BU vs. SOXL

Last updated Jun 4, 2026

BU (Defiance Daily Target 2X Long B ETF) and SOXL (Direxion Daily Semiconductor Bull 3X ETF) are both Leveraged Equities funds. BU is actively managed, while SOXL is passively managed. At a 0.44 correlation, their price movements are largely independent. BU charges 1.29%/yr vs 0.75%/yr for SOXL.

Performance

BU vs. SOXL - Performance Comparison

The chart below illustrates the hypothetical performance of a $10,000 investment in Defiance Daily Target 2X Long B ETF (BU) and Direxion Daily Semiconductor Bull 3X ETF (SOXL). The values are adjusted to include any dividend payments, if applicable.

Returns By Period

In the year-to-date period, BU achieves a -20.39% return, which is significantly lower than SOXL's 567.48% return.

BU

• 1D: -5.94%
• 1M: 15.42%
• YTD: -20.39%
• 6M: -9.66%
• 1Y: —
• 3Y*: —
• 5Y*: —
• 10Y*: —

SOXL

• 1D: 5.34%
• 1M: 119.95%
• YTD: 567.48%
• 6M: 502.28%
• 1Y: 1,438.30%
• 3Y*: 135.13%
• 5Y*: 48.72%
• 10Y*: 65.39%

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

BU vs. SOXL - Yearly Performance Comparison

	2026 (YTD)	2025
BU Defiance Daily Target 2X Long B ETF	-20.39%	29.45%
SOXL Direxion Daily Semiconductor Bull 3X ETF	567.48%	16.88%

Correlation

The correlation between BU and SOXL is 0.44, which is low. Their price movements are largely independent, making them effective diversification partners.

	Correlation
Correlation (All Time) Calculated using the full available price history since Nov 20, 2025	0.44

Return for Risk

BU vs. SOXL — Risk / Return Rank

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

SOXL

SOXL Risk / Return Rank: 97
SOXL Sharpe Ratio Rank: 100
SOXL Sortino Ratio Rank: 95
SOXL Omega Ratio Rank: 95
SOXL Calmar Ratio Rank: 99
SOXL Martin Ratio Rank: 99

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.

BU vs. SOXL - Risk-Adjusted Trends Comparison

This table presents a comparison of risk-adjusted performance metrics for Defiance Daily Target 2X Long B ETF (BU) and Direxion Daily Semiconductor Bull 3X ETF (SOXL). 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.

Risk / return metrics aren't available yet — we need at least 12 months of trading data to calculate them.

Sharpe Ratios by Period

	BU	SOXL	Difference
Sharpe Ratio (1Y) Calculated over the trailing 1-year period	—	14.28	—
Sharpe Ratio (5Y) Calculated over the trailing 5-year period	—	0.46	—
Sharpe Ratio (10Y) Calculated over the trailing 10-year period	—	0.66	—
Sharpe Ratio (All Time) Calculated using the full available price history	0.06	0.52	-0.46

Drawdowns

BU vs. SOXL - Drawdown Comparison

The maximum BU drawdown since its inception was -53.98%, smaller than the maximum SOXL drawdown of -90.46%. Use the drawdown chart below to compare losses from any high point for BU and SOXL.

Drawdown Indicators

	BU	SOXL	Difference
Max Drawdown Largest peak-to-trough decline	-53.98%	-90.46%	+36.48%
Max Drawdown (1Y) Largest decline over 1 year	—	-43.47%	—
Max Drawdown (3Y) Largest decline over 3 years	—	-87.88%	—
Max Drawdown (5Y) Largest decline over 5 years	—	-90.46%	—
Max Drawdown (10Y) Largest decline over 10 years	—	-90.46%	—
Current Drawdown Current decline from peak	-45.10%	0.00%	-45.10%
Average Drawdown Average peak-to-trough decline	-25.32%	-35.01%	+9.69%
Ulcer Index Depth and duration of drawdowns from previous peaks	—	12.65%	—

Volatility

Volatility by Period

	BU	SOXL	Difference
Volatility (1M) Calculated over the trailing 1-month period	—	40.82%	—
Volatility (6M) Calculated over the trailing 6-month period	—	81.29%	—
Volatility (1Y) Calculated over the trailing 1-year period	97.59%	102.11%	-4.52%
Volatility (5Y) Calculated over the trailing 5-year period, annualized	97.59%	107.25%	-9.66%
Volatility (10Y) Calculated over the trailing 10-year period, annualized	97.59%	99.04%	-1.45%

BU vs. SOXL - Expense Ratio Comparison

BU has a 1.29% expense ratio, which is higher than SOXL's 0.75% expense ratio.

Dividends

BU vs. SOXL - Dividend Comparison

BU has not paid dividends to shareholders, while SOXL's dividend yield for the trailing twelve months is around 0.03%.

Position	TTM	2025	2024	2023	2022	2021	2020	2019	2018	2017	2016
BU Defiance Daily Target 2X Long B ETF	0.00%	0.00%	0.00%	0.00%	0.00%	0.00%	0.00%	0.00%	0.00%	0.00%	0.00%
SOXL Direxion Daily Semiconductor Bull 3X ETF	0.03%	0.34%	1.18%	0.51%	1.07%	0.04%	0.05%	0.38%	1.30%	0.09%	4.84%

Frequently Asked Questions

Can I hold both BU and SOXL in my portfolio?

BU and SOXL have a correlation of 0.44, meaning they provide meaningful diversification benefit when combined. Depending on your allocation goals, holding both could reduce overall portfolio risk.

Which ETF is better, BU or SOXL?

On fees, SOXL is cheaper at 0.75% per year. The better choice depends on whether you care most about return, fees, risk, or income.

Which ETF is cheaper, BU or SOXL?

SOXL is cheaper with a 0.75% expense ratio, compared with 1.29% for BU.

Which ETF pays a higher dividend yield, BU or SOXL?

SOXL has the higher dividend yield at 0.03%, compared with 0.00% for BU.

What is the main difference between BU and SOXL?

They also come from different issuers: Defiance and Direxion. Their fees differ too: 1.29% for BU and 0.75% for SOXL.