SCO vs. ERX

Last updated Jun 3, 2026

SCO (ProShares UltraShort Bloomberg Crude Oil) and ERX (Direxion Daily Energy Bull 2X Shares) are both exchange-traded funds - SCO is a Leveraged Commodities fund tracking the Bloomberg Commodity Balanced WTI Crude Oil Index (-200%), while ERX is a Leveraged Equities fund tracking the Energy Select Sector Index (300%). Both are passively managed. Over the past 10 years, SCO returned -38.52%/yr vs -9.03%/yr for ERX. At a correlation of -0.64, they often move in opposite directions. SCO charges 0.95%/yr vs 1.09%/yr for ERX.

Performance

SCO vs. ERX - Performance Comparison

The chart below illustrates the hypothetical performance of a $10,000 investment in ProShares UltraShort Bloomberg Crude Oil (SCO) and Direxion Daily Energy Bull 2X Shares (ERX). The values are adjusted to include any dividend payments, if applicable.

Returns By Period

In the year-to-date period, SCO achieves a -67.62% return, which is significantly lower than ERX's 62.58% return. Over the past 10 years, SCO has underperformed ERX with an annualized return of -38.52%, while ERX has yielded a comparatively higher -9.03% annualized return.

SCO

• 1D: -2.64%
• 1M: -5.37%
• YTD: -67.62%
• 6M: -66.70%
• 1Y: -67.67%
• 3Y*: -37.37%
• 5Y*: -42.62%
• 10Y*: -38.52%

ERX

• 1D: 2.25%
• 1M: -4.14%
• YTD: 62.58%
• 6M: 61.46%
• 1Y: 90.02%
• 3Y*: 22.61%
• 5Y*: 28.38%
• 10Y*: -9.03%

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

SCO vs. ERX - Yearly Performance Comparison

	2026 (YTD)	2025	2024	2023	2022	2021	2020	2019	2018	2017
SCO ProShares UltraShort Bloomberg Crude Oil	-67.62%	15.90%	-19.00%	-12.41%	-62.59%	-72.62%	-4.20%	-58.50%	19.22%	-22.40%
ERX Direxion Daily Energy Bull 2X Shares	62.58%	2.79%	1.09%	-12.26%	130.58%	111.91%	-91.60%	17.13%	-55.94%	-11.60%

Correlation

The correlation between SCO and ERX is -0.64, meaning they tend to move in opposite directions. This is especially valuable for risk management - when one declines, the other has historically tended to hold steady or rise.

	Correlation
Correlation (1Y) Calculated over the trailing 1-year period	-0.64
Correlation (3Y) Calculated over the trailing 3-year period	-0.62
Correlation (5Y) Calculated over the trailing 5-year period	-0.65
Correlation (10Y) Calculated over the trailing 10-year period	-0.63
Correlation (All Time) Calculated using the full available price history since Nov 26, 2008	-0.64

The correlation between SCO and ERX has been stable across timeframes, ranging from -0.65 to -0.62 - a consistent structural relationship.

Return for Risk

SCO vs. ERX — Risk / Return Rank

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

SCO

SCO Risk / Return Rank: 0
SCO Sharpe Ratio Rank: 1
SCO Sortino Ratio Rank: 0
SCO Omega Ratio Rank: 0
SCO Calmar Ratio Rank: 1
SCO Martin Ratio Rank: 0

ERX

ERX Risk / Return Rank: 62
ERX Sharpe Ratio Rank: 65
ERX Sortino Ratio Rank: 54
ERX Omega Ratio Rank: 51
ERX Calmar Ratio Rank: 78
ERX Martin Ratio Rank: 62

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.

SCO vs. ERX - Risk-Adjusted Trends Comparison

This table presents a comparison of risk-adjusted performance metrics for ProShares UltraShort Bloomberg Crude Oil (SCO) and Direxion Daily Energy Bull 2X Shares (ERX). 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.

	SCO	ERX	Difference
Sharpe ratio Return per unit of total volatility	-1.20	2.20	-3.40
Sortino ratio Return per unit of downside risk	-2.32	2.61	-4.93
Omega ratio Gain probability vs. loss probability	0.75	1.32	-0.57
Calmar ratio Return relative to maximum drawdown	-0.96	4.08	-5.04
Martin ratio Return relative to average drawdown	-2.03	11.16	-13.19
Data is calculated on a 1-year rolling basis and updated daily. The trend shows the change in the indicator over the past month.

SCO vs. ERX - Sharpe Ratio Comparison

The current SCO Sharpe Ratio is -1.20, which is lower than the ERX Sharpe Ratio of 2.20. The chart below compares the historical Sharpe Ratios of SCO and ERX, 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

	SCO	ERX	Difference
Sharpe Ratio (1Y) Calculated over the trailing 1-year period	-1.20	2.20	-3.40
Sharpe Ratio (5Y) Calculated over the trailing 5-year period	-0.72	0.55	-1.27
Sharpe Ratio (10Y) Calculated over the trailing 10-year period	-0.54	-0.13	-0.41
Sharpe Ratio (All Time) Calculated using the full available price history	-0.38	-0.09	-0.29

Drawdowns

SCO vs. ERX - Drawdown Comparison

The maximum SCO drawdown since its inception was -99.80%, roughly equal to the maximum ERX drawdown of -99.54%. Use the drawdown chart below to compare losses from any high point for SCO and ERX.

Drawdown Indicators

	SCO	ERX	Difference
Max Drawdown Largest peak-to-trough decline	-99.80%	-99.54%	-0.26%
Max Drawdown (1Y) Largest decline over 1 year	-72.24%	-23.34%	-48.90%
Max Drawdown (3Y) Largest decline over 3 years	-79.85%	-42.34%	-37.51%
Max Drawdown (5Y) Largest decline over 5 years	-94.80%	-46.90%	-47.90%
Max Drawdown (10Y) Largest decline over 10 years	-99.51%	-98.59%	-0.92%
Current Drawdown Current decline from peak	-99.79%	-91.79%	-8.00%
Average Drawdown Average peak-to-trough decline	-85.17%	-67.01%	-18.16%
Ulcer Index Depth and duration of drawdowns from previous peaks	34.31%	8.52%	+25.79%

Volatility

SCO vs. ERX - Volatility Comparison

ProShares UltraShort Bloomberg Crude Oil (SCO) has a higher volatility of 21.59% compared to Direxion Daily Energy Bull 2X Shares (ERX) at 16.37%. This indicates that SCO's price experiences larger fluctuations and is considered to be riskier than ERX based on this measure. The chart below showcases a comparison of their rolling one-month volatility.

Volatility by Period

	SCO	ERX	Difference
Volatility (1M) Calculated over the trailing 1-month period	21.59%	16.37%	+5.22%
Volatility (6M) Calculated over the trailing 6-month period	45.56%	33.42%	+12.14%
Volatility (1Y) Calculated over the trailing 1-year period	56.87%	41.14%	+15.73%
Volatility (5Y) Calculated over the trailing 5-year period, annualized	59.72%	51.97%	+7.75%
Volatility (10Y) Calculated over the trailing 10-year period, annualized	71.96%	69.19%	+2.77%

SCO vs. ERX - Expense Ratio Comparison

SCO has a 0.95% expense ratio, which is lower than ERX's 1.09% expense ratio.

Dividends

SCO vs. ERX - Dividend Comparison

SCO has not paid dividends to shareholders, while ERX's dividend yield for the trailing twelve months is around 1.65%.

Position	TTM	2025	2024	2023	2022	2021	2020	2019	2018	2017
ERX Direxion Daily Energy Bull 2X Shares	1.65%	2.54%	2.94%	3.17%	2.23%	2.16%	2.35%	1.56%	3.10%	0.85%
SCO ProShares UltraShort Bloomberg Crude Oil	0.00%	0.00%	0.00%	0.00%	0.00%	0.00%	0.00%	0.00%	0.00%	0.00%

Frequently Asked Questions

Can I hold both SCO and ERX in my portfolio?

SCO and ERX have a correlation of -0.64, meaning they provide meaningful diversification benefit when combined. Depending on your allocation goals, holding both could reduce overall portfolio risk.

Which is riskier, SCO or ERX?

SCO has higher volatility (21.59%) compared to ERX (16.37%). In terms of maximum drawdown, SCO dropped -99.80% vs ERX's -99.54%.

Which ETF is better, SCO or ERX?

On 10-year performance, ERX leads with -9.03% vs -38.52% for SCO. On fees, SCO is cheaper at 0.95% per year. On volatility, ERX has been the lower-risk option at 16.37%. The better choice depends on whether you care most about return, fees, risk, or income.

Which ETF has performed better, SCO or ERX?

Over the 10-year period, ERX has performed better with a -9.03% return vs -38.52%. Past performance does not guarantee future results, so compare this with risk, fees, and fund exposure.

Which ETF is cheaper, SCO or ERX?

SCO is cheaper with a 0.95% expense ratio, compared with 1.09% for ERX.

Which ETF pays a higher dividend yield, SCO or ERX?

ERX has the higher dividend yield at 1.65%, compared with 0.00% for SCO.

What is the main difference between SCO and ERX?

SCO is categorized as Leveraged Commodities, while ERX is Leveraged Equities. SCO tracks Bloomberg Commodity Balanced WTI Crude Oil Index (-200%), while ERX tracks Energy Select Sector Index (300%). They also come from different issuers: ProShares and Direxion. Their fees differ too: 0.95% for SCO and 1.09% for ERX.

Which has better risk-adjusted returns?

ERX currently has the higher Sharpe Ratio (2.20 vs -1.20), 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.