FAZ vs. LABD
Compare and contrast key facts about Direxion Daily Financial Bear 3X Shares (FAZ) and Direxion Daily S&P Biotech Bear 3x Shares (LABD).
FAZ and LABD are both exchange-traded funds (ETFs), meaning they are traded on stock exchanges and can be bought and sold throughout the day. FAZ is a passively managed fund by Direxion that tracks the performance of the Russell 1000 Financial Services Index (-300%). It was launched on Nov 6, 2008. LABD is a passively managed fund by Direxion that tracks the performance of the S&P Biotechnology Select Industry Index (-300%). It was launched on May 28, 2015. Both FAZ and LABD are passive ETFs, meaning that they are not actively managed but aim to replicate the performance of the underlying index as closely as possible.
Scroll down to visually compare performance, riskiness, drawdowns, and other indicators and decide which better suits your portfolio: FAZ or LABD.
Key characteristics
| FAZ | LABD | |
|---|---|---|
| YTD Return | -55.45% | -46.03% |
| 1Y Return | -67.36% | -78.97% |
| 3Y Return (Ann) | -30.18% | -35.41% |
| 5Y Return (Ann) | -52.22% | -56.99% |
| Sharpe Ratio | -1.67 | -1.00 |
| Sortino Ratio | -3.21 | -2.05 |
| Omega Ratio | 0.64 | 0.77 |
| Calmar Ratio | -0.69 | -0.79 |
| Martin Ratio | -1.58 | -1.18 |
| Ulcer Index | 43.44% | 67.17% |
| Daily Std Dev | 41.06% | 79.13% |
| Max Drawdown | -100.00% | -99.97% |
| Current Drawdown | -100.00% | -99.97% |
Correlation
The correlation between FAZ and LABD is 0.45, which is considered to be moderate. This suggests that the two assets have some degree of positive relationship in their price movements. Moderate correlation can be acceptable for portfolio diversification, offering a balance between risk and potential returns.
Performance
FAZ vs. LABD - Performance Comparison
In the year-to-date period, FAZ achieves a -55.45% return, which is significantly lower than LABD's -46.03% return. The chart below displays the growth of a $10,000 investment in both assets, with all prices adjusted for splits and dividends.
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FAZ vs. LABD - Expense Ratio Comparison
FAZ has a 1.07% expense ratio, which is higher than LABD's 1.06% expense ratio.
Risk-Adjusted Performance
FAZ vs. LABD - Risk-Adjusted Performance Comparison
This table presents a comparison of risk-adjusted performance metrics for Direxion Daily Financial Bear 3X Shares (FAZ) and Direxion Daily S&P Biotech Bear 3x Shares (LABD). 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.
Dividends
FAZ vs. LABD - Dividend Comparison
FAZ's dividend yield for the trailing twelve months is around 8.70%, more than LABD's 5.88% yield.
| TTM | 2023 | 2022 | 2021 | 2020 | 2019 | 2018 | |
|---|---|---|---|---|---|---|---|
FAZ Direxion Daily Financial Bear 3X Shares | 8.70% | 4.88% | 0.00% | 0.00% | 0.62% | 1.62% | 0.57% |
LABD Direxion Daily S&P Biotech Bear 3x Shares | 5.88% | 6.14% | 0.53% | 0.00% | 3.96% | 1.75% | 0.80% |
Drawdowns
FAZ vs. LABD - Drawdown Comparison
The maximum FAZ drawdown since its inception was -100.00%, roughly equal to the maximum LABD drawdown of -99.97%. Use the drawdown chart below to compare losses from any high point for FAZ and LABD. For additional features, visit the drawdowns tool.
Volatility
FAZ vs. LABD - Volatility Comparison
Direxion Daily Financial Bear 3X Shares (FAZ) has a higher volatility of 22.79% compared to Direxion Daily S&P Biotech Bear 3x Shares (LABD) at 14.47%. This indicates that FAZ's price experiences larger fluctuations and is considered to be riskier than LABD based on this measure. The chart below showcases a comparison of their rolling one-month volatility.