MSFD vs. TECL
MSFD (Direxion Daily MSFT Bear 1X Shares) and TECL (Direxion Daily Technology Bull 3X Shares) are both exchange-traded funds - MSFD is a Inverse Equities fund tracking the Microsoft Corporation (-100%), while TECL is a Leveraged Equities fund tracking the Technology Select Sector Index (300%). Both are passively managed. Over the past 3 years, MSFD returned -7.16%/yr vs 80.64%/yr for TECL. At a correlation of -0.74, they often move in opposite directions. MSFD charges 1.06%/yr vs 0.91%/yr for TECL.
Performance
MSFD vs. TECL - Performance Comparison
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Returns By Period
In the year-to-date period, MSFD achieves a 10.43% return, which is significantly lower than TECL's 125.87% return.
MSFD
- 1D
- 3.26%
- 1M
- -3.86%
- YTD
- 10.43%
- 6M
- 9.36%
- 1Y
- 7.43%
- 3Y*
- -7.16%
- 5Y*
- —
- 10Y*
- —
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%
MSFD vs. TECL - Yearly Performance Comparison
| 2026 (YTD) | 2025 | 2024 | 2023 | 2022 | |
|---|---|---|---|---|---|
MSFD Direxion Daily MSFT Bear 1X Shares | 10.43% | -13.36% | -7.86% | -35.90% | 3.88% |
TECL Direxion Daily Technology Bull 3X Shares | 125.87% | 38.60% | 36.15% | 203.14% | -29.47% |
Correlation
The correlation between MSFD and TECL is -0.53, 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 | -0.53 |
Correlation (3Y) Calculated over the trailing 3-year period | -0.69 |
Correlation (All Time) Calculated using the full available price history since Sep 8, 2022 | -0.74 |
Over the past year, the inverse relationship between MSFD and TECL has weakened: their correlation has moved from -0.74 to -0.53, meaning they move in opposite directions less often than they have historically.
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Return for Risk
MSFD vs. TECL — Risk / Return Rank
MSFD
TECL
MSFD vs. TECL - Risk-Adjusted Trends Comparison
This table presents a comparison of risk-adjusted performance metrics for Direxion Daily MSFT Bear 1X Shares (MSFD) 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.
| MSFD | TECL | Difference | |
|---|---|---|---|
| Sharpe ratioReturn per unit of total volatility | -4.05 | ||
| Sortino ratioReturn per unit of downside risk | -3.03 | ||
| Omega ratioGain probability vs. loss probability | 1.08 | 1.48 | -0.40 |
| Calmar ratioReturn relative to maximum drawdown | 0.32 | 5.79 | -5.47 |
| Martin ratioReturn relative to average drawdown | 0.89 | 16.63 | -15.74 |
Data is calculated on a 1-year rolling basis and updated daily. The trend shows the change in the indicator over the past month. | |||
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Sharpe Ratios by Period
| MSFD | TECL | Difference | |
|---|---|---|---|
Sharpe Ratio (1Y)Calculated over the trailing 1-year period | 0.29 | 4.35 | -4.05 |
Sharpe Ratio (5Y)Calculated over the trailing 5-year period | — | 0.59 | — |
Sharpe Ratio (10Y)Calculated over the trailing 10-year period | — | 0.76 | — |
Sharpe Ratio (All Time)Calculated using the full available price history | -0.51 | 0.76 | -1.27 |
Drawdowns
MSFD vs. TECL - Drawdown Comparison
The maximum MSFD drawdown since its inception was -59.90%, smaller than the maximum TECL drawdown of -77.96%. Use the drawdown chart below to compare losses from any high point for MSFD and TECL.
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Drawdown Indicators
| MSFD | TECL | Difference | |
|---|---|---|---|
Max DrawdownLargest peak-to-trough decline | -59.90% | -77.96% | +18.06% |
Max Drawdown (1Y)Largest decline over 1 year | -23.25% | -46.58% | +23.33% |
Max Drawdown (3Y)Largest decline over 3 years | -40.50% | -66.58% | +26.08% |
Max Drawdown (5Y)Largest decline over 5 years | — | -77.96% | — |
Max Drawdown (10Y)Largest decline over 10 years | — | -77.96% | — |
Current DrawdownCurrent decline from peak | -50.20% | -2.99% | -47.21% |
Average DrawdownAverage peak-to-trough decline | -41.59% | -18.38% | -23.21% |
Ulcer IndexDepth and duration of drawdowns from previous peaks | 8.40% | 16.19% | -7.79% |
Volatility
MSFD vs. TECL - Volatility Comparison
The current volatility for Direxion Daily MSFT Bear 1X Shares (MSFD) is 10.12%, while Direxion Daily Technology Bull 3X Shares (TECL) has a volatility of 20.70%. This indicates that MSFD 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.
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Volatility by Period
| MSFD | TECL | Difference | |
|---|---|---|---|
Volatility (1M)Calculated over the trailing 1-month period | 10.12% | 20.70% | -10.58% |
Volatility (6M)Calculated over the trailing 6-month period | 22.06% | 49.83% | -27.77% |
Volatility (1Y)Calculated over the trailing 1-year period | 25.32% | 62.17% | -36.85% |
Volatility (5Y)Calculated over the trailing 5-year period, annualized | 26.15% | 74.09% | -47.94% |
Volatility (10Y)Calculated over the trailing 10-year period, annualized | 26.15% | 72.35% | -46.20% |
MSFD vs. TECL - Expense Ratio Comparison
MSFD has a 1.06% expense ratio, which is higher than TECL's 0.91% expense ratio.
Dividends
MSFD vs. TECL - Dividend Comparison
MSFD's dividend yield for the trailing twelve months is around 2.83%, less than TECL's 3.15% yield.
| Position | TTM | 2025 | 2024 | 2023 | 2022 | 2021 | 2020 | 2019 | 2018 | 2017 |
|---|---|---|---|---|---|---|---|---|---|---|
MSFD Direxion Daily MSFT Bear 1X Shares | 2.83% | 3.33% | 4.46% | 4.43% | 0.74% | 0.00% | 0.00% | 0.00% | 0.00% | 0.00% |
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% |
Frequently Asked Questions
MSFD and TECL have a correlation of -0.53, meaning they provide meaningful diversification benefit when combined. Depending on your allocation goals, holding both could reduce overall portfolio risk.
TECL has higher volatility (20.70%) compared to MSFD (10.12%). In terms of maximum drawdown, MSFD dropped -59.90% vs TECL's -77.96%.
On 3-year performance, TECL leads with 80.64% vs -7.16% for MSFD. On fees, TECL is cheaper at 0.91% per year. On volatility, MSFD has been the lower-risk option at 10.12%. The better choice depends on whether you care most about return, fees, risk, or income.
Over the 3-year period, TECL has performed better with a 80.64% return vs -7.16%. Past performance does not guarantee future results, so compare this with risk, fees, and fund exposure.
TECL is cheaper with a 0.91% expense ratio, compared with 1.06% for MSFD.
TECL has the higher dividend yield at 3.15%, compared with 2.83% for MSFD.
MSFD is categorized as Inverse Equities, while TECL is Leveraged Equities. MSFD tracks Microsoft Corporation (-100%), while TECL tracks Technology Select Sector Index (300%). Their fees differ too: 1.06% for MSFD and 0.91% for TECL.
TECL currently has the higher Sharpe Ratio (4.35 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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