NVDD vs. PSQ

Last updated Jun 3, 2026

NVDD (Direxion Daily NVDA Bear 1X Shares) and PSQ (ProShares Short QQQ) are both Inverse Equities funds. NVDD is actively managed, while PSQ is passively managed. Over the past year, NVDD returned -40.55% vs -27.07% for PSQ. A 0.70 correlation means they provide meaningful diversification when combined. NVDD charges 1.01%/yr vs 0.95%/yr for PSQ.

Performance

NVDD vs. PSQ - Performance Comparison

The chart below illustrates the hypothetical performance of a $10,000 investment in Direxion Daily NVDA Bear 1X Shares (NVDD) and ProShares Short QQQ (PSQ). The values are adjusted to include any dividend payments, if applicable.

Returns By Period

In the year-to-date period, NVDD achieves a -18.41% return, which is significantly lower than PSQ's -16.69% return.

NVDD

• 1D: 0.78%
• 1M: -11.63%
• YTD: -18.41%
• 6M: -20.74%
• 1Y: -40.55%
• 3Y*: —
• 5Y*: —
• 10Y*: —

PSQ

• 1D: -0.48%
• 1M: -9.41%
• YTD: -16.69%
• 6M: -15.37%
• 1Y: -27.07%
• 3Y*: -19.06%
• 5Y*: -14.90%
• 10Y*: -19.25%

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

NVDD vs. PSQ - Yearly Performance Comparison

	2026 (YTD)	2025	2024	2023
NVDD Direxion Daily NVDA Bear 1X Shares	-18.41%	-38.72%	-69.77%	-8.79%
PSQ ProShares Short QQQ	-16.69%	-15.51%	-15.68%	-7.18%

Correlation

The correlation between NVDD and PSQ is 0.63, 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	0.63
Correlation (All Time) Calculated using the full available price history since Sep 14, 2023	0.70

The correlation between NVDD and PSQ has been stable across timeframes, ranging from 0.63 to 0.70 - a consistent structural relationship.

Return for Risk

NVDD vs. PSQ — Risk / Return Rank

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

NVDD

NVDD Risk / Return Rank: 1
NVDD Sharpe Ratio Rank: 1
NVDD Sortino Ratio Rank: 1
NVDD Omega Ratio Rank: 1
NVDD Calmar Ratio Rank: 1
NVDD Martin Ratio Rank: 1

PSQ

PSQ Risk / Return Rank: 0
PSQ Sharpe Ratio Rank: 0
PSQ Sortino Ratio Rank: 0
PSQ Omega Ratio Rank: 0
PSQ Calmar Ratio Rank: 0
PSQ Martin Ratio Rank: 0

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.

NVDD vs. PSQ - Risk-Adjusted Trends Comparison

This table presents a comparison of risk-adjusted performance metrics for Direxion Daily NVDA Bear 1X Shares (NVDD) and ProShares Short QQQ (PSQ). 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.

	NVDD	PSQ	Difference
Sharpe ratio Return per unit of total volatility	-1.20	-1.70	+0.50
Sortino ratio Return per unit of downside risk	-1.81	-2.54	+0.74
Omega ratio Gain probability vs. loss probability	0.80	0.73	+0.07
Calmar ratio Return relative to maximum drawdown	-0.96	-1.02	+0.07
Martin ratio Return relative to average drawdown	-1.60	-2.22	+0.62
Data is calculated on a 1-year rolling basis and updated daily. The trend shows the change in the indicator over the past month.

NVDD vs. PSQ - Sharpe Ratio Comparison

The current NVDD Sharpe Ratio is -1.20, which is comparable to the PSQ Sharpe Ratio of -1.70. The chart below compares the historical Sharpe Ratios of NVDD and PSQ, 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

	NVDD	PSQ	Difference
Sharpe Ratio (1Y) Calculated over the trailing 1-year period	-1.20	-1.70	+0.50
Sharpe Ratio (5Y) Calculated over the trailing 5-year period	—	-0.67	—
Sharpe Ratio (10Y) Calculated over the trailing 10-year period	—	-0.87	—
Sharpe Ratio (All Time) Calculated using the full available price history	-1.10	-0.77	-0.33

Drawdowns

NVDD vs. PSQ - Drawdown Comparison

The maximum NVDD drawdown since its inception was -88.34%, smaller than the maximum PSQ drawdown of -98.26%. Use the drawdown chart below to compare losses from any high point for NVDD and PSQ.

Drawdown Indicators

	NVDD	PSQ	Difference
Max Drawdown Largest peak-to-trough decline	-88.34%	-98.26%	+9.92%
Max Drawdown (1Y) Largest decline over 1 year	-42.53%	-26.93%	-15.60%
Max Drawdown (3Y) Largest decline over 3 years	—	-49.65%	—
Max Drawdown (5Y) Largest decline over 5 years	—	-60.91%	—
Max Drawdown (10Y) Largest decline over 10 years	—	-88.98%	—
Current Drawdown Current decline from peak	-87.71%	-98.26%	+10.55%
Average Drawdown Average peak-to-trough decline	-67.00%	-73.97%	+6.97%
Ulcer Index Depth and duration of drawdowns from previous peaks	26.02%	12.45%	+13.57%

Volatility

NVDD vs. PSQ - Volatility Comparison

Direxion Daily NVDA Bear 1X Shares (NVDD) has a higher volatility of 11.86% compared to ProShares Short QQQ (PSQ) at 4.49%. This indicates that NVDD's price experiences larger fluctuations and is considered to be riskier than PSQ based on this measure. The chart below showcases a comparison of their rolling one-month volatility.

Volatility by Period

	NVDD	PSQ	Difference
Volatility (1M) Calculated over the trailing 1-month period	11.86%	4.49%	+7.37%
Volatility (6M) Calculated over the trailing 6-month period	25.30%	12.14%	+13.16%
Volatility (1Y) Calculated over the trailing 1-year period	33.91%	16.01%	+17.90%
Volatility (5Y) Calculated over the trailing 5-year period, annualized	47.39%	22.43%	+24.96%
Volatility (10Y) Calculated over the trailing 10-year period, annualized	47.39%	22.25%	+25.14%

NVDD vs. PSQ - Expense Ratio Comparison

NVDD has a 1.01% expense ratio, which is higher than PSQ's 0.95% expense ratio.

Dividends

NVDD vs. PSQ - Dividend Comparison

NVDD's dividend yield for the trailing twelve months is around 4.39%, less than PSQ's 5.25% yield.

Position	TTM	2025	2024	2023	2022	2021	2020	2019	2018	2017
NVDD Direxion Daily NVDA Bear 1X Shares	4.39%	4.19%	4.83%	1.31%	0.00%	0.00%	0.00%	0.00%	0.00%	0.00%
PSQ ProShares Short QQQ	5.25%	4.97%	7.15%	6.01%	0.35%	0.00%	0.31%	1.75%	0.95%	0.02%

Frequently Asked Questions

Can I hold both NVDD and PSQ in my portfolio?

NVDD and PSQ have a correlation of 0.63, meaning they provide meaningful diversification benefit when combined. Depending on your allocation goals, holding both could reduce overall portfolio risk.

Which is riskier, NVDD or PSQ?

NVDD has higher volatility (11.86%) compared to PSQ (4.49%). In terms of maximum drawdown, NVDD dropped -88.34% vs PSQ's -98.26%.

Which ETF is better, NVDD or PSQ?

On 1-year performance, PSQ leads with -27.07% vs -40.55% for NVDD. On fees, PSQ is cheaper at 0.95% per year. On volatility, PSQ has been the lower-risk option at 4.49%. The better choice depends on whether you care most about return, fees, risk, or income.

Which ETF has performed better, NVDD or PSQ?

Over the 1-year period, PSQ has performed better with a -27.07% return vs -40.55%. Past performance does not guarantee future results, so compare this with risk, fees, and fund exposure.

Which ETF is cheaper, NVDD or PSQ?

PSQ is cheaper with a 0.95% expense ratio, compared with 1.01% for NVDD.

Which ETF pays a higher dividend yield, NVDD or PSQ?

PSQ has the higher dividend yield at 5.25%, compared with 4.39% for NVDD.

What is the main difference between NVDD and PSQ?

They also come from different issuers: Direxion and ProShares. Their fees differ too: 1.01% for NVDD and 0.95% for PSQ.

Which has better risk-adjusted returns?

NVDD currently has the higher Sharpe Ratio (-1.20 vs -1.70), 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.