IGM vs. TECL

Last updated Jun 4, 2026

IGM (iShares Expanded Tech Sector ETF) and TECL (Direxion Daily Technology Bull 3X Shares) are both exchange-traded funds - IGM is a Technology Equities fund tracking the S&P North American Technology Sector Index, while TECL is a Leveraged Equities fund tracking the Technology Select Sector Index (300%). Both are passively managed. Over the past 10 years, IGM returned 25.19%/yr vs 54.49%/yr for TECL. With a 0.97 correlation, they move nearly in lockstep. IGM charges 0.46%/yr vs 0.91%/yr for TECL.

Performance

IGM vs. TECL - Performance Comparison

The chart below illustrates the hypothetical performance of a $10,000 investment in iShares Expanded Tech Sector ETF (IGM) and Direxion Daily Technology Bull 3X Shares (TECL). The values are adjusted to include any dividend payments, if applicable.

Returns By Period

In the year-to-date period, IGM achieves a 31.32% return, which is significantly lower than TECL's 125.87% return. Over the past 10 years, IGM has underperformed TECL with an annualized return of 25.19%, while TECL has yielded a comparatively higher 54.49% annualized return.

IGM

• 1D: -0.84%
• 1M: 16.93%
• YTD: 31.32%
• 6M: 29.19%
• 1Y: 62.26%
• 3Y*: 39.18%
• 5Y*: 22.04%
• 10Y*: 25.19%

TECL

• 1D: -2.99%
• 1M: 73.10%
• YTD: 125.87%
• 6M: 118.69%
• 1Y: 267.85%
• 3Y*: 80.64%
• 5Y*: 43.44%
• 10Y*: 54.49%

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

IGM vs. TECL - Yearly Performance Comparison

	2026 (YTD)	2025	2024	2023	2022	2021	2020	2019	2018	2017
IGM iShares Expanded Tech Sector ETF	31.32%	26.76%	36.99%	60.68%	-35.83%	25.72%	45.11%	41.81%	2.26%	37.20%
TECL Direxion Daily Technology Bull 3X Shares	125.87%	38.60%	36.15%	203.14%	-74.32%	112.80%	69.46%	185.58%	-24.03%	124.82%

Correlation

The correlation between IGM and TECL is 0.97 - these two move nearly in lockstep. At this level, holding both provides almost no diversification benefit. If you already own one, adding the other does little to reduce portfolio risk.

	Correlation
Correlation (1Y) Calculated over the trailing 1-year period	0.97
Correlation (3Y) Calculated over the trailing 3-year period	0.97
Correlation (5Y) Calculated over the trailing 5-year period	0.97
Correlation (10Y) Calculated over the trailing 10-year period	0.97
Correlation (All Time) Calculated using the full available price history since Dec 31, 2008	0.97

The correlation between IGM and TECL has been stable across timeframes, ranging from 0.97 to 0.97 - a consistent structural relationship.

IGM vs. TECL - Sectors Allocation Comparison

Sectors	IGM	TECL
Technology	82.8%	20.4%
Communication Services	16.8%	-
Financial Services	0.2%	-
Industrials	0.2%	0.0%
Energy	0.1%	0.0%
Consumer Cyclical	0.1%	-
Basic Materials	-	-
Consumer Defensive	-	-
Healthcare	-	-
Real Estate	-	-
Utilities	-	-

Return for Risk

IGM vs. TECL — Risk / Return Rank

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

IGM

IGM Risk / Return Rank: 79
IGM Sharpe Ratio Rank: 89
IGM Sortino Ratio Rank: 83
IGM Omega Ratio Rank: 81
IGM Calmar Ratio Rank: 74
IGM Martin Ratio Rank: 70

TECL

TECL Risk / Return Rank: 85
TECL Sharpe Ratio Rank: 96
TECL Sortino Ratio Rank: 80
TECL Omega Ratio Rank: 79
TECL Calmar Ratio Rank: 90
TECL Martin Ratio Rank: 81

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.

IGM vs. TECL - Risk-Adjusted Trends Comparison

This table presents a comparison of risk-adjusted performance metrics for iShares Expanded Tech Sector ETF (IGM) and Direxion Daily Technology Bull 3X Shares (TECL). 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.

	IGM	TECL	Difference
Sharpe ratio: Return per unit of total volatility	3.07	4.35	-1.28
Sortino ratio: Return per unit of downside risk	3.78	3.66	+0.12
Omega ratio: Gain probability vs. loss probability	1.50	1.48	+0.02
Calmar ratio: Return relative to maximum drawdown	3.81	5.79	-1.99
Martin ratio: Return relative to average drawdown	13.36	16.63	-3.28
Data is calculated on a 1-year rolling basis and updated daily. The trend shows the change in the indicator over the past month.

IGM vs. TECL - Sharpe Ratio Comparison

The current IGM Sharpe Ratio is 3.07, which is comparable to the TECL Sharpe Ratio of 4.35. The chart below compares the historical Sharpe Ratios of IGM and TECL, calculated using daily returns over the previous 12 months. A higher Sharpe Ratio indicates better risk-adjusted performance relative to the risk-free rate.

Sharpe Ratios by Period

	IGM	TECL	Difference
Sharpe Ratio (1Y) Calculated over the trailing 1-year period	3.07	4.35	-1.28
Sharpe Ratio (5Y) Calculated over the trailing 5-year period	0.86	0.59	+0.27
Sharpe Ratio (10Y) Calculated over the trailing 10-year period	1.03	0.76	+0.27
Sharpe Ratio (All Time) Calculated using the full available price history	0.48	0.76	-0.28

Drawdowns

IGM vs. TECL - Drawdown Comparison

The maximum IGM drawdown since its inception was -65.59%, smaller than the maximum TECL drawdown of -77.96%. Use the drawdown chart below to compare losses from any high point for IGM and TECL.

Drawdown Indicators

	IGM	TECL	Difference
Max Drawdown Largest peak-to-trough decline	-65.59%	-77.96%	+12.37%
Max Drawdown (1Y) Largest decline over 1 year	-16.44%	-46.58%	+30.14%
Max Drawdown (3Y) Largest decline over 3 years	-26.39%	-66.58%	+40.19%
Max Drawdown (5Y) Largest decline over 5 years	-40.68%	-77.96%	+37.28%
Max Drawdown (10Y) Largest decline over 10 years	-40.68%	-77.96%	+37.28%
Current Drawdown Current decline from peak	-0.84%	-2.99%	+2.15%
Average Drawdown Average peak-to-trough decline	-15.23%	-18.38%	+3.15%
Ulcer Index Depth and duration of drawdowns from previous peaks	4.67%	16.19%	-11.52%

Volatility

IGM vs. TECL - Volatility Comparison

The current volatility for iShares Expanded Tech Sector ETF (IGM) is 6.10%, while Direxion Daily Technology Bull 3X Shares (TECL) has a volatility of 20.70%. This indicates that IGM experiences smaller price fluctuations and is considered to be less risky than TECL based on this measure. The chart below showcases a comparison of their rolling one-month volatility.

Volatility by Period

	IGM	TECL	Difference
Volatility (1M) Calculated over the trailing 1-month period	6.10%	20.70%	-14.60%
Volatility (6M) Calculated over the trailing 6-month period	16.08%	49.83%	-33.75%
Volatility (1Y) Calculated over the trailing 1-year period	20.43%	62.17%	-41.74%
Volatility (5Y) Calculated over the trailing 5-year period, annualized	25.68%	74.09%	-48.41%
Volatility (10Y) Calculated over the trailing 10-year period, annualized	24.54%	72.35%	-47.81%

IGM vs. TECL - Expense Ratio Comparison

IGM has a 0.46% expense ratio, which is lower than TECL's 0.91% expense ratio.

Dividends

IGM vs. TECL - Dividend Comparison

IGM's dividend yield for the trailing twelve months is around 0.12%, less than TECL's 3.15% yield.

Position	TTM	2025	2024	2023	2022	2021	2020	2019	2018	2017	2016	2015
IGM iShares Expanded Tech Sector ETF	0.12%	0.17%	0.22%	0.33%	0.66%	0.16%	0.32%	0.50%	0.57%	0.57%	0.90%	0.79%
TECL Direxion Daily Technology Bull 3X Shares	3.15%	7.19%	0.29%	0.28%	0.22%	0.32%	0.52%	0.25%	0.47%	0.10%	0.00%	0.00%

Frequently Asked Questions

Can I hold both IGM and TECL in my portfolio?

With a correlation of 0.97, IGM and TECL move almost identically. Holding both adds very little diversification - you're essentially doubling your position in the same market segment. Choosing one is usually more capital-efficient.

Which is riskier, IGM or TECL?

TECL has higher volatility (20.70%) compared to IGM (6.10%). In terms of maximum drawdown, IGM dropped -65.59% vs TECL's -77.96%.

Which ETF is better, IGM or TECL?

On 10-year performance, TECL leads with 54.49% vs 25.19% for IGM. On fees, IGM is cheaper at 0.46% per year. On volatility, IGM has been the lower-risk option at 6.10%. The better choice depends on whether you care most about return, fees, risk, or income.

Which ETF has performed better, IGM or TECL?

Over the 10-year period, TECL has performed better with a 54.49% return vs 25.19%. Past performance does not guarantee future results, so compare this with risk, fees, and fund exposure.

Which ETF is cheaper, IGM or TECL?

IGM is cheaper with a 0.46% expense ratio, compared with 0.91% for TECL.

Which ETF pays a higher dividend yield, IGM or TECL?

TECL has the higher dividend yield at 3.15%, compared with 0.12% for IGM.

What is the main difference between IGM and TECL?

IGM is categorized as Technology Equities, while TECL is Leveraged Equities. IGM tracks S&P North American Technology Sector Index, while TECL tracks Technology Select Sector Index (300%). They also come from different issuers: iShares and Direxion. Their fees differ too: 0.46% for IGM and 0.91% for TECL.

Which has better risk-adjusted returns?

TECL currently has the higher Sharpe Ratio (4.35 vs 3.07), 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.