QQQD vs. SEF

Last updated Jun 4, 2026

QQQD (Direxion Daily Magnificent 7 Bear 1X Shares) and SEF (ProShares Short Financials) are both Inverse Equities funds - QQQD tracks the Indxx Magnificent 7 Index (-100%) while SEF tracks the Dow Jones U.S. Financials Index (-100%). Both are passively managed. Over the past year, QQQD returned -21.80% vs 3.73% for SEF. At a 0.32 correlation, their price movements are largely independent. QQQD charges 0.57%/yr vs 0.95%/yr for SEF.

Performance

QQQD vs. SEF - Performance Comparison

The chart below illustrates the hypothetical performance of a $10,000 investment in Direxion Daily Magnificent 7 Bear 1X Shares (QQQD) and ProShares Short Financials (SEF). The values are adjusted to include any dividend payments, if applicable.

Returns By Period

In the year-to-date period, QQQD achieves a -2.89% return, which is significantly lower than SEF's 8.89% return.

QQQD

• 1D: 1.38%
• 1M: -1.88%
• YTD: -2.89%
• 6M: -2.43%
• 1Y: -21.80%
• 3Y*: —
• 5Y*: —
• 10Y*: —

SEF

• 1D: 1.10%
• 1M: 1.81%
• YTD: 8.89%
• 6M: 6.43%
• 1Y: 3.73%
• 3Y*: -10.34%
• 5Y*: -5.21%
• 10Y*: -11.50%

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

QQQD vs. SEF - Yearly Performance Comparison

	2026 (YTD)	2025	2024
QQQD Direxion Daily Magnificent 7 Bear 1X Shares	-2.89%	-20.32%	-27.69%
SEF ProShares Short Financials	8.89%	-9.82%	-12.58%

Correlation

The correlation between QQQD and SEF is 0.34, which is low. Their price movements are largely independent, making them effective diversification partners.

	Correlation
Correlation (1Y) Calculated over the trailing 1-year period	0.34
Correlation (All Time) Calculated using the full available price history since Mar 8, 2024	0.32

Return for Risk

QQQD vs. SEF — Risk / Return Rank

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

QQQD

QQQD Risk / Return Rank: 2
QQQD Sharpe Ratio Rank: 1
QQQD Sortino Ratio Rank: 1
QQQD Omega Ratio Rank: 2
QQQD Calmar Ratio Rank: 2
QQQD Martin Ratio Rank: 3

SEF

SEF Risk / Return Rank: 12
SEF Sharpe Ratio Rank: 12
SEF Sortino Ratio Rank: 12
SEF Omega Ratio Rank: 12
SEF Calmar Ratio Rank: 13
SEF Martin Ratio Rank: 12

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.

QQQD vs. SEF - Risk-Adjusted Trends Comparison

This table presents a comparison of risk-adjusted performance metrics for Direxion Daily Magnificent 7 Bear 1X Shares (QQQD) and ProShares Short Financials (SEF). 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.

	QQQD	SEF	Difference
Sharpe ratio Return per unit of total volatility	-1.08	0.26	-1.34
Sortino ratio Return per unit of downside risk	-1.55	0.50	-2.05
Omega ratio Gain probability vs. loss probability	0.83	1.06	-0.22
Calmar ratio Return relative to maximum drawdown	-0.82	0.39	-1.21
Martin ratio Return relative to average drawdown	-1.23	0.73	-1.96
Data is calculated on a 1-year rolling basis and updated daily. The trend shows the change in the indicator over the past month.

QQQD vs. SEF - Sharpe Ratio Comparison

The current QQQD Sharpe Ratio is -1.08, which is lower than the SEF Sharpe Ratio of 0.26. The chart below compares the historical Sharpe Ratios of QQQD and SEF, 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

	QQQD	SEF	Difference
Sharpe Ratio (1Y) Calculated over the trailing 1-year period	-1.08	0.26	-1.34
Sharpe Ratio (5Y) Calculated over the trailing 5-year period	—	-0.29	—
Sharpe Ratio (10Y) Calculated over the trailing 10-year period	—	-0.56	—
Sharpe Ratio (All Time) Calculated using the full available price history	-0.86	-0.49	-0.37

Drawdowns

QQQD vs. SEF - Drawdown Comparison

The maximum QQQD drawdown since its inception was -49.47%, smaller than the maximum SEF drawdown of -96.51%. Use the drawdown chart below to compare losses from any high point for QQQD and SEF.

Drawdown Indicators

	QQQD	SEF	Difference
Max Drawdown Largest peak-to-trough decline	-49.47%	-96.51%	+47.04%
Max Drawdown (1Y) Largest decline over 1 year	-26.65%	-9.72%	-16.93%
Max Drawdown (3Y) Largest decline over 3 years	—	-39.40%	—
Max Drawdown (5Y) Largest decline over 5 years	—	-41.62%	—
Max Drawdown (10Y) Largest decline over 10 years	—	-75.66%	—
Current Drawdown Current decline from peak	-47.50%	-96.09%	+48.59%
Average Drawdown Average peak-to-trough decline	-30.34%	-82.72%	+52.38%
Ulcer Index Depth and duration of drawdowns from previous peaks	17.72%	5.14%	+12.58%

Volatility

QQQD vs. SEF - Volatility Comparison

Direxion Daily Magnificent 7 Bear 1X Shares (QQQD) has a higher volatility of 4.76% compared to ProShares Short Financials (SEF) at 3.01%. This indicates that QQQD's price experiences larger fluctuations and is considered to be riskier than SEF based on this measure. The chart below showcases a comparison of their rolling one-month volatility.

Volatility by Period

	QQQD	SEF	Difference
Volatility (1M) Calculated over the trailing 1-month period	4.76%	3.01%	+1.75%
Volatility (6M) Calculated over the trailing 6-month period	14.43%	10.85%	+3.58%
Volatility (1Y) Calculated over the trailing 1-year period	20.21%	14.34%	+5.87%
Volatility (5Y) Calculated over the trailing 5-year period, annualized	26.77%	17.96%	+8.81%
Volatility (10Y) Calculated over the trailing 10-year period, annualized	26.77%	20.52%	+6.25%

QQQD vs. SEF - Expense Ratio Comparison

QQQD has a 0.57% expense ratio, which is lower than SEF's 0.95% expense ratio.

Dividends

QQQD vs. SEF - Dividend Comparison

QQQD's dividend yield for the trailing twelve months is around 4.07%, more than SEF's 3.35% yield.

Position	TTM	2025	2024	2023	2022	2021	2020	2019	2018
QQQD Direxion Daily Magnificent 7 Bear 1X Shares	4.07%	4.33%	5.17%	0.00%	0.00%	0.00%	0.00%	0.00%	0.00%
SEF ProShares Short Financials	3.35%	4.33%	5.72%	4.43%	0.39%	0.00%	0.12%	1.25%	0.41%

Frequently Asked Questions

Can I hold both QQQD and SEF in my portfolio?

QQQD and SEF have a correlation of 0.34, meaning they provide meaningful diversification benefit when combined. Depending on your allocation goals, holding both could reduce overall portfolio risk.

Which is riskier, QQQD or SEF?

QQQD has higher volatility (4.76%) compared to SEF (3.01%). In terms of maximum drawdown, QQQD dropped -49.47% vs SEF's -96.51%.

Which ETF is better, QQQD or SEF?

On 1-year performance, SEF leads with 3.73% vs -21.80% for QQQD. On fees, QQQD is cheaper at 0.57% per year. On volatility, SEF has been the lower-risk option at 3.01%. The better choice depends on whether you care most about return, fees, risk, or income.

Which ETF has performed better, QQQD or SEF?

Over the 1-year period, SEF has performed better with a 3.73% return vs -21.80%. Past performance does not guarantee future results, so compare this with risk, fees, and fund exposure.

Which ETF is cheaper, QQQD or SEF?

QQQD is cheaper with a 0.57% expense ratio, compared with 0.95% for SEF.

Which ETF pays a higher dividend yield, QQQD or SEF?

QQQD has the higher dividend yield at 4.07%, compared with 3.35% for SEF.

What is the main difference between QQQD and SEF?

QQQD tracks Indxx Magnificent 7 Index (-100%), while SEF tracks Dow Jones U.S. Financials Index (-100%). They also come from different issuers: Direxion and ProShares. Their fees differ too: 0.57% for QQQD and 0.95% for SEF.

Which has better risk-adjusted returns?

SEF currently has the higher Sharpe Ratio (0.26 vs -1.08), 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.