NAIL vs. SPY

Last updated Jul 12, 2026

NAIL (Direxion Daily Homebuilders & Supplies Bull 3X Shares) and SPY (State Street SPDR S&P 500 ETF) are both exchange-traded funds - NAIL is a Leveraged Equities fund tracking the Dow Jones U.S. Select Home Construction Index (300%), while SPY is a S&P 500 fund tracking the S&P 500 Index. Both are passively managed. Over the past 10 years, NAIL returned 3.17%/yr vs 15.22%/yr for SPY. A 0.58 correlation means they provide meaningful diversification when combined. NAIL charges 0.99%/yr vs 0.09%/yr for SPY.

Performance

NAIL vs. SPY - Performance Comparison

The chart below illustrates the hypothetical performance of a $10,000 investment in Direxion Daily Homebuilders & Supplies Bull 3X Shares (NAIL) and State Street SPDR S&P 500 ETF (SPY). The values are adjusted to include any dividend payments, if applicable.

Returns By Period

In the year-to-date period, NAIL achieves a -14.81% return, which is significantly lower than SPY's 11.30% return. Over the past 10 years, NAIL has underperformed SPY with an annualized return of 3.17%, while SPY has yielded a comparatively higher 15.22% annualized return.

NAIL

• 1D: 2.66%
• 1M: -1.91%
• 6M: -36.49%
• YTD: -14.81%
• 1Y: -31.98%
• 3Y*: -16.59%
• 5Y*: -10.52%
• 10Y*: 3.17%

SPY

• 1D: 0.43%
• 1M: 2.04%
• 6M: 9.35%
• YTD: 11.30%
• 1Y: 22.40%
• 3Y*: 20.99%
• 5Y*: 13.15%
• 10Y*: 15.22%

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

NAIL vs. SPY - Yearly Performance Comparison

	2026 (YTD)	2025	2024	2023	2022	2021	2020	2019	2018	2017
NAIL Direxion Daily Homebuilders & Supplies Bull 3X Shares	-14.81%	-40.43%	-22.83%	259.61%	-75.23%	168.20%	-32.08%	184.63%	-73.96%	268.71%
SPY State Street SPDR S&P 500 ETF	11.30%	17.72%	24.89%	26.18%	-18.18%	28.73%	18.33%	31.22%	-4.57%	21.71%

Correlation

The correlation between NAIL and SPY is 0.41, which is low. Their price movements are largely independent, making them effective diversification partners.

	Correlation
Correlation (1Y) Calculated over the trailing 1-year period	0.41
Correlation (3Y) Calculated over the trailing 3-year period	0.53
Correlation (5Y) Calculated over the trailing 5-year period	0.62
Correlation (10Y) Calculated over the trailing 10-year period	0.59
Correlation (All Time) Calculated using the full available price history since Aug 19, 2015	0.58

The correlation between NAIL and SPY shifts across timeframes, from 0.41 (1 year) to 0.62 (5 years), reflecting how their relationship changes across market environments.

NAIL vs. SPY - Sectors Allocation Comparison

Sectors	NAIL	SPY
Consumer Cyclical	71.3%	9.9%
Industrials	19.5%	7.8%
Basic Materials	8.7%	1.7%
Real Estate	0.5%	1.8%
Communication Services	-	10.6%
Consumer Defensive	-	4.5%
Energy	-	3.1%
Financial Services	-	11.1%
Healthcare	-	8.3%
Technology	-	39.0%
Utilities	-	2.1%

Return for Risk

NAIL vs. SPY — Risk / Return Rank

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

NAIL

NAIL Risk / Return Rank: 6
NAIL Sharpe Ratio Rank: 6
NAIL Sortino Ratio Rank: 7
NAIL Omega Ratio Rank: 7
NAIL Calmar Ratio Rank: 5
NAIL Martin Ratio Rank: 5

SPY

SPY Risk / Return Rank: 67
SPY Sharpe Ratio Rank: 68
SPY Sortino Ratio Rank: 66
SPY Omega Ratio Rank: 67
SPY Calmar Ratio Rank: 62
SPY Martin Ratio Rank: 73

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.

NAIL vs. SPY - Risk-Adjusted Trends Comparison

This table presents a comparison of risk-adjusted performance metrics for Direxion Daily Homebuilders & Supplies Bull 3X Shares (NAIL) and State Street SPDR S&P 500 ETF (SPY). 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.

	NAIL	SPY	Difference
Sharpe ratio: Return per unit of total volatility	-0.39	1.76	-2.15
Sortino ratio: Return per unit of downside risk	-0.07	2.42	-2.50
Omega ratio: Gain probability vs. loss probability	0.99	1.32	-0.33
Calmar ratio: Return relative to maximum drawdown	-0.52	2.48	-3.00
Martin ratio: Return relative to average drawdown	-0.84	10.83	-11.67

NAIL vs. SPY - Sharpe Ratio Comparison

The current NAIL Sharpe Ratio is -0.39, which is lower than the SPY Sharpe Ratio of 1.76. The chart below compares the historical Sharpe Ratios of NAIL and SPY, 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

NAIL vs. SPY - Drawdown Comparison

The maximum NAIL drawdown since its inception was -93.75%, which is greater than SPY's maximum drawdown of -55.19%. Use the drawdown chart below to compare losses from any high point for NAIL and SPY.

Drawdown Indicators

	NAIL	SPY	Difference
Max Drawdown Largest peak-to-trough decline	-93.75%	-55.19%	-38.56%
Max Drawdown (1Y) Largest decline over 1 year	-67.85%	-8.88%	-58.97%
Max Drawdown (3Y) Largest decline over 3 years	-82.09%	-18.76%	-63.33%
Max Drawdown (5Y) Largest decline over 5 years	-84.40%	-24.50%	-59.90%
Max Drawdown (10Y) Largest decline over 10 years	-93.75%	-33.72%	-60.03%
Current Drawdown Current decline from peak	-75.66%	-0.35%	-75.31%
Average Drawdown Average peak-to-trough decline	-44.06%	-9.03%	-35.03%
Ulcer Index Depth and duration of drawdowns from previous peaks	41.70%	2.03%	+39.67%

Volatility

NAIL vs. SPY - Volatility Comparison

Direxion Daily Homebuilders & Supplies Bull 3X Shares (NAIL) has a higher volatility of 32.41% compared to State Street SPDR S&P 500 ETF (SPY) at 4.52%. This indicates that NAIL's price experiences larger fluctuations and is considered to be riskier than SPY based on this measure. The chart below showcases a comparison of their rolling one-month volatility.

Volatility by Period

	NAIL	SPY	Difference
Volatility (1M) Calculated over the trailing 1-month period	32.41%	4.52%	+27.89%
Volatility (6M) Calculated over the trailing 6-month period	66.77%	9.98%	+56.79%
Volatility (1Y) Calculated over the trailing 1-year period	89.81%	12.55%	+77.26%
Volatility (5Y) Calculated over the trailing 5-year period, annualized	87.93%	17.16%	+70.77%
Volatility (10Y) Calculated over the trailing 10-year period, annualized	89.58%	17.92%	+71.66%

NAIL vs. SPY - Expense Ratio Comparison

NAIL has a 0.99% expense ratio, which is higher than SPY's 0.09% expense ratio.

Dividends

NAIL vs. SPY - Dividend Comparison

NAIL's dividend yield for the trailing twelve months is around 0.73%, less than SPY's 1.00% yield.

Position	TTM	2025	2024	2023	2022	2021	2020	2019	2018	2017	2016	2015
NAIL Direxion Daily Homebuilders & Supplies Bull 3X Shares	0.73%	1.55%	0.63%	0.22%	0.00%	0.00%	0.01%	0.17%	0.35%	1.25%	0.00%	0.00%
SPY State Street SPDR S&P 500 ETF	1.00%	1.07%	1.21%	1.40%	1.65%	1.20%	1.52%	1.75%	2.04%	1.80%	2.03%	2.06%

Frequently Asked Questions

Can I hold both NAIL and SPY in my portfolio?

NAIL and SPY have a correlation of 0.41, meaning they provide meaningful diversification benefit when combined. Depending on your allocation goals, holding both could reduce overall portfolio risk.

Which is riskier, NAIL or SPY?

NAIL has higher volatility (32.41%) compared to SPY (4.52%). In terms of maximum drawdown, NAIL dropped -93.75% vs SPY's -55.19%.

Which ETF is better, NAIL or SPY?

On 10-year performance, SPY leads with 15.22% vs 3.17% for NAIL. On fees, SPY is cheaper at 0.09% per year. On volatility, SPY has been the lower-risk option at 4.52%. The better choice depends on whether you care most about return, fees, risk, or income.

Which ETF has performed better, NAIL or SPY?

Over the 10-year period, SPY has performed better with a 15.22% return vs 3.17%. Past performance does not guarantee future results, so compare this with risk, fees, and fund exposure.

Which ETF is cheaper, NAIL or SPY?

SPY is cheaper with a 0.09% expense ratio, compared with 0.99% for NAIL.

Which ETF pays a higher dividend yield, NAIL or SPY?

SPY has the higher dividend yield at 1.00%, compared with 0.73% for NAIL.

What is the main difference between NAIL and SPY?

NAIL is categorized as Leveraged Equities, while SPY is S&P 500. NAIL tracks Dow Jones U.S. Select Home Construction Index (300%), while SPY tracks S&P 500 Index. They also come from different issuers: Direxion and State Street. Their fees differ too: 0.99% for NAIL and 0.09% for SPY.

Which has better risk-adjusted returns?

SPY currently has the higher Sharpe Ratio (1.76 vs -0.39), 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.