SMHB vs. SOXL

Last updated Jun 24, 2026

SMHB (ETRACS 2xMonthly Pay Leveraged US Small Cap High Dividend ETN Series B) and SOXL (Direxion Daily Semiconductor Bull 3X ETF) are both Leveraged Equities funds - SMHB tracks the Solactive US Small Cap High Dividend Index (200%) while SOXL tracks the ICE Semiconductor Index. Both are passively managed. Over the past 5 years, SMHB returned -6.82%/yr vs 42.16%/yr for SOXL. At a 0.43 correlation, their price movements are largely independent. SMHB charges 0.85%/yr vs 0.75%/yr for SOXL.

Performance

SMHB vs. SOXL - Performance Comparison

The chart below illustrates the hypothetical performance of a $10,000 investment in ETRACS 2xMonthly Pay Leveraged US Small Cap High Dividend ETN Series B (SMHB) 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, SMHB achieves a 7.31% return, which is significantly lower than SOXL's 450.61% return.

SMHB

• 1D: 1.24%
• 1M: 0.69%
• YTD: 7.31%
• 6M: 8.42%
• 1Y: 5.50%
• 3Y*: 9.13%
• 5Y*: -6.82%
• 10Y*: —

SOXL

• 1D: -23.06%
• 1M: 21.44%
• YTD: 450.61%
• 6M: 429.57%
• 1Y: 976.09%
• 3Y*: 120.84%
• 5Y*: 42.16%
• 10Y*: 64.56%

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

SMHB vs. SOXL - Yearly Performance Comparison

	2026 (YTD)	2025	2024	2023	2022	2021	2020	2019	2018
SMHB ETRACS 2xMonthly Pay Leveraged US Small Cap High Dividend ETN Series B	7.31%	-7.75%	-15.85%	35.96%	-36.03%	68.86%	-43.21%	13.05%	-24.78%
SOXL Direxion Daily Semiconductor Bull 3X ETF	450.61%	54.91%	-12.31%	226.98%	-85.66%	118.84%	70.04%	231.83%	-12.84%

Correlation

The correlation between SMHB and SOXL is 0.19, which is low. Their price movements are largely independent, making them effective diversification partners.

	Correlation
Correlation (1Y) Calculated over the trailing 1-year period	0.19
Correlation (3Y) Calculated over the trailing 3-year period	0.31
Correlation (5Y) Calculated over the trailing 5-year period	0.43
Correlation (All Time) Calculated using the full available price history since Nov 14, 2018	0.43

Over the past year, the correlation between SMHB and SOXL has dropped to 0.19 - well below their long-term average of 0.43, suggesting their price drivers have been diverging.

Return for Risk

SMHB vs. SOXL — Risk / Return Rank

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

SMHB

SMHB Risk / Return Rank: 11
SMHB Sharpe Ratio Rank: 11
SMHB Sortino Ratio Rank: 12
SMHB Omega Ratio Rank: 11
SMHB Calmar Ratio Rank: 11
SMHB Martin Ratio Rank: 11

SOXL

SOXL Risk / Return Rank: 96
SOXL Sharpe Ratio Rank: 99
SOXL Sortino Ratio Rank: 90
SOXL Omega Ratio Rank: 92
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.

SMHB vs. SOXL - Risk-Adjusted Trends Comparison

This table presents a comparison of risk-adjusted performance metrics for ETRACS 2xMonthly Pay Leveraged US Small Cap High Dividend ETN Series B (SMHB) 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.

	SMHB	SOXL	Difference
Sharpe ratio: Return per unit of total volatility	0.14	8.45	-8.30
Sortino ratio: Return per unit of downside risk	0.48	4.03	-3.55
Omega ratio: Gain probability vs. loss probability	1.06	1.58	-0.52
Calmar ratio: Return relative to maximum drawdown	0.22	22.69	-22.47
Martin ratio: Return relative to average drawdown	0.53	72.83	-72.30

SMHB vs. SOXL - Sharpe Ratio Comparison

The current SMHB Sharpe Ratio is 0.14, which is lower than the SOXL Sharpe Ratio of 8.45. The chart below compares the historical Sharpe Ratios of SMHB 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

SMHB vs. SOXL - Drawdown Comparison

The maximum SMHB drawdown since its inception was -90.30%, roughly equal to the maximum SOXL drawdown of -90.46%. Use the drawdown chart below to compare losses from any high point for SMHB and SOXL.

Drawdown Indicators

	SMHB	SOXL	Difference
Max Drawdown Largest peak-to-trough decline	-90.30%	-90.46%	+0.16%
Max Drawdown (1Y) Largest decline over 1 year	-25.16%	-43.47%	+18.31%
Max Drawdown (3Y) Largest decline over 3 years	-45.05%	-87.88%	+42.83%
Max Drawdown (5Y) Largest decline over 5 years	-58.11%	-90.46%	+32.35%
Max Drawdown (10Y) Largest decline over 10 years	—	-90.46%	—
Current Drawdown Current decline from peak	-40.93%	-23.06%	-17.87%
Average Drawdown Average peak-to-trough decline	-37.21%	-34.95%	-2.26%
Ulcer Index Depth and duration of drawdowns from previous peaks	10.47%	13.52%	-3.05%

Volatility

SMHB vs. SOXL - Volatility Comparison

The current volatility for ETRACS 2xMonthly Pay Leveraged US Small Cap High Dividend ETN Series B (SMHB) is 8.17%, while Direxion Daily Semiconductor Bull 3X ETF (SOXL) has a volatility of 68.39%. This indicates that SMHB 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

	SMHB	SOXL	Difference
Volatility (1M) Calculated over the trailing 1-month period	8.17%	68.39%	-60.22%
Volatility (6M) Calculated over the trailing 6-month period	24.75%	99.84%	-75.09%
Volatility (1Y) Calculated over the trailing 1-year period	38.33%	116.79%	-78.46%
Volatility (5Y) Calculated over the trailing 5-year period, annualized	48.92%	110.35%	-61.43%
Volatility (10Y) Calculated over the trailing 10-year period, annualized	66.13%	100.62%	-34.49%

SMHB vs. SOXL - Expense Ratio Comparison

SMHB has a 0.85% expense ratio, which is higher than SOXL's 0.75% expense ratio.

Dividends

SMHB vs. SOXL - Dividend Comparison

SMHB's dividend yield for the trailing twelve months is around 21.04%, more than SOXL's 0.03% yield.

Position	TTM	2025	2024	2023	2022	2021	2020	2019	2018	2017	2016
SMHB ETRACS 2xMonthly Pay Leveraged US Small Cap High Dividend ETN Series B	21.04%	22.22%	21.95%	15.27%	24.18%	12.22%	16.86%	19.97%	0.91%	0.00%	0.00%
SOXL Direxion Daily Semiconductor Bull 3X ETF	0.03%	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 SMHB and SOXL in my portfolio?

SMHB and SOXL have a correlation of 0.19, meaning they provide meaningful diversification benefit when combined. Depending on your allocation goals, holding both could reduce overall portfolio risk.

Which is riskier, SMHB or SOXL?

SOXL has higher volatility (68.39%) compared to SMHB (8.17%). In terms of maximum drawdown, SMHB dropped -90.30% vs SOXL's -90.46%.

Which ETF is better, SMHB or SOXL?

On 5-year performance, SOXL leads with 42.16% vs -6.82% for SMHB. On fees, SOXL is cheaper at 0.75% per year. On volatility, SMHB has been the lower-risk option at 8.17%. The better choice depends on whether you care most about return, fees, risk, or income.

Which ETF has performed better, SMHB or SOXL?

Over the 5-year period, SOXL has performed better with a 42.16% return vs -6.82%. Past performance does not guarantee future results, so compare this with risk, fees, and fund exposure.

Which ETF is cheaper, SMHB or SOXL?

SOXL is cheaper with a 0.75% expense ratio, compared with 0.85% for SMHB.

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

SMHB has the higher dividend yield at 21.04%, compared with 0.03% for SOXL.

What is the main difference between SMHB and SOXL?

SMHB tracks Solactive US Small Cap High Dividend Index (200%), while SOXL tracks ICE Semiconductor Index. They also come from different issuers: UBS and Direxion. Their fees differ too: 0.85% for SMHB and 0.75% for SOXL.

Which has better risk-adjusted returns?

SOXL currently has the higher Sharpe Ratio (8.45 vs 0.14), 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.