EDZ vs. SCHY

Last updated Aug 2, 2026

EDZ (Direxion Daily Emerging Markets Bear 3X Shares) and SCHY (Schwab International Dividend Equity ETF) are both exchange-traded funds - EDZ is a Leveraged Equities fund tracking the MSCI Emerging Markets Index (-300%), while SCHY is a Dividend fund tracking the Dow Jones International Dividend 100 Index (Net). Both are passively managed. Over the past 5 years, EDZ returned -26.30%/yr vs 9.14%/yr for SCHY. Their -0.65 correlation means they have often moved in opposite directions in the past. EDZ charges 1.08%/yr vs 0.08%/yr for SCHY.

Performance

EDZ vs. SCHY - Performance Comparison

The chart below illustrates the hypothetical performance of a $10,000 investment in Direxion Daily Emerging Markets Bear 3X Shares (EDZ) and Schwab International Dividend Equity ETF (SCHY). The values are adjusted to include any dividend payments, if applicable.

Returns By Period

In the year-to-date period, EDZ achieves a -51.36% return, which is significantly lower than SCHY's 13.81% return.

EDZ

• 1D: -2.59%
• 1M: 4.19%
• 6M: -38.26%
• YTD: -51.36%
• 1Y: -67.69%
• 3Y*: -43.25%
• 5Y*: -26.30%
• 10Y*: -34.27%
• ALL TIME*: -40.49%

SCHY

• 1D: -0.48%
• 1M: 4.02%
• 6M: 7.91%
• YTD: 13.81%
• 1Y: 28.39%
• 3Y*: 15.88%
• 5Y*: 9.14%
• 10Y*: —
• ALL TIME*: 9.40%

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

Liquidity Comparison

Position	Avg. Volume Value (2W)	Avg. Volume Value (1M)	Avg. Volume Value (3M)
EDZ Direxion Daily Emerging Markets Bear 3X Shares	$5.00M	$3.72M	$4.38M
SCHY Schwab International Dividend Equity ETF	$27.81M	$25.09M	$19.24M

EDZ vs. SCHY - Yearly Performance Comparison

	2026 (YTD)	2025	2024	2023	2022	2021
EDZ Direxion Daily Emerging Markets Bear 3X Shares	-51.36%	-59.30%	-12.71%	-20.28%	49.27%	21.94%
SCHY Schwab International Dividend Equity ETF	13.81%	33.98%	-1.79%	14.27%	-9.43%	3.42%

Correlation

The correlation between EDZ and SCHY is -0.46, meaning they have often moved in opposite directions in the past. This relationship can weaken or reverse as market conditions change.

	Correlation
Correlation (1Y) Focuses on recent behavior, but can change the most.	-0.46
Correlation (3Y) Balances recent behavior with more history.	-0.58
Correlation (5Y) Shows whether the relationship held over a longer period.	-0.65
Correlation (All Time) Calculated using the full available price history since Apr 29, 2021	-0.65

The correlation between EDZ and SCHY shifts across timeframes, from -0.65 (5 years) to -0.46 (1 year), reflecting how their relationship changes across market environments.

EDZ vs. SCHY - Sectors Allocation Comparison

Sectors	EDZ	SCHY
Financial Services	26.2%	13.2%
Industrials	19.7%	8.8%
Technology	14.6%	9.0%
Consumer Cyclical	8.0%	7.6%
Utilities	7.2%	5.7%
Consumer Defensive	6.0%	17.6%
Healthcare	5.9%	8.6%
Energy	3.9%	7.2%
Basic Materials	3.7%	5.4%
Communication Services	3.4%	11.6%
Real Estate	1.4%	0.6%

Return for Risk

EDZ vs. SCHY — Risk / Return Rank

Compare historical risk-adjusted metric ranks over the past 12 months.

EDZ

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

SCHY

SCHY Risk / Return Rank: 86
SCHY Sharpe Ratio Rank: 92
SCHY Sortino Ratio Rank: 91
SCHY Omega Ratio Rank: 91
SCHY Calmar Ratio Rank: 84
SCHY Martin Ratio Rank: 73

The rank (0–100) uses a weighted average of the Sharpe, Sortino, Omega, Calmar, and Martin percentile ranks for the trailing 12 months. Higher means stronger historical risk-adjusted performance within the peer group.

EDZ vs. SCHY - Risk-Adjusted Trends Comparison

This table presents a comparison of risk-adjusted performance metrics for Direxion Daily Emerging Markets Bear 3X Shares (EDZ) and Schwab International Dividend Equity ETF (SCHY). 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	SCHY	Difference
Sharpe ratio: Return per unit of total volatility	-0.92	2.39	-3.31
Sortino ratio: Return per unit of downside risk	-1.62	3.27	-4.88
Omega ratio: Gain probability vs. loss probability	0.81	1.43	-0.62
Calmar ratio: Return relative to maximum drawdown	-0.89	3.15	-4.05
Martin ratio: Return relative to average drawdown	-1.41	8.98	-10.38

EDZ vs. SCHY - Sharpe Ratio Comparison

The current EDZ Sharpe Ratio is -0.92, which is lower than the SCHY Sharpe Ratio of 2.39. The chart below compares the historical Sharpe Ratios of EDZ and SCHY, 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. SCHY - Drawdown Comparison

The maximum EDZ drawdown since its inception was -99.99%, which is greater than SCHY's maximum drawdown of -24.04%. Use the drawdown chart below to compare losses from any high point for EDZ and SCHY.

Drawdown Indicators

	EDZ	SCHY	Difference
Max Drawdown Largest peak-to-trough decline	-99.99%	-24.04%	-75.95%
Max Drawdown (1Y) Largest decline over 1 year	-74.94%	-9.11%	-65.83%
Max Drawdown (3Y) Largest decline over 3 years	-90.46%	-12.16%	-78.30%
Max Drawdown (5Y) Largest decline over 5 years	-92.91%	-24.04%	-68.87%
Max Drawdown (10Y) Largest decline over 10 years	-98.90%	—	—
Current Drawdown Current decline from peak	-99.99%	-0.48%	-99.51%
Average Drawdown Average peak-to-trough decline	-97.74%	-4.93%	-92.81%
Ulcer Index Depth and duration of drawdowns from previous peaks	47.58%	3.19%	+44.39%

Volatility

EDZ vs. SCHY - Volatility Comparison

Direxion Daily Emerging Markets Bear 3X Shares (EDZ) has a higher volatility of 27.48% compared to Schwab International Dividend Equity ETF (SCHY) at 3.10%. This indicates that EDZ's price experiences larger fluctuations and is considered to be riskier than SCHY based on this measure. The chart below showcases a comparison of their rolling one-month volatility.

Volatility by Period

	EDZ	SCHY	Difference
Volatility (1M) Calculated over the trailing 1-month period	27.48%	3.10%	+24.38%
Volatility (6M) Calculated over the trailing 6-month period	66.43%	10.07%	+56.36%
Volatility (1Y) Calculated over the trailing 1-year period	72.99%	12.03%	+60.96%
Volatility (5Y) Calculated over the trailing 5-year period, annualized	59.75%	13.27%	+46.48%
Volatility (10Y) Calculated over the trailing 10-year period, annualized	61.90%	13.18%	+48.72%

EDZ vs. SCHY - Expense Ratio Comparison

EDZ has a 1.08% expense ratio, which is higher than SCHY's 0.08% expense ratio.

Dividends

EDZ vs. SCHY - Dividend Comparison

EDZ's dividend yield for the trailing twelve months is around 6.88%, more than SCHY's 3.32% yield.

Position	TTM	2025	2024	2023	2022	2021	2020	2019	2018
EDZ Direxion Daily Emerging Markets Bear 3X Shares	6.88%	6.58%	4.87%	4.34%	0.00%	0.00%	0.82%	1.67%	0.68%
SCHY Schwab International Dividend Equity ETF	3.32%	3.55%	4.64%	3.97%	3.67%	1.73%	0.00%	0.00%	0.00%

Frequently Asked Questions

Can I hold both EDZ and SCHY in my portfolio?

EDZ and SCHY have a correlation of -0.46, 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 SCHY?

EDZ has higher volatility (27.48%) compared to SCHY (3.10%). In terms of maximum drawdown, EDZ dropped -99.99% vs SCHY's -24.04%.

Which ETF is better, EDZ or SCHY?

On 5-year performance, SCHY leads with 9.14% vs -26.30% for EDZ. On fees, SCHY is cheaper at 0.08% per year. On volatility, SCHY has been the lower-risk option at 3.10%. The better choice depends on whether you care most about return, fees, risk, or income.

Which ETF has performed better, EDZ or SCHY?

Over the 5-year period, SCHY has performed better with a 9.14% return vs -26.30%. Past performance does not guarantee future results, so compare this with risk, fees, and fund exposure.

Which ETF is cheaper, EDZ or SCHY?

SCHY is cheaper with a 0.08% expense ratio, compared with 1.08% for EDZ.

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

EDZ has the higher dividend yield at 6.88%, compared with 3.32% for SCHY.

What is the main difference between EDZ and SCHY?

EDZ is categorized as Leveraged Equities, while SCHY is Dividend. EDZ tracks MSCI Emerging Markets Index (-300%), while SCHY tracks Dow Jones International Dividend 100 Index (Net). They also come from different issuers: Direxion and Charles Schwab. Their fees differ too: 1.08% for EDZ and 0.08% for SCHY.

Which has better risk-adjusted returns?

SCHY currently has the higher Sharpe Ratio (2.39 vs -0.92), 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.