MSFU vs. IFED

Last updated Aug 2, 2026

MSFU (Direxion Daily MSFT Bull 2X Shares) and IFED (ETRACS IFED Invest with the Fed TR Index ETN) are both Leveraged Equities funds - MSFU tracks the Microsoft Corporation (200%) while IFED tracks the IFED Large-Cap US Equity Index - Benchmark TR Gross. Both are passively managed. Over the past 3 years, MSFU returned 3.90%/yr vs 18.74%/yr for IFED. Their 0.49 correlation means their historical movements had little consistent relationship. MSFU charges 0.98%/yr vs 0.45%/yr for IFED.

Performance

MSFU vs. IFED - Performance Comparison

The chart below illustrates the hypothetical performance of a $10,000 investment in Direxion Daily MSFT Bull 2X Shares (MSFU) and ETRACS IFED Invest with the Fed TR Index ETN (IFED). The values are adjusted to include any dividend payments, if applicable.

Returns By Period

In the year-to-date period, MSFU achieves a -18.87% return, which is significantly lower than IFED's 10.03% return.

MSFU

• 1D: 5.90%
• 1M: 37.88%
• 6M: 4.85%
• YTD: -18.87%
• 1Y: -34.49%
• 3Y*: 3.90%
• 5Y*: —
• 10Y*: —
• ALL TIME*: 11.80%

IFED

• 1D: 0.00%
• 1M: 13.92%
• 6M: 14.63%
• YTD: 10.03%
• 1Y: 14.76%
• 3Y*: 18.74%
• 5Y*: —
• 10Y*: —
• ALL TIME*: 15.40%

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

Liquidity Comparison

Position	Avg. Volume Value (2W)	Avg. Volume Value (1M)	Avg. Volume Value (3M)
IFED ETRACS IFED Invest with the Fed TR Index ETN	$159.79K	$83.84K	$44.71K
MSFU Direxion Daily MSFT Bull 2X Shares	$236.35M	$210.49M	$216.20M

MSFU vs. IFED - Yearly Performance Comparison

	2026 (YTD)	2025	2024	2023	2022
MSFU Direxion Daily MSFT Bull 2X Shares	-18.87%	13.36%	5.80%	83.04%	-13.28%
IFED ETRACS IFED Invest with the Fed TR Index ETN	10.03%	15.02%	23.04%	20.78%	3.54%

Correlation

The correlation between MSFU and IFED is 0.42, which is low. Their historical price movements had little consistent relationship.

	Correlation
Correlation (1Y) Focuses on recent behavior, but can change the most.	0.42
Correlation (3Y) Balances recent behavior with more history.	0.45
Correlation (All Time) Calculated using the full available price history since Sep 7, 2022	0.49

Return for Risk

MSFU vs. IFED — Risk / Return Rank

Compare historical risk-adjusted metric ranks over the past 12 months.

MSFU

MSFU Risk / Return Rank: 5
MSFU Sharpe Ratio Rank: 4
MSFU Sortino Ratio Rank: 5
MSFU Omega Ratio Rank: 4
MSFU Calmar Ratio Rank: 4
MSFU Martin Ratio Rank: 5

IFED

IFED Risk / Return Rank: 24
IFED Sharpe Ratio Rank: 21
IFED Sortino Ratio Rank: 23
IFED Omega Ratio Rank: 30
IFED Calmar Ratio Rank: 22
IFED Martin Ratio Rank: 25

The rank (0–100) uses a weighted average of the Sharpe, Sortino, Omega, Calmar, and Martin percentile ranks for the trailing 12 months. Higher means stronger historical risk-adjusted performance within the peer group.

MSFU vs. IFED - Risk-Adjusted Trends Comparison

This table presents a comparison of risk-adjusted performance metrics for Direxion Daily MSFT Bull 2X Shares (MSFU) and ETRACS IFED Invest with the Fed TR Index ETN (IFED). 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.

	MSFU	IFED	Difference
Sharpe ratio: Return per unit of total volatility	-0.59	0.44	-1.03
Sortino ratio: Return per unit of downside risk	-0.63	0.84	-1.47
Omega ratio: Gain probability vs. loss probability	0.92	1.14	-0.22
Calmar ratio: Return relative to maximum drawdown	-0.59	0.64	-1.23
Martin ratio: Return relative to average drawdown	-0.98	2.01	-2.99

MSFU vs. IFED - Sharpe Ratio Comparison

The current MSFU Sharpe Ratio is -0.59, which is lower than the IFED Sharpe Ratio of 0.44. The chart below compares the historical Sharpe Ratios of MSFU and IFED, calculated using daily returns over the previous 12 months. A higher Sharpe Ratio indicates better risk-adjusted performance relative to the risk-free rate.

Drawdowns

MSFU vs. IFED - Drawdown Comparison

The maximum MSFU drawdown since its inception was -62.43%, which is greater than IFED's maximum drawdown of -22.36%. Use the drawdown chart below to compare losses from any high point for MSFU and IFED.

Drawdown Indicators

	MSFU	IFED	Difference
Max Drawdown Largest peak-to-trough decline	-62.43%	-22.36%	-40.07%
Max Drawdown (1Y) Largest decline over 1 year	-62.43%	-20.18%	-42.25%
Max Drawdown (3Y) Largest decline over 3 years	-62.43%	-22.36%	-40.07%
Current Drawdown Current decline from peak	-37.20%	-7.61%	-29.59%
Average Drawdown Average peak-to-trough decline	-18.02%	-5.85%	-12.17%
Ulcer Index Depth and duration of drawdowns from previous peaks	37.69%	6.43%	+31.26%

Volatility

MSFU vs. IFED - Volatility Comparison

Direxion Daily MSFT Bull 2X Shares (MSFU) has a higher volatility of 29.64% compared to ETRACS IFED Invest with the Fed TR Index ETN (IFED) at 24.07%. This indicates that MSFU's price experiences larger fluctuations and is considered to be riskier than IFED based on this measure. The chart below showcases a comparison of their rolling one-month volatility.

Volatility by Period

	MSFU	IFED	Difference
Volatility (1M) Calculated over the trailing 1-month period	29.64%	24.07%	+5.57%
Volatility (6M) Calculated over the trailing 6-month period	51.29%	27.96%	+23.33%
Volatility (1Y) Calculated over the trailing 1-year period	63.22%	29.34%	+33.88%
Volatility (5Y) Calculated over the trailing 5-year period, annualized	49.57%	22.56%	+27.01%
Volatility (10Y) Calculated over the trailing 10-year period, annualized	49.57%	22.56%	+27.01%

MSFU vs. IFED - Expense Ratio Comparison

MSFU has a 0.98% expense ratio, which is higher than IFED's 0.45% expense ratio.

Dividends

MSFU vs. IFED - Dividend Comparison

MSFU's dividend yield for the trailing twelve months is around 9.13%, while IFED has not paid dividends to shareholders.

Position	TTM	2025	2024	2023	2022
IFED ETRACS IFED Invest with the Fed TR Index ETN	0.00%	0.00%	0.00%	0.00%	0.00%
MSFU Direxion Daily MSFT Bull 2X Shares	9.13%	8.15%	7.00%	2.11%	0.54%

Frequently Asked Questions

Can I hold both MSFU and IFED in my portfolio?

MSFU and IFED have a correlation of 0.42, meaning they provide meaningful diversification benefit when combined. Depending on your allocation goals, holding both could reduce overall portfolio risk.

Which is riskier, MSFU or IFED?

MSFU has higher volatility (29.64%) compared to IFED (24.07%). In terms of maximum drawdown, MSFU dropped -62.43% vs IFED's -22.36%.

Which ETF is better, MSFU or IFED?

On 3-year performance, IFED leads with 18.74% vs 3.90% for MSFU. On fees, IFED is cheaper at 0.45% per year. On volatility, IFED has been the lower-risk option at 24.07%. The better choice depends on whether you care most about return, fees, risk, or income.

Which ETF has performed better, MSFU or IFED?

Over the 3-year period, IFED has performed better with a 18.74% return vs 3.90%. Past performance does not guarantee future results, so compare this with risk, fees, and fund exposure.

Which ETF is cheaper, MSFU or IFED?

IFED is cheaper with a 0.45% expense ratio, compared with 0.98% for MSFU.

Which ETF pays a higher dividend yield, MSFU or IFED?

MSFU has the higher dividend yield at 9.13%, compared with 0.00% for IFED.

What is the main difference between MSFU and IFED?

MSFU tracks Microsoft Corporation (200%), while IFED tracks IFED Large-Cap US Equity Index - Benchmark TR Gross. They also come from different issuers: Direxion and UBS. Their fees differ too: 0.98% for MSFU and 0.45% for IFED.

Which has better risk-adjusted returns?

IFED currently has the higher Sharpe Ratio (0.44 vs -0.59), 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.