both are actively managed. Over the past year, BABX returned 2.60% vs -94.32% for MSTX. At a 0.27 correlation, their price movements are largely independent. BABX charges 1.15%/yr vs 1.29%/yr for MSTX.

Performance

BABX vs. MSTX - Performance Comparison

The chart below illustrates the hypothetical performance of a $10,000 investment in GraniteShares 2x Long BABA Daily ETF (BABX) and Defiance Daily Target 2X Long MSTR ETF (MSTX). The values are adjusted to include any dividend payments, if applicable.

Returns By Period

In the year-to-date period, BABX achieves a -28.75% return, which is significantly higher than MSTX's -47.35% return.

BABX

• 1D: 8.45%
• 1M: -3.53%
• YTD: -28.75%
• 6M: -41.65%
• 1Y: 2.60%
• 3Y*: 8.73%
• 5Y*: —
• 10Y*: —

MSTX

• 1D: -18.07%
• 1M: -44.62%
• YTD: -47.35%
• 6M: -64.81%
• 1Y: -94.32%
• 3Y*: —
• 5Y*: —
• 10Y*: —

*Multi-year figures are annualized to reflect compound growth (CAGR)

BABX vs. MSTX - Yearly Performance Comparison

	2026 (YTD)	2025	2024
BABX GraniteShares 2x Long BABA Daily ETF	-28.75%	123.85%	3.21%
MSTX Defiance Daily Target 2X Long MSTR ETF	-47.35%	-89.06%	137.37%

Correlation

The correlation between BABX and MSTX is 0.29, which is low. Their price movements are largely independent, making them effective diversification partners.

	Correlation
Correlation (1Y) Calculated over the trailing 1-year period	0.29
Correlation (All Time) Calculated using the full available price history since Aug 16, 2024	0.27

Return for Risk

BABX vs. MSTX — Risk / Return Rank

Compare risk-adjusted metric ranks to identify better-performing investments over the past 12 months.

BABX

BABX Risk / Return Rank: 11
BABX Sharpe Ratio Rank: 9
BABX Sortino Ratio Rank: 15
BABX Omega Ratio Rank: 14
BABX Calmar Ratio Rank: 9
BABX Martin Ratio Rank: 9

MSTX

MSTX Risk / Return Rank: 2
MSTX Sharpe Ratio Rank: 3
MSTX Sortino Ratio Rank: 1
MSTX Omega Ratio Rank: 1
MSTX Calmar Ratio Rank: 1
MSTX Martin Ratio Rank: 2

The rank (0–100) shows how this investment's returns compare to the risk taken. Higher = better. Based on the past 12 months of data, combining Sharpe, Sortino, and other metrics used by quantitative funds and institutional investors.

BABX vs. MSTX - Risk-Adjusted Trends Comparison

This table presents a comparison of risk-adjusted performance metrics for GraniteShares 2x Long BABA Daily ETF (BABX) and Defiance Daily Target 2X Long MSTR ETF (MSTX). Risk-adjusted metrics are performance indicators that assess an investment's returns in relation to its risk, enabling a more accurate comparison of different investment options.

	BABX	MSTX	Difference
Sharpe ratio Return per unit of total volatility	0.03	-0.68	+0.71
Sortino ratio Return per unit of downside risk	0.75	-1.90	+2.65
Omega ratio Gain probability vs. loss probability	1.08	0.80	+0.28
Calmar ratio Return relative to maximum drawdown	0.06	-0.98	+1.04
Martin ratio Return relative to average drawdown	0.11	-1.26	+1.37
Data is calculated on a 1-year rolling basis and updated daily. The trend shows the change in the indicator over the past month.

BABX vs. MSTX - Sharpe Ratio Comparison

The current BABX Sharpe Ratio is 0.03, which is higher than the MSTX Sharpe Ratio of -0.68. The chart below compares the historical Sharpe Ratios of BABX and MSTX, calculated using daily returns over the previous 12 months. A higher Sharpe Ratio indicates better risk-adjusted performance relative to the risk-free rate.

Sharpe Ratios by Period

	BABX	MSTX	Difference
Sharpe Ratio (1Y) Calculated over the trailing 1-year period	0.03	-0.68	+0.71
Sharpe Ratio (All Time) Calculated using the full available price history	-0.00	-0.40	+0.40

Drawdowns

BABX vs. MSTX - Drawdown Comparison

The maximum BABX drawdown since its inception was -70.62%, smaller than the maximum MSTX drawdown of -98.66%. Use the drawdown chart below to compare losses from any high point for BABX and MSTX.

Drawdown Indicators

	BABX	MSTX	Difference
Max Drawdown Largest peak-to-trough decline	-70.62%	-98.66%	+28.04%
Max Drawdown (1Y) Largest decline over 1 year	-64.86%	-96.62%	+31.76%
Max Drawdown (3Y) Largest decline over 3 years	-64.86%	—	—
Current Drawdown Current decline from peak	-59.78%	-98.38%	+38.60%
Average Drawdown Average peak-to-trough decline	-45.22%	-69.88%	+24.66%
Ulcer Index Depth and duration of drawdowns from previous peaks	36.08%	75.01%	-38.93%

Volatility

BABX vs. MSTX - Volatility Comparison

The current volatility for GraniteShares 2x Long BABA Daily ETF (BABX) is 28.99%, while Defiance Daily Target 2X Long MSTR ETF (MSTX) has a volatility of 39.23%. This indicates that BABX experiences smaller price fluctuations and is considered to be less risky than MSTX based on this measure. The chart below showcases a comparison of their rolling one-month volatility.

Volatility by Period

	BABX	MSTX	Difference
Volatility (1M) Calculated over the trailing 1-month period	28.99%	39.23%	-10.24%
Volatility (6M) Calculated over the trailing 6-month period	58.19%	111.76%	-53.57%
Volatility (1Y) Calculated over the trailing 1-year period	87.35%	139.45%	-52.10%
Volatility (5Y) Calculated over the trailing 5-year period, annualized	83.11%	167.29%	-84.18%
Volatility (10Y) Calculated over the trailing 10-year period, annualized	83.11%	167.29%	-84.18%

BABX vs. MSTX - Expense Ratio Comparison

BABX has a 1.15% expense ratio, which is lower than MSTX's 1.29% expense ratio.

Dividends

BABX vs. MSTX - Dividend Comparison

Neither BABX nor MSTX has paid dividends to shareholders.

Position	TTM	2025	2024
BABX GraniteShares 2x Long BABA Daily ETF	0.00%	0.00%	0.00%
MSTX Defiance Daily Target 2X Long MSTR ETF	0.00%	0.00%	41.01%

Frequently Asked Questions

Can I hold both BABX and MSTX in my portfolio?

BABX and MSTX have a correlation of 0.29, meaning they provide meaningful diversification benefit when combined. Depending on your allocation goals, holding both could reduce overall portfolio risk.

Which is riskier, BABX or MSTX?

MSTX has higher volatility (39.23%) compared to BABX (28.99%). In terms of maximum drawdown, BABX dropped -70.62% vs MSTX's -98.66%.

Which ETF is better, BABX or MSTX?

On 1-year performance, BABX leads with 2.60% vs -94.32% for MSTX. On fees, BABX is cheaper at 1.15% per year. On volatility, BABX has been the lower-risk option at 28.99%. The better choice depends on whether you care most about return, fees, risk, or income.

Which ETF has performed better, BABX or MSTX?

Over the 1-year period, BABX has performed better with a 2.60% return vs -94.32%. Past performance does not guarantee future results, so compare this with risk, fees, and fund exposure.

Which ETF is cheaper, BABX or MSTX?

BABX is cheaper with a 1.15% expense ratio, compared with 1.29% for MSTX.

Which ETF pays a higher dividend yield, BABX or MSTX?

BABX and MSTX have nearly identical dividend yields, around 0.00%.

What is the main difference between BABX and MSTX?

They also come from different issuers: GraniteShares and Defiance. Their fees differ too: 1.15% for BABX and 1.29% for MSTX.

Which has better risk-adjusted returns?

BABX currently has the higher Sharpe Ratio (0.03 vs -0.68), meaning it's delivered slightly more return per unit of risk over the trailing 12 months. However, this ranking shifts over time - use the Risk/Return Score above for a more comprehensive view that combines Sharpe, Sortino, and other measures used by quantitative funds.