MSFT vs. TECB
MSFT (Microsoft Corporation) is a stock, while TECB (iShares U.S. Tech Breakthrough Multisector ETF) is Technology Equities fund tracking the NYSE FactSet U.S. Tech Breakthrough Index. Over the past 5 years, MSFT returned 11.09%/yr vs 13.47%/yr for TECB. A 0.78 correlation means they provide meaningful diversification when combined.
Performance
MSFT vs. TECB - Performance Comparison
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Returns By Period
In the year-to-date period, MSFT achieves a -14.48% return, which is significantly lower than TECB's 14.97% return.
MSFT
- 1D
- -1.18%
- 1M
- -0.60%
- YTD
- -14.48%
- 6M
- -15.77%
- 1Y
- -11.77%
- 3Y*
- 8.85%
- 5Y*
- 11.09%
- 10Y*
- 24.64%
TECB
- 1D
- 0.52%
- 1M
- 1.69%
- YTD
- 14.97%
- 6M
- 13.40%
- 1Y
- 27.32%
- 3Y*
- 24.72%
- 5Y*
- 13.47%
- 10Y*
- —
MSFT vs. TECB - Yearly Performance Comparison
| 2026 (YTD) | 2025 | 2024 | 2023 | 2022 | 2021 | 2020 | |
|---|---|---|---|---|---|---|---|
MSFT Microsoft Corporation | -14.48% | 15.58% | 12.93% | 58.19% | -28.02% | 52.48% | 39.32% |
TECB iShares U.S. Tech Breakthrough Multisector ETF | 14.97% | 14.86% | 24.38% | 57.53% | -34.39% | 19.60% | 39.90% |
Correlation
The correlation between MSFT and TECB is 0.54, which is moderate. They share some common price drivers but move independently often enough to provide real diversification benefit when combined.
| Correlation | |
|---|---|
Correlation (1Y) Calculated over the trailing 1-year period | 0.54 |
Correlation (3Y) Calculated over the trailing 3-year period | 0.67 |
Correlation (5Y) Calculated over the trailing 5-year period | 0.75 |
Correlation (All Time) Calculated using the full available price history since Jan 13, 2020 | 0.78 |
Over the past year, the correlation between MSFT and TECB has dropped to 0.54 - well below their long-term average of 0.78, suggesting their price drivers have been diverging.
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Return for Risk
MSFT vs. TECB — Risk / Return Rank
MSFT
TECB
MSFT vs. TECB - Risk-Adjusted Trends Comparison
This table presents a comparison of risk-adjusted performance metrics for Microsoft Corporation (MSFT) and iShares U.S. Tech Breakthrough Multisector ETF (TECB). 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.
| MSFT | TECB | Difference | |
|---|---|---|---|
| Sharpe ratioReturn per unit of total volatility | -2.02 | ||
| Sortino ratioReturn per unit of downside risk | -2.60 | ||
| Omega ratioGain probability vs. loss probability | 0.94 | 1.27 | -0.33 |
| Calmar ratioReturn relative to maximum drawdown | -0.35 | 1.69 | -2.04 |
| Martin ratioReturn relative to average drawdown | -0.73 | 4.93 | -5.66 |
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
| MSFT | TECB | Difference | |
|---|---|---|---|
Sharpe Ratio (1Y)Calculated over the trailing 1-year period | -0.47 | 1.56 | -2.02 |
Sharpe Ratio (5Y)Calculated over the trailing 5-year period | 0.42 | 0.57 | -0.16 |
Sharpe Ratio (10Y)Calculated over the trailing 10-year period | 0.91 | — | — |
Sharpe Ratio (All Time)Calculated using the full available price history | 0.74 | 0.70 | +0.04 |
Drawdowns
MSFT vs. TECB - Drawdown Comparison
The maximum MSFT drawdown since its inception was -69.38%, which is greater than TECB's maximum drawdown of -41.62%. Use the drawdown chart below to compare losses from any high point for MSFT and TECB.
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Drawdown Indicators
| MSFT | TECB | Difference | |
|---|---|---|---|
Max DrawdownLargest peak-to-trough decline | -69.38% | -41.62% | -27.76% |
Max Drawdown (1Y)Largest decline over 1 year | -33.91% | -16.24% | -17.67% |
Max Drawdown (3Y)Largest decline over 3 years | -33.91% | -23.91% | -10.00% |
Max Drawdown (5Y)Largest decline over 5 years | -37.15% | -41.62% | +4.47% |
Max Drawdown (10Y)Largest decline over 10 years | -37.15% | — | — |
Current DrawdownCurrent decline from peak | -23.56% | -5.64% | -17.92% |
Average DrawdownAverage peak-to-trough decline | -21.78% | -10.17% | -11.61% |
Ulcer IndexDepth and duration of drawdowns from previous peaks | 16.13% | 5.55% | +10.58% |
Volatility
MSFT vs. TECB - Volatility Comparison
Microsoft Corporation (MSFT) has a higher volatility of 10.25% compared to iShares U.S. Tech Breakthrough Multisector ETF (TECB) at 7.20%. This indicates that MSFT's price experiences larger fluctuations and is considered to be riskier than TECB based on this measure. The chart below showcases a comparison of their rolling one-month volatility.
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Volatility by Period
| MSFT | TECB | Difference | |
|---|---|---|---|
Volatility (1M)Calculated over the trailing 1-month period | 10.25% | 7.20% | +3.05% |
Volatility (6M)Calculated over the trailing 6-month period | 22.36% | 14.03% | +8.33% |
Volatility (1Y)Calculated over the trailing 1-year period | 25.31% | 17.68% | +7.63% |
Volatility (5Y)Calculated over the trailing 5-year period, annualized | 26.64% | 23.59% | +3.05% |
Volatility (10Y)Calculated over the trailing 10-year period, annualized | 27.06% | 25.42% | +1.64% |
Dividends
MSFT vs. TECB - Dividend Comparison
MSFT's dividend yield for the trailing twelve months is around 0.86%, more than TECB's 0.29% yield.
| Position | TTM | 2025 | 2024 | 2023 | 2022 | 2021 | 2020 | 2019 | 2018 | 2017 | 2016 | 2015 |
|---|---|---|---|---|---|---|---|---|---|---|---|---|
MSFT Microsoft Corporation | 0.86% | 0.70% | 0.73% | 0.74% | 1.06% | 0.68% | 0.94% | 1.20% | 1.69% | 1.86% | 2.37% | 2.33% |
TECB iShares U.S. Tech Breakthrough Multisector ETF | 0.29% | 0.33% | 0.35% | 0.23% | 0.61% | 0.35% | 0.77% | 0.00% | 0.00% | 0.00% | 0.00% | 0.00% |
Frequently Asked Questions
MSFT and TECB have a correlation of 0.54, meaning they provide meaningful diversification benefit when combined. Depending on your allocation goals, holding both could reduce overall portfolio risk.
MSFT has higher volatility (10.25%) compared to TECB (7.20%). In terms of maximum drawdown, MSFT dropped -69.38% vs TECB's -41.62%.
TECB currently has the higher Sharpe Ratio (1.56 vs -0.47), 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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