FAS vs. QQQ

Last updated Aug 2, 2026

FAS (Direxion Daily Financial Bull 3X ETF) and QQQ (Invesco QQQ ETF) are both exchange-traded funds - FAS is a Leveraged Equities fund tracking the Financial Select Sector Index, while QQQ is a Nasdaq-100 fund tracking the NASDAQ-100 Index. Both are passively managed. Over the past 10 years, FAS returned 22.40%/yr vs 20.44%/yr for QQQ. Their 0.64 correlation means they have sometimes moved together and sometimes differently. FAS charges 0.88%/yr vs 0.18%/yr for QQQ.

Performance

FAS vs. QQQ - Performance Comparison

The chart below illustrates the hypothetical performance of a $10,000 investment in Direxion Daily Financial Bull 3X ETF (FAS) and Invesco QQQ ETF (QQQ). The values are adjusted to include any dividend payments, if applicable.

Returns By Period

In the year-to-date period, FAS achieves a 4.28% return, which is significantly lower than QQQ's 12.26% return. Over the past 10 years, FAS has outperformed QQQ with an annualized return of 22.40%, while QQQ has yielded a comparatively lower 20.44% annualized return.

FAS

• 1D: -0.26%
• 1M: 6.21%
• 6M: 13.95%
• YTD: 4.28%
• 1Y: 20.90%
• 3Y*: 39.15%
• 5Y*: 13.37%
• 10Y*: 22.40%
• ALL TIME*: 14.10%

QQQ

• 1D: 0.65%
• 1M: -3.45%
• 6M: 10.89%
• YTD: 12.26%
• 1Y: 24.81%
• 3Y*: 22.29%
• 5Y*: 14.23%
• 10Y*: 20.44%
• ALL TIME*: 10.64%

*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)
FAS Direxion Daily Financial Bull 3X ETF	$68.48M	$83.31M	$86.79M
QQQ Invesco QQQ ETF	$30.32B	$28.40B	$31.45B

FAS vs. QQQ - Yearly Performance Comparison

	2026 (YTD)	2025	2024	2023	2022	2021	2020	2019	2018	2017
FAS Direxion Daily Financial Bull 3X ETF	4.28%	21.48%	84.47%	14.92%	-43.19%	116.59%	-34.97%	113.04%	-33.84%	67.37%
QQQ Invesco QQQ ETF	12.26%	20.77%	25.58%	54.86%	-32.58%	27.42%	48.62%	38.96%	-0.13%	32.66%

Correlation

The correlation between FAS and QQQ is 0.30, which is low. Their historical price movements had little consistent relationship.

	Correlation
Correlation (1Y) Focuses on recent behavior, but can change the most.	0.30
Correlation (3Y) Balances recent behavior with more history.	0.42
Correlation (5Y) Shows whether the relationship held over a longer period.	0.55
Correlation (10Y) Provides a long-term view across more market conditions.	0.55
Correlation (All Time) Calculated using the full available price history since Nov 19, 2008	0.64

Over the past year, the correlation between FAS and QQQ has dropped to 0.30 - well below their long-term average of 0.64, suggesting their price drivers have been diverging.

FAS vs. QQQ - Sectors Allocation Comparison

Sectors	FAS	QQQ
Financial Services	98.2%	0.2%
Technology	1.6%	60.9%
Industrials	0.2%	2.7%
Basic Materials	-	1.0%
Communication Services	-	13.1%
Consumer Cyclical	-	10.7%
Consumer Defensive	-	6.3%
Energy	-	0.5%
Healthcare	-	3.6%
Real Estate	-	0.1%
Utilities	-	1.1%

Return for Risk

FAS vs. QQQ — Risk / Return Rank

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

FAS

FAS Risk / Return Rank: 19
FAS Sharpe Ratio Rank: 18
FAS Sortino Ratio Rank: 21
FAS Omega Ratio Rank: 21
FAS Calmar Ratio Rank: 17
FAS Martin Ratio Rank: 16

QQQ

QQQ Risk / Return Rank: 49
QQQ Sharpe Ratio Rank: 47
QQQ Sortino Ratio Rank: 46
QQQ Omega Ratio Rank: 45
QQQ Calmar Ratio Rank: 53
QQQ Martin Ratio Rank: 52

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.

FAS vs. QQQ - Risk-Adjusted Trends Comparison

This table presents a comparison of risk-adjusted performance metrics for Direxion Daily Financial Bull 3X ETF (FAS) and Invesco QQQ ETF (QQQ). 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.

	FAS	QQQ	Difference
Sharpe ratio: Return per unit of total volatility	0.33	1.16	-0.83
Sortino ratio: Return per unit of downside risk	0.73	1.65	-0.92
Omega ratio: Gain probability vs. loss probability	1.09	1.21	-0.11
Calmar ratio: Return relative to maximum drawdown	0.35	1.88	-1.53
Martin ratio: Return relative to average drawdown	0.78	6.00	-5.22

FAS vs. QQQ - Sharpe Ratio Comparison

The current FAS Sharpe Ratio is 0.33, which is lower than the QQQ Sharpe Ratio of 1.16. The chart below compares the historical Sharpe Ratios of FAS and QQQ, 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

FAS vs. QQQ - Drawdown Comparison

The maximum FAS drawdown since its inception was -91.61%, which is greater than QQQ's maximum drawdown of -82.97%. Use the drawdown chart below to compare losses from any high point for FAS and QQQ.

Drawdown Indicators

	FAS	QQQ	Difference
Max Drawdown Largest peak-to-trough decline	-91.61%	-82.97%	-8.64%
Max Drawdown (1Y) Largest decline over 1 year	-40.88%	-11.96%	-28.92%
Max Drawdown (3Y) Largest decline over 3 years	-43.10%	-22.77%	-20.33%
Max Drawdown (5Y) Largest decline over 5 years	-66.88%	-35.12%	-31.76%
Max Drawdown (10Y) Largest decline over 10 years	-85.99%	-35.12%	-50.87%
Current Drawdown Current decline from peak	-4.32%	-7.69%	+3.37%
Average Drawdown Average peak-to-trough decline	-30.97%	-32.62%	+1.65%
Ulcer Index Depth and duration of drawdowns from previous peaks	18.40%	3.74%	+14.66%

Volatility

FAS vs. QQQ - Volatility Comparison

Direxion Daily Financial Bull 3X ETF (FAS) has a higher volatility of 11.99% compared to Invesco QQQ ETF (QQQ) at 6.87%. This indicates that FAS's price experiences larger fluctuations and is considered to be riskier than QQQ based on this measure. The chart below showcases a comparison of their rolling one-month volatility.

Volatility by Period

	FAS	QQQ	Difference
Volatility (1M) Calculated over the trailing 1-month period	11.99%	6.87%	+5.12%
Volatility (6M) Calculated over the trailing 6-month period	32.90%	16.08%	+16.82%
Volatility (1Y) Calculated over the trailing 1-year period	43.83%	19.38%	+24.45%
Volatility (5Y) Calculated over the trailing 5-year period, annualized	54.99%	22.90%	+32.09%
Volatility (10Y) Calculated over the trailing 10-year period, annualized	61.11%	22.50%	+38.61%

FAS vs. QQQ - Expense Ratio Comparison

FAS has a 0.88% expense ratio, which is higher than QQQ's 0.18% expense ratio.

Dividends

FAS vs. QQQ - Dividend Comparison

FAS's dividend yield for the trailing twelve months is around 8.05%, more than QQQ's 0.44% yield.

Position	TTM	2025	2024	2023	2022	2021	2020	2019	2018	2017	2016	2015
FAS Direxion Daily Financial Bull 3X ETF	8.05%	8.21%	0.76%	1.77%	0.91%	0.60%	0.47%	0.62%	1.43%	0.11%	0.00%	0.00%
QQQ Invesco QQQ ETF	0.44%	0.45%	0.56%	0.62%	0.80%	0.43%	0.55%	0.74%	0.91%	0.84%	1.06%	0.99%

Frequently Asked Questions

Can I hold both FAS and QQQ in my portfolio?

FAS and QQQ have a correlation of 0.30, meaning they provide meaningful diversification benefit when combined. Depending on your allocation goals, holding both could reduce overall portfolio risk.

Which is riskier, FAS or QQQ?

FAS has higher volatility (11.99%) compared to QQQ (6.87%). In terms of maximum drawdown, FAS dropped -91.61% vs QQQ's -82.97%.

Which ETF is better, FAS or QQQ?

On 10-year performance, FAS leads with 22.40% vs 20.44% for QQQ. On fees, QQQ is cheaper at 0.18% per year. On volatility, QQQ has been the lower-risk option at 6.87%. The better choice depends on whether you care most about return, fees, risk, or income.

Which ETF has performed better, FAS or QQQ?

Over the 10-year period, FAS has performed better with a 22.40% return vs 20.44%. Past performance does not guarantee future results, so compare this with risk, fees, and fund exposure.

Which ETF is cheaper, FAS or QQQ?

QQQ is cheaper with a 0.18% expense ratio, compared with 0.88% for FAS.

Which ETF pays a higher dividend yield, FAS or QQQ?

FAS has the higher dividend yield at 8.05%, compared with 0.44% for QQQ.

What is the main difference between FAS and QQQ?

FAS is categorized as Leveraged Equities, while QQQ is Nasdaq-100. FAS tracks Financial Select Sector Index, while QQQ tracks NASDAQ-100 Index. They also come from different issuers: Direxion and Invesco. Their fees differ too: 0.88% for FAS and 0.18% for QQQ.

Which has better risk-adjusted returns?

QQQ currently has the higher Sharpe Ratio (1.16 vs 0.33), 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.