FAZ vs. TMF
FAZ (Direxion Daily Financial Bear 3X Shares) and TMF (Direxion Daily 20+ Year Treasury Bull 3X ETF) are both exchange-traded funds - FAZ is a Leveraged Equities fund tracking the Russell 1000 Financial Services Index (-300%), while TMF is a Leveraged Bonds fund tracking the ICE U.S. Treasury 20+ Year Bond Index (300%). Both are passively managed. Over the past 10 years, FAZ returned -44.64%/yr vs -16.47%/yr for TMF. At a 0.30 correlation, their price movements are largely independent. FAZ charges 1.07%/yr vs 1.01%/yr for TMF.
Performance
FAZ vs. TMF - Performance Comparison
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Returns By Period
In the year-to-date period, FAZ achieves a 2.92% return, which is significantly higher than TMF's 0.08% return. Over the past 10 years, FAZ has underperformed TMF with an annualized return of -44.64%, while TMF has yielded a comparatively higher -16.47% annualized return.
FAZ
- 1D
- 0.85%
- 1M
- -10.71%
- YTD
- 2.92%
- 6M
- 8.72%
- 1Y
- -12.45%
- 3Y*
- -40.27%
- 5Y*
- -29.87%
- 10Y*
- -44.64%
TMF
- 1D
- 3.90%
- 1M
- 10.18%
- YTD
- 0.08%
- 6M
- -2.86%
- 1Y
- -0.04%
- 3Y*
- -19.78%
- 5Y*
- -30.25%
- 10Y*
- -16.47%
FAZ vs. TMF - Yearly Performance Comparison
| 2026 (YTD) | 2025 | 2024 | 2023 | 2022 | 2021 | 2020 | 2019 | 2018 | 2017 | |
|---|---|---|---|---|---|---|---|---|---|---|
FAZ Direxion Daily Financial Bear 3X Shares | 2.92% | -37.21% | -51.01% | -26.67% | 1.16% | -67.05% | -73.90% | -58.62% | 16.84% | -46.18% |
TMF Direxion Daily 20+ Year Treasury Bull 3X ETF | 0.08% | -2.94% | -35.95% | -13.01% | -72.60% | -19.80% | 39.02% | 34.75% | -11.01% | 22.72% |
Correlation
The correlation between FAZ and TMF is -0.13, meaning they tend to move in opposite directions. This is especially valuable for risk management - when one declines, the other has historically tended to hold steady or rise.
| Correlation | |
|---|---|
Correlation (1Y) Calculated over the trailing 1-year period | -0.13 |
Correlation (3Y) Calculated over the trailing 3-year period | -0.14 |
Correlation (5Y) Calculated over the trailing 5-year period | -0.00 |
Correlation (10Y) Calculated over the trailing 10-year period | 0.18 |
Correlation (All Time) Calculated using the full available price history since Apr 16, 2009 | 0.30 |
The correlation between FAZ and TMF shifts across timeframes, from -0.14 (3 years) to 0.30 (all time), reflecting how their relationship changes across market environments.
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Return for Risk
FAZ vs. TMF — Risk / Return Rank
FAZ
TMF
FAZ vs. TMF - Risk-Adjusted Trends Comparison
This table presents a comparison of risk-adjusted performance metrics for Direxion Daily Financial Bear 3X Shares (FAZ) and Direxion Daily 20+ Year Treasury Bull 3X ETF (TMF). 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.
| FAZ | TMF | Difference | |
|---|---|---|---|
| Sharpe ratioReturn per unit of total volatility | -0.29 | ||
| Sortino ratioReturn per unit of downside risk | -0.34 | ||
| Omega ratioGain probability vs. loss probability | 0.98 | 1.02 | -0.04 |
| Calmar ratioReturn relative to maximum drawdown | -0.40 | -0.00 | -0.39 |
| Martin ratioReturn relative to average drawdown | -0.88 | -0.00 | -0.87 |
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Drawdowns
FAZ vs. TMF - Drawdown Comparison
The maximum FAZ drawdown since its inception was -100.00%, which is greater than TMF's maximum drawdown of -92.89%. Use the drawdown chart below to compare losses from any high point for FAZ and TMF.
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Drawdown Indicators
| FAZ | TMF | Difference | |
|---|---|---|---|
Max DrawdownLargest peak-to-trough decline | -100.00% | -92.89% | -7.11% |
Max Drawdown (1Y)Largest decline over 1 year | -31.57% | -26.51% | -5.06% |
Max Drawdown (3Y)Largest decline over 3 years | -83.61% | -56.09% | -27.52% |
Max Drawdown (5Y)Largest decline over 5 years | -87.53% | -88.81% | +1.28% |
Max Drawdown (10Y)Largest decline over 10 years | -99.78% | -92.89% | -6.89% |
Current DrawdownCurrent decline from peak | -100.00% | -91.71% | -8.29% |
Average DrawdownAverage peak-to-trough decline | -99.12% | -43.78% | -55.34% |
Ulcer IndexDepth and duration of drawdowns from previous peaks | 14.19% | 12.28% | +1.91% |
Volatility
FAZ vs. TMF - Volatility Comparison
Direxion Daily Financial Bear 3X Shares (FAZ) has a higher volatility of 12.52% compared to Direxion Daily 20+ Year Treasury Bull 3X ETF (TMF) at 7.26%. This indicates that FAZ's price experiences larger fluctuations and is considered to be riskier than TMF based on this measure. The chart below showcases a comparison of their rolling one-month volatility.
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Volatility by Period
| FAZ | TMF | Difference | |
|---|---|---|---|
Volatility (1M)Calculated over the trailing 1-month period | 12.52% | 7.26% | +5.26% |
Volatility (6M)Calculated over the trailing 6-month period | 33.19% | 19.68% | +13.51% |
Volatility (1Y)Calculated over the trailing 1-year period | 43.47% | 28.15% | +15.32% |
Volatility (5Y)Calculated over the trailing 5-year period, annualized | 55.65% | 46.63% | +9.02% |
Volatility (10Y)Calculated over the trailing 10-year period, annualized | 61.92% | 43.87% | +18.05% |
FAZ vs. TMF - Expense Ratio Comparison
FAZ has a 1.07% expense ratio, which is higher than TMF's 1.01% expense ratio.
Dividends
FAZ vs. TMF - Dividend Comparison
FAZ's dividend yield for the trailing twelve months is around 3.01%, less than TMF's 3.95% yield.
| Position | TTM | 2025 | 2024 | 2023 | 2022 | 2021 | 2020 | 2019 | 2018 | 2017 |
|---|---|---|---|---|---|---|---|---|---|---|
FAZ Direxion Daily Financial Bear 3X Shares | 3.01% | 5.07% | 7.34% | 4.88% | 0.00% | 0.00% | 0.62% | 1.63% | 0.56% | 0.00% |
TMF Direxion Daily 20+ Year Treasury Bull 3X ETF | 3.95% | 4.06% | 4.29% | 2.82% | 1.62% | 0.13% | 2.23% | 0.94% | 1.49% | 0.41% |
Frequently Asked Questions
FAZ and TMF have a correlation of -0.13, meaning they provide meaningful diversification benefit when combined. Depending on your allocation goals, holding both could reduce overall portfolio risk.
FAZ has higher volatility (12.52%) compared to TMF (7.26%). In terms of maximum drawdown, FAZ dropped -100.00% vs TMF's -92.89%.
On 10-year performance, TMF leads with -16.47% vs -44.64% for FAZ. On fees, TMF is cheaper at 1.01% per year. On volatility, TMF has been the lower-risk option at 7.26%. The better choice depends on whether you care most about return, fees, risk, or income.
Over the 10-year period, TMF has performed better with a -16.47% return vs -44.64%. Past performance does not guarantee future results, so compare this with risk, fees, and fund exposure.
TMF is cheaper with a 1.01% expense ratio, compared with 1.07% for FAZ.
TMF has the higher dividend yield at 3.95%, compared with 3.01% for FAZ.
FAZ is categorized as Leveraged Equities, while TMF is Leveraged Bonds. FAZ tracks Russell 1000 Financial Services Index (-300%), while TMF tracks ICE U.S. Treasury 20+ Year Bond Index (300%). Their fees differ too: 1.07% for FAZ and 1.01% for TMF.
TMF currently has the higher Sharpe Ratio (-0.00 vs -0.29), 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.
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