SOXL vs. DFEN

Last updated Jun 4, 2026

SOXL (Direxion Daily Semiconductor Bull 3X ETF) and DFEN (Direxion Daily Aerospace & Defense Bull 3X Shares) are both Leveraged Equities funds from Direxion - SOXL tracks the ICE Semiconductor Index while DFEN tracks the Dow Jones U.S. Select Aerospace & Defense Index (300%). Both are passively managed. Over the past 5 years, SOXL returned 48.72%/yr vs 26.54%/yr for DFEN. At a 0.47 correlation, their price movements are largely independent. SOXL charges 0.75%/yr vs 0.99%/yr for DFEN.

Performance

SOXL vs. DFEN - Performance Comparison

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

Returns By Period

In the year-to-date period, SOXL achieves a 567.48% return, which is significantly higher than DFEN's 2.17% return.

SOXL

• 1D: 5.34%
• 1M: 119.95%
• YTD: 567.48%
• 6M: 502.28%
• 1Y: 1,438.30%
• 3Y*: 135.13%
• 5Y*: 48.72%
• 10Y*: 65.39%

DFEN

• 1D: -4.54%
• 1M: 12.97%
• YTD: 2.17%
• 6M: 21.41%
• 1Y: 59.57%
• 3Y*: 63.19%
• 5Y*: 26.54%
• 10Y*: —

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

SOXL vs. DFEN - Yearly Performance Comparison

	2026 (YTD)	2025	2024	2023	2022	2021	2020	2019	2018	2017
SOXL Direxion Daily Semiconductor Bull 3X ETF	567.48%	54.91%	-12.31%	226.98%	-85.66%	118.84%	70.04%	231.83%	-39.07%	79.29%
DFEN Direxion Daily Aerospace & Defense Bull 3X Shares	2.17%	156.62%	27.07%	24.70%	6.99%	12.72%	-70.23%	95.09%	-32.86%	83.64%

Correlation

The correlation between SOXL and DFEN is 0.37, which is low. Their price movements are largely independent, making them effective diversification partners.

	Correlation
Correlation (1Y) Calculated over the trailing 1-year period	0.37
Correlation (3Y) Calculated over the trailing 3-year period	0.37
Correlation (5Y) Calculated over the trailing 5-year period	0.45
Correlation (All Time) Calculated using the full available price history since May 4, 2017	0.47

The correlation between SOXL and DFEN shifts across timeframes, from 0.37 (3 years) to 0.47 (all time), reflecting how their relationship changes across market environments.

SOXL vs. DFEN - Sectors Allocation Comparison

Sectors	SOXL	DFEN
Technology	100.0%	0.0%
Basic Materials	-	-
Communication Services	-	-
Consumer Cyclical	-	-
Consumer Defensive	-	-
Energy	-	-
Financial Services	-	-
Healthcare	-	-
Industrials	-	19.7%
Real Estate	-	-
Utilities	-	-

Return for Risk

SOXL vs. DFEN — Risk / Return Rank

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

SOXL

SOXL Risk / Return Rank: 97
SOXL Sharpe Ratio Rank: 100
SOXL Sortino Ratio Rank: 95
SOXL Omega Ratio Rank: 95
SOXL Calmar Ratio Rank: 99
SOXL Martin Ratio Rank: 99

DFEN

DFEN Risk / Return Rank: 27
DFEN Sharpe Ratio Rank: 26
DFEN Sortino Ratio Rank: 29
DFEN Omega Ratio Rank: 27
DFEN Calmar Ratio Rank: 29
DFEN Martin Ratio Rank: 25

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.

SOXL vs. DFEN - Risk-Adjusted Trends Comparison

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

	SOXL	DFEN	Difference
Sharpe ratio: Return per unit of total volatility	14.28	0.95	+13.34
Sortino ratio: Return per unit of downside risk	5.17	1.59	+3.58
Omega ratio: Gain probability vs. loss probability	1.72	1.19	+0.53
Calmar ratio: Return relative to maximum drawdown	33.47	1.43	+32.04
Martin ratio: Return relative to average drawdown	114.79	3.44	+111.35
Data is calculated on a 1-year rolling basis and updated daily. The trend shows the change in the indicator over the past month.

SOXL vs. DFEN - Sharpe Ratio Comparison

The current SOXL Sharpe Ratio is 14.28, which is higher than the DFEN Sharpe Ratio of 0.95. The chart below compares the historical Sharpe Ratios of SOXL 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.

Sharpe Ratios by Period

	SOXL	DFEN	Difference
Sharpe Ratio (1Y) Calculated over the trailing 1-year period	14.28	0.95	+13.34
Sharpe Ratio (5Y) Calculated over the trailing 5-year period	0.46	0.44	+0.01
Sharpe Ratio (10Y) Calculated over the trailing 10-year period	0.66	—	—
Sharpe Ratio (All Time) Calculated using the full available price history	0.52	0.21	+0.30

Drawdowns

SOXL vs. DFEN - Drawdown Comparison

The maximum SOXL drawdown since its inception was -90.46%, roughly equal to the maximum DFEN drawdown of -91.36%. Use the drawdown chart below to compare losses from any high point for SOXL and DFEN.

Drawdown Indicators

	SOXL	DFEN	Difference
Max Drawdown Largest peak-to-trough decline	-90.46%	-91.36%	+0.90%
Max Drawdown (1Y) Largest decline over 1 year	-43.47%	-41.75%	-1.72%
Max Drawdown (3Y) Largest decline over 3 years	-87.88%	-43.13%	-44.75%
Max Drawdown (5Y) Largest decline over 5 years	-90.46%	-56.23%	-34.23%
Max Drawdown (10Y) Largest decline over 10 years	-90.46%	—	—
Current Drawdown Current decline from peak	0.00%	-33.04%	+33.04%
Average Drawdown Average peak-to-trough decline	-35.01%	-45.27%	+10.26%
Ulcer Index Depth and duration of drawdowns from previous peaks	12.65%	17.36%	-4.71%

Volatility

SOXL vs. DFEN - Volatility Comparison

Direxion Daily Semiconductor Bull 3X ETF (SOXL) has a higher volatility of 40.82% compared to Direxion Daily Aerospace & Defense Bull 3X Shares (DFEN) at 22.35%. This indicates that SOXL's price experiences larger fluctuations and is considered to be riskier than DFEN based on this measure. The chart below showcases a comparison of their rolling one-month volatility.

Volatility by Period

	SOXL	DFEN	Difference
Volatility (1M) Calculated over the trailing 1-month period	40.82%	22.35%	+18.47%
Volatility (6M) Calculated over the trailing 6-month period	81.29%	53.06%	+28.23%
Volatility (1Y) Calculated over the trailing 1-year period	102.11%	63.21%	+38.90%
Volatility (5Y) Calculated over the trailing 5-year period, annualized	107.25%	60.16%	+47.09%
Volatility (10Y) Calculated over the trailing 10-year period, annualized	99.04%	71.48%	+27.56%

SOXL vs. DFEN - Expense Ratio Comparison

SOXL has a 0.75% expense ratio, which is lower than DFEN's 0.99% expense ratio.

Dividends

SOXL vs. DFEN - Dividend Comparison

SOXL's dividend yield for the trailing twelve months is around 0.03%, less than DFEN's 8.74% yield.

Position	TTM	2025	2024	2023	2022	2021	2020	2019	2018	2017	2016
DFEN Direxion Daily Aerospace & Defense Bull 3X Shares	8.74%	8.89%	14.12%	1.13%	0.46%	1.89%	0.48%	0.50%	1.07%	1.50%	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 SOXL and DFEN in my portfolio?

SOXL and DFEN have a correlation of 0.37, meaning they provide meaningful diversification benefit when combined. Depending on your allocation goals, holding both could reduce overall portfolio risk.

Which is riskier, SOXL or DFEN?

SOXL has higher volatility (40.82%) compared to DFEN (22.35%). In terms of maximum drawdown, SOXL dropped -90.46% vs DFEN's -91.36%.

Which ETF is better, SOXL or DFEN?

On 5-year performance, SOXL leads with 48.72% vs 26.54% for DFEN. On fees, SOXL is cheaper at 0.75% per year. On volatility, DFEN has been the lower-risk option at 22.35%. The better choice depends on whether you care most about return, fees, risk, or income.

Which ETF has performed better, SOXL or DFEN?

Over the 5-year period, SOXL has performed better with a 48.72% return vs 26.54%. Past performance does not guarantee future results, so compare this with risk, fees, and fund exposure.

Which ETF is cheaper, SOXL or DFEN?

SOXL is cheaper with a 0.75% expense ratio, compared with 0.99% for DFEN.

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

DFEN has the higher dividend yield at 8.74%, compared with 0.03% for SOXL.

What is the main difference between SOXL and DFEN?

SOXL tracks ICE Semiconductor Index, while DFEN tracks Dow Jones U.S. Select Aerospace & Defense Index (300%). Their fees differ too: 0.75% for SOXL and 0.99% for DFEN.

Which has better risk-adjusted returns?

SOXL currently has the higher Sharpe Ratio (14.28 vs 0.95), 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.