PALU vs. SOXL

Last updated Jun 30, 2026

PALU (Direxion Daily PANW Bull 2X Shares) and SOXL (Direxion Daily Semiconductor Bull 3X ETF) are both Leveraged Equities funds from Direxion. PALU is actively managed, while SOXL is passively managed. Over the past year, PALU returned 109.65% vs 842.21% for SOXL. At a 0.21 correlation, their price movements are largely independent. PALU charges 1.08%/yr vs 0.75%/yr for SOXL.

Performance

PALU vs. SOXL - Performance Comparison

The chart below illustrates the hypothetical performance of a $10,000 investment in Direxion Daily PANW Bull 2X Shares (PALU) and Direxion Daily Semiconductor Bull 3X ETF (SOXL). The values are adjusted to include any dividend payments, if applicable.

Returns By Period

In the year-to-date period, PALU achieves a 176.45% return, which is significantly lower than SOXL's 462.74% return.

PALU

• 1D: 18.74%
• 1M: 34.36%
• YTD: 176.45%
• 6M: 167.92%
• 1Y: 109.65%
• 3Y*: —
• 5Y*: —
• 10Y*: —

SOXL

• 1D: 9.70%
• 1M: 5.43%
• YTD: 462.74%
• 6M: 439.75%
• 1Y: 842.21%
• 3Y*: 113.30%
• 5Y*: 40.49%
• 10Y*: 64.44%

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

PALU vs. SOXL - Yearly Performance Comparison

	2026 (YTD)	2025
PALU Direxion Daily PANW Bull 2X Shares	176.45%	-17.65%
SOXL Direxion Daily Semiconductor Bull 3X ETF	462.74%	105.23%

Correlation

The correlation between PALU and SOXL is 0.18, which is low. Their price movements are largely independent, making them effective diversification partners.

	Correlation
Correlation (1Y) Calculated over the trailing 1-year period	0.18
Correlation (All Time) Calculated using the full available price history since Mar 26, 2025	0.21

Return for Risk

PALU vs. SOXL — Risk / Return Rank

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

PALU

PALU Risk / Return Rank: 40
PALU Sharpe Ratio Rank: 43
PALU Sortino Ratio Rank: 43
PALU Omega Ratio Rank: 45
PALU Calmar Ratio Rank: 39
PALU Martin Ratio Rank: 28

SOXL

SOXL Risk / Return Rank: 96
SOXL Sharpe Ratio Rank: 99
SOXL Sortino Ratio Rank: 92
SOXL Omega Ratio Rank: 93
SOXL Calmar Ratio Rank: 99
SOXL Martin Ratio Rank: 98

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.

PALU vs. SOXL - Risk-Adjusted Trends Comparison

This table presents a comparison of risk-adjusted performance metrics for Direxion Daily PANW Bull 2X Shares (PALU) and Direxion Daily Semiconductor Bull 3X ETF (SOXL). 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.

	PALU	SOXL	Difference
Sharpe ratio: Return per unit of total volatility	1.37	7.21	-5.84
Sortino ratio: Return per unit of downside risk	1.96	3.81	-1.85
Omega ratio: Gain probability vs. loss probability	1.26	1.54	-0.29
Calmar ratio: Return relative to maximum drawdown	1.77	19.57	-17.79
Martin ratio: Return relative to average drawdown	3.54	61.45	-57.91

PALU vs. SOXL - Sharpe Ratio Comparison

The current PALU Sharpe Ratio is 1.37, which is lower than the SOXL Sharpe Ratio of 7.21. The chart below compares the historical Sharpe Ratios of PALU and SOXL, 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

PALU vs. SOXL - Drawdown Comparison

The maximum PALU drawdown since its inception was -62.18%, smaller than the maximum SOXL drawdown of -90.46%. Use the drawdown chart below to compare losses from any high point for PALU and SOXL.

Drawdown Indicators

	PALU	SOXL	Difference
Max Drawdown Largest peak-to-trough decline	-62.18%	-90.46%	+28.28%
Max Drawdown (1Y) Largest decline over 1 year	-62.18%	-43.47%	-18.71%
Max Drawdown (3Y) Largest decline over 3 years	—	-87.88%	—
Max Drawdown (5Y) Largest decline over 5 years	—	-90.46%	—
Max Drawdown (10Y) Largest decline over 10 years	—	-90.46%	—
Current Drawdown Current decline from peak	0.00%	-21.36%	+21.36%
Average Drawdown Average peak-to-trough decline	-21.88%	-34.94%	+13.06%
Ulcer Index Depth and duration of drawdowns from previous peaks	31.11%	13.82%	+17.29%

Volatility

PALU vs. SOXL - Volatility Comparison

The current volatility for Direxion Daily PANW Bull 2X Shares (PALU) is 35.14%, while Direxion Daily Semiconductor Bull 3X ETF (SOXL) has a volatility of 69.21%. This indicates that PALU experiences smaller price fluctuations and is considered to be less risky than SOXL based on this measure. The chart below showcases a comparison of their rolling one-month volatility.

Volatility by Period

	PALU	SOXL	Difference
Volatility (1M) Calculated over the trailing 1-month period	35.14%	69.21%	-34.07%
Volatility (6M) Calculated over the trailing 6-month period	67.42%	101.76%	-34.34%
Volatility (1Y) Calculated over the trailing 1-year period	80.92%	118.30%	-37.38%
Volatility (5Y) Calculated over the trailing 5-year period, annualized	82.35%	110.65%	-28.30%
Volatility (10Y) Calculated over the trailing 10-year period, annualized	82.35%	100.69%	-18.34%

PALU vs. SOXL - Expense Ratio Comparison

PALU has a 1.08% expense ratio, which is higher than SOXL's 0.75% expense ratio.

Dividends

PALU vs. SOXL - Dividend Comparison

PALU's dividend yield for the trailing twelve months is around 3.95%, while SOXL has not paid dividends to shareholders.

Position	TTM	2025	2024	2023	2022	2021	2020	2019	2018	2017	2016
PALU Direxion Daily PANW Bull 2X Shares	3.95%	10.50%	0.00%	0.00%	0.00%	0.00%	0.00%	0.00%	0.00%	0.00%	0.00%
SOXL Direxion Daily Semiconductor Bull 3X ETF	0.00%	0.34%	1.18%	0.51%	1.07%	0.04%	0.05%	0.38%	1.30%	0.09%	4.84%

Frequently Asked Questions

Can I hold both PALU and SOXL in my portfolio?

PALU and SOXL have a correlation of 0.18, meaning they provide meaningful diversification benefit when combined. Depending on your allocation goals, holding both could reduce overall portfolio risk.

Which is riskier, PALU or SOXL?

SOXL has higher volatility (69.21%) compared to PALU (35.14%). In terms of maximum drawdown, PALU dropped -62.18% vs SOXL's -90.46%.

Which ETF is better, PALU or SOXL?

On 1-year performance, SOXL leads with 842.21% vs 109.65% for PALU. On fees, SOXL is cheaper at 0.75% per year. On volatility, PALU has been the lower-risk option at 35.14%. The better choice depends on whether you care most about return, fees, risk, or income.

Which ETF has performed better, PALU or SOXL?

Over the 1-year period, SOXL has performed better with a 842.21% return vs 109.65%. Past performance does not guarantee future results, so compare this with risk, fees, and fund exposure.

Which ETF is cheaper, PALU or SOXL?

SOXL is cheaper with a 0.75% expense ratio, compared with 1.08% for PALU.

Which ETF pays a higher dividend yield, PALU or SOXL?

PALU has the higher dividend yield at 3.95%, compared with 0.00% for SOXL.

What is the main difference between PALU and SOXL?

Their fees differ too: 1.08% for PALU and 0.75% for SOXL.

Which has better risk-adjusted returns?

SOXL currently has the higher Sharpe Ratio (7.21 vs 1.37), 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.