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QQQ vs. DFEN
Performance
Return for Risk
Drawdowns
Volatility
Dividends

QQQ vs. DFEN

Last updated Jun 21, 2026

QQQ (Invesco QQQ ETF) and DFEN (Direxion Daily Aerospace & Defense Bull 3X Shares) are both exchange-traded funds - QQQ is a Nasdaq-100 fund tracking the NASDAQ-100 Index, while DFEN is a Leveraged Equities fund tracking the Dow Jones U.S. Select Aerospace & Defense Index (300% Daily). Both are passively managed. Over the past 5 years, QQQ returned 17.37%/yr vs 33.49%/yr for DFEN. At a 0.49 correlation, their price movements are largely independent. QQQ charges 0.18%/yr vs 0.96%/yr for DFEN.

Performance

QQQ vs. DFEN - Performance Comparison

The chart below illustrates the hypothetical performance of a $10,000 investment in Invesco QQQ ETF (QQQ) and Direxion Daily Aerospace & Defense Bull 3X Shares (DFEN). The values are adjusted to include any dividend payments, if applicable.

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Returns By Period

The year-to-date returns for both investments are quite close, with QQQ having a 20.71% return and DFEN slightly higher at 20.97%.

QQQ

1D
2.51%
1M
3.22%
YTD
20.71%
6M
20.33%
1Y
41.26%
3Y*
27.01%
5Y*
17.37%
10Y*
22.17%

DFEN

1D
-4.32%
1M
17.09%
YTD
20.97%
6M
21.25%
1Y
87.39%
3Y*
67.96%
5Y*
33.49%
10Y*
—
*Multi-year figures are annualized to reflect compound growth (CAGR)

QQQ vs. DFEN - Yearly Performance Comparison

2026 (YTD)202520242023202220212020201920182017
QQQ
Invesco QQQ ETF		20.71%20.77%25.58%54.86%-32.58%27.42%48.62%38.96%-0.13%14.13%
DFEN
Direxion Daily Aerospace & Defense Bull 3X Shares		20.97%156.62%27.07%24.70%6.99%12.72%-70.23%95.09%-32.86%83.64%

Correlation

The correlation between QQQ and DFEN is 0.43, which is low. Their price movements are largely independent, making them effective diversification partners.

Correlation
Correlation (1Y)
Calculated over the trailing 1-year period

0.43

Correlation (3Y)
Calculated over the trailing 3-year period

0.42

Correlation (5Y)
Calculated over the trailing 5-year period

0.50

Correlation (All Time)
Calculated using the full available price history since May 3, 2017

0.49

The correlation between QQQ and DFEN has been stable across timeframes, ranging from 0.42 to 0.50 - a consistent structural relationship.

QQQ vs. DFEN - Sectors Allocation Comparison

Sectors
QQQ
DFEN

Technology

58.7%
0.0%

Communication Services

14.3%

-

Consumer Cyclical

11.4%

-

Consumer Defensive

6.4%

-

Healthcare

3.7%

-

Industrials

2.6%
18.7%

Utilities

1.2%

-

Basic Materials

1.0%

-

Energy

0.5%

-

Financial Services

0.2%

-

Real Estate

0.1%

-

Technology

QQQ
58.7%
DFEN
0.0%

Communication Services

QQQ
14.3%
DFEN

-

Consumer Cyclical

QQQ
11.4%
DFEN

-

Consumer Defensive

QQQ
6.4%
DFEN

-

Healthcare

QQQ
3.7%
DFEN

-

Industrials

QQQ
2.6%
DFEN
18.7%

Utilities

QQQ
1.2%
DFEN

-

Basic Materials

QQQ
1.0%
DFEN

-

Energy

QQQ
0.5%
DFEN

-

Financial Services

QQQ
0.2%
DFEN

-

Real Estate

QQQ
0.1%
DFEN

-

Compare stocks, funds, or ETFs

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Invesco QQQ ETF

Direxion Daily Aerospace & Defense Bull 3X Shares

Often compared with QQQ:
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Often compared with DFEN:
DFEN vs. ITADFEN vs. XARDFEN vs. PPADFEN vs. SOXLDFEN vs. VOODFEN vs. SPXLDFEN vs. EUDF.DE

Return for Risk

QQQ vs. DFEN — Risk / Return Rank

Compare risk-adjusted metric ranks to identify better-performing investments over the past 12 months.
QQQ
QQQ Risk / Return Rank: 7373
Overall Rank
QQQ Sharpe Ratio Rank: 7777
Sharpe Ratio Rank
QQQ Sortino Ratio Rank: 7171
Sortino Ratio Rank
QQQ Omega Ratio Rank: 7373
Omega Ratio Rank
QQQ Calmar Ratio Rank: 7171
Calmar Ratio Rank
QQQ Martin Ratio Rank: 7272
Martin Ratio Rank
DFEN
DFEN Risk / Return Rank: 4040
Overall Rank
DFEN Sharpe Ratio Rank: 4141
Sharpe Ratio Rank
DFEN Sortino Ratio Rank: 4242
Sortino Ratio Rank
DFEN Omega Ratio Rank: 3737
Omega Ratio Rank
DFEN Calmar Ratio Rank: 4646
Calmar Ratio Rank
DFEN Martin Ratio Rank: 3636
Martin Ratio Rank
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.

QQQ vs. DFEN - Risk-Adjusted Trends Comparison

This table presents a comparison of risk-adjusted performance metrics for Invesco QQQ ETF (QQQ) and Direxion Daily Aerospace & Defense Bull 3X Shares (DFEN). 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.

QQQDFENDifference
Sharpe ratioReturn per unit of total volatility
2.32
1.40

+0.92

Sortino ratioReturn per unit of downside risk
3.01
2.04

+0.97

Omega ratioGain probability vs. loss probability

1.41

1.24

+0.17

Calmar ratioReturn relative to maximum drawdown

3.42

2.21

+1.20

Martin ratioReturn relative to average drawdown

12.72

5.08

+7.64

QQQ vs. DFEN - Sharpe Ratio Comparison

The current QQQ Sharpe Ratio is 2.32, which is higher than the DFEN Sharpe Ratio of 1.40. The chart below compares the historical Sharpe Ratios of QQQ and DFEN, calculated using daily returns over the previous 12 months. A higher Sharpe Ratio indicates better risk-adjusted performance relative to the risk-free rate.

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Drawdowns

QQQ vs. DFEN - Drawdown Comparison

The maximum QQQ drawdown since its inception was -82.97%, smaller than the maximum DFEN drawdown of -91.36%. Use the drawdown chart below to compare losses from any high point for QQQ and DFEN.

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Drawdown Indicators

QQQDFENDifference

Max Drawdown

Largest peak-to-trough decline

-82.97%

-91.36%

+8.39%

Max Drawdown (1Y)

Largest decline over 1 year

-11.96%

-41.75%

+29.79%

Max Drawdown (3Y)

Largest decline over 3 years

-22.77%

-43.13%

+20.36%

Max Drawdown (5Y)

Largest decline over 5 years

-35.12%

-55.30%

+20.18%

Max Drawdown (10Y)

Largest decline over 10 years

-35.12%

—

—

Current Drawdown

Current decline from peak

-0.74%

-20.73%

+19.99%

Average Drawdown

Average peak-to-trough decline

-32.73%

-45.15%

+12.42%

Ulcer Index

Depth and duration of drawdowns from previous peaks

3.21%

18.16%

-14.95%

Volatility

QQQ vs. DFEN - Volatility Comparison

The current volatility for Invesco QQQ ETF (QQQ) is 8.58%, while Direxion Daily Aerospace & Defense Bull 3X Shares (DFEN) has a volatility of 25.14%. This indicates that QQQ experiences smaller price fluctuations and is considered to be less risky than DFEN based on this measure. The chart below showcases a comparison of their rolling one-month volatility.

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Volatility by Period

QQQDFENDifference

Volatility (1M)

Calculated over the trailing 1-month period

8.58%

25.14%

-16.56%

Volatility (6M)

Calculated over the trailing 6-month period

14.34%

56.03%

-41.69%

Volatility (1Y)

Calculated over the trailing 1-year period

17.64%

66.17%

-48.53%

Volatility (5Y)

Calculated over the trailing 5-year period, annualized

22.63%

60.80%

-38.17%

Volatility (10Y)

Calculated over the trailing 10-year period, annualized

22.42%

71.64%

-49.22%

QQQ vs. DFEN - Expense Ratio Comparison

QQQ has a 0.18% expense ratio, which is lower than DFEN's 0.96% expense ratio.

Dividends

QQQ vs. DFEN - Dividend Comparison

QQQ's dividend yield for the trailing twelve months is around 0.38%, less than DFEN's 7.38% yield.

PositionTTM20252024202320222021202020192018201720162015
DFEN
Direxion Daily Aerospace & Defense Bull 3X Shares		7.38%8.89%14.12%1.13%0.46%1.89%0.48%0.50%1.07%1.50%0.00%0.00%
QQQ
Invesco QQQ ETF		0.38%0.45%0.56%0.62%0.80%0.43%0.55%0.74%0.91%0.84%1.06%0.99%

Frequently Asked Questions

QQQ and DFEN have a correlation of 0.43, meaning they provide meaningful diversification benefit when combined. Depending on your allocation goals, holding both could reduce overall portfolio risk.

DFEN has higher volatility (25.14%) compared to QQQ (8.58%). In terms of maximum drawdown, QQQ dropped -82.97% vs DFEN's -91.36%.

On 5-year performance, DFEN leads with 33.49% vs 17.37% for QQQ. On fees, QQQ is cheaper at 0.18% per year. On volatility, QQQ has been the lower-risk option at 8.58%. The better choice depends on whether you care most about return, fees, risk, or income.

Over the 5-year period, DFEN has performed better with a 33.49% return vs 17.37%. Past performance does not guarantee future results, so compare this with risk, fees, and fund exposure.

QQQ is cheaper with a 0.18% expense ratio, compared with 0.96% for DFEN.

DFEN has the higher dividend yield at 7.38%, compared with 0.38% for QQQ.

QQQ is categorized as Nasdaq-100, while DFEN is Leveraged Equities. QQQ tracks NASDAQ-100 Index, while DFEN tracks Dow Jones U.S. Select Aerospace & Defense Index (300% Daily). They also come from different issuers: Invesco and Direxion. Their fees differ too: 0.18% for QQQ and 0.96% for DFEN.

QQQ currently has the higher Sharpe Ratio (2.32 vs 1.40), 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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