EDZ vs. BERZ

Last updated Jul 12, 2026

EDZ (Direxion Daily Emerging Markets Bear 3X Shares) and BERZ (MicroSectors Solactive FANG & Innovation -3X Inverse Leveraged ETN) are both exchange-traded funds - EDZ is a Leveraged Equities fund tracking the MSCI Emerging Markets Index (-300%), while BERZ is a Inverse Equities fund tracking the Solactive FANG Innovation Index. Both are passively managed. Over the past 3 years, EDZ returned -47.23%/yr vs -74.89%/yr for BERZ. A 0.63 correlation means they provide meaningful diversification when combined. EDZ charges 1.08%/yr vs 0.95%/yr for BERZ.

Performance

EDZ vs. BERZ - Performance Comparison

The chart below illustrates the hypothetical performance of a $10,000 investment in Direxion Daily Emerging Markets Bear 3X Shares (EDZ) and MicroSectors Solactive FANG & Innovation -3X Inverse Leveraged ETN (BERZ). The values are adjusted to include any dividend payments, if applicable.

Returns By Period

In the year-to-date period, EDZ achieves a -55.94% return, which is significantly higher than BERZ's -59.05% return.

EDZ

• 1D: -0.84%
• 1M: -2.37%
• 6M: -49.66%
• YTD: -55.94%
• 1Y: -70.46%
• 3Y*: -47.23%
• 5Y*: -26.31%
• 10Y*: -35.27%

BERZ

• 1D: -0.98%
• 1M: -3.93%
• 6M: -55.69%
• YTD: -59.05%
• 1Y: -78.93%
• 3Y*: -74.89%
• 5Y*: —
• 10Y*: —

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

EDZ vs. BERZ - Yearly Performance Comparison

	2026 (YTD)	2025	2024	2023	2022	2021
EDZ Direxion Daily Emerging Markets Bear 3X Shares	-55.94%	-59.30%	-12.71%	-20.28%	49.27%	-1.24%
BERZ MicroSectors Solactive FANG & Innovation -3X Inverse Leveraged ETN	-59.05%	-78.81%	-65.95%	-89.12%	102.85%	-28.36%

Correlation

The correlation between EDZ and BERZ is 0.72, which is moderate. They share some common price drivers but move independently often enough to provide real diversification benefit when combined.

	Correlation
Correlation (1Y) Calculated over the trailing 1-year period	0.72
Correlation (3Y) Calculated over the trailing 3-year period	0.62
Correlation (All Time) Calculated using the full available price history since Aug 18, 2021	0.63

The correlation between EDZ and BERZ shifts across timeframes, from 0.62 (3 years) to 0.72 (1 year), reflecting how their relationship changes across market environments.

EDZ vs. BERZ - Sectors Allocation Comparison

Sectors	EDZ	BERZ
Financial Services	26.2%	13.3%
Industrials	19.7%	-
Technology	14.6%	60.8%
Consumer Cyclical	8.0%	13.0%
Utilities	7.2%	-
Consumer Defensive	6.0%	-
Healthcare	5.9%	-
Energy	3.9%	-
Basic Materials	3.7%	-
Communication Services	3.4%	26.2%
Real Estate	1.4%	-

Return for Risk

EDZ vs. BERZ — Risk / Return Rank

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

EDZ

EDZ Risk / Return Rank: 1
EDZ Sharpe Ratio Rank: 1
EDZ Sortino Ratio Rank: 1
EDZ Omega Ratio Rank: 1
EDZ Calmar Ratio Rank: 1
EDZ Martin Ratio Rank: 1

BERZ

BERZ Risk / Return Rank: 1
BERZ Sharpe Ratio Rank: 2
BERZ Sortino Ratio Rank: 0
BERZ Omega Ratio Rank: 1
BERZ Calmar Ratio Rank: 1
BERZ Martin Ratio Rank: 1

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.

EDZ vs. BERZ - Risk-Adjusted Trends Comparison

This table presents a comparison of risk-adjusted performance metrics for Direxion Daily Emerging Markets Bear 3X Shares (EDZ) and MicroSectors Solactive FANG & Innovation -3X Inverse Leveraged ETN (BERZ). 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.

Values are calculated on a 1-year rolling basis and updated daily. Risk-adjusted metrics are more stable over longer periods — use the period switch above to explore them.

	EDZ	BERZ	Difference
Sharpe ratio: Return per unit of total volatility	-1.02	-0.97	-0.05
Sortino ratio: Return per unit of downside risk	-1.95	-2.07	+0.12
Omega ratio: Gain probability vs. loss probability	0.77	0.78	-0.01
Calmar ratio: Return relative to maximum drawdown	-0.94	-0.95	+0.01
Martin ratio: Return relative to average drawdown	-1.57	-1.51	-0.06

EDZ vs. BERZ - Sharpe Ratio Comparison

The current EDZ Sharpe Ratio is -1.02, which is comparable to the BERZ Sharpe Ratio of -0.97. The chart below compares the historical Sharpe Ratios of EDZ and BERZ, calculated using daily returns over the previous 12 months. A higher Sharpe Ratio indicates better risk-adjusted performance relative to the risk-free rate.

Drawdowns

EDZ vs. BERZ - Drawdown Comparison

The maximum EDZ drawdown since its inception was -99.99%, roughly equal to the maximum BERZ drawdown of -99.80%. Use the drawdown chart below to compare losses from any high point for EDZ and BERZ.

Drawdown Indicators

	EDZ	BERZ	Difference
Max Drawdown Largest peak-to-trough decline	-99.99%	-99.80%	-0.19%
Max Drawdown (1Y) Largest decline over 1 year	-74.94%	-83.72%	+8.78%
Max Drawdown (3Y) Largest decline over 3 years	-90.46%	-98.87%	+8.41%
Max Drawdown (5Y) Largest decline over 5 years	-92.91%	—	—
Max Drawdown (10Y) Largest decline over 10 years	-98.90%	—	—
Current Drawdown Current decline from peak	-99.99%	-99.75%	-0.24%
Average Drawdown Average peak-to-trough decline	-97.73%	-72.08%	-25.65%
Ulcer Index Depth and duration of drawdowns from previous peaks	44.71%	52.51%	-7.80%

Volatility

EDZ vs. BERZ - Volatility Comparison

Direxion Daily Emerging Markets Bear 3X Shares (EDZ) has a higher volatility of 31.98% compared to MicroSectors Solactive FANG & Innovation -3X Inverse Leveraged ETN (BERZ) at 28.98%. This indicates that EDZ's price experiences larger fluctuations and is considered to be riskier than BERZ based on this measure. The chart below showcases a comparison of their rolling one-month volatility.

Volatility by Period

	EDZ	BERZ	Difference
Volatility (1M) Calculated over the trailing 1-month period	31.98%	28.98%	+3.00%
Volatility (6M) Calculated over the trailing 6-month period	62.58%	65.13%	-2.55%
Volatility (1Y) Calculated over the trailing 1-year period	69.16%	81.95%	-12.79%
Volatility (5Y) Calculated over the trailing 5-year period, annualized	59.14%	92.62%	-33.48%
Volatility (10Y) Calculated over the trailing 10-year period, annualized	61.50%	92.62%	-31.12%

EDZ vs. BERZ - Expense Ratio Comparison

EDZ has a 1.08% expense ratio, which is higher than BERZ's 0.95% expense ratio.

Dividends

EDZ vs. BERZ - Dividend Comparison

EDZ's dividend yield for the trailing twelve months is around 7.59%, while BERZ has not paid dividends to shareholders.

Position	TTM	2025	2024	2023	2022	2021	2020	2019	2018
BERZ MicroSectors Solactive FANG & Innovation -3X Inverse Leveraged ETN	0.00%	0.00%	0.00%	0.00%	0.00%	0.00%	0.00%	0.00%	0.00%
EDZ Direxion Daily Emerging Markets Bear 3X Shares	7.59%	6.58%	4.87%	4.34%	0.00%	0.00%	0.82%	1.67%	0.68%

Frequently Asked Questions

Can I hold both EDZ and BERZ in my portfolio?

EDZ and BERZ have a correlation of 0.72, meaning they provide meaningful diversification benefit when combined. Depending on your allocation goals, holding both could reduce overall portfolio risk.

Which is riskier, EDZ or BERZ?

EDZ has higher volatility (31.98%) compared to BERZ (28.98%). In terms of maximum drawdown, EDZ dropped -99.99% vs BERZ's -99.80%.

Which ETF is better, EDZ or BERZ?

On 3-year performance, EDZ leads with -47.23% vs -74.89% for BERZ. On fees, BERZ is cheaper at 0.95% per year. On volatility, BERZ has been the lower-risk option at 28.98%. The better choice depends on whether you care most about return, fees, risk, or income.

Which ETF has performed better, EDZ or BERZ?

Over the 3-year period, EDZ has performed better with a -47.23% return vs -74.89%. Past performance does not guarantee future results, so compare this with risk, fees, and fund exposure.

Which ETF is cheaper, EDZ or BERZ?

BERZ is cheaper with a 0.95% expense ratio, compared with 1.08% for EDZ.

Which ETF pays a higher dividend yield, EDZ or BERZ?

EDZ has the higher dividend yield at 7.59%, compared with 0.00% for BERZ.

What is the main difference between EDZ and BERZ?

EDZ is categorized as Leveraged Equities, while BERZ is Inverse Equities. EDZ tracks MSCI Emerging Markets Index (-300%), while BERZ tracks Solactive FANG Innovation Index. They also come from different issuers: Direxion and BMO. Their fees differ too: 1.08% for EDZ and 0.95% for BERZ.

Which has better risk-adjusted returns?

BERZ currently has the higher Sharpe Ratio (-0.97 vs -1.02), 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.