STSM vs. MUU

Last updated Jul 21, 2026

STSM (Defiance Daily Target 2X Short TSM ETF) and MUU (Direxion Daily MU Bull 2X Shares) are both Leveraged Equities funds - STSM tracks the Taiwan Semiconductor Manufacturing Company Limited (TSM) while MUU tracks the Micron Technology, Inc. (200% Daily). Both are passively managed. At a correlation of -0.57, they often move in opposite directions. STSM charges 1.31%/yr vs 1.01%/yr for MUU.

Performance

STSM vs. MUU - Performance Comparison

The chart below illustrates the hypothetical performance of a $10,000 investment in Defiance Daily Target 2X Short TSM ETF (STSM) and Direxion Daily MU Bull 2X Shares (MUU). The values are adjusted to include any dividend payments, if applicable.

Returns By Period

In the year-to-date period, STSM achieves a -59.22% return, which is significantly lower than MUU's 465.14% return.

STSM

• 1D: -2.64%
• 1M: 23.61%
• 6M: -47.26%
• YTD: -59.22%
• 1Y: —
• 3Y*: —
• 5Y*: —
• 10Y*: —
• ALL TIME*: —

MUU

• 1D: 3.93%
• 1M: -47.49%
• 6M: 261.86%
• YTD: 465.14%
• 1Y: 2,789.12%
• 3Y*: —
• 5Y*: —
• 10Y*: —
• ALL TIME*: 490.43%

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

STSM vs. MUU - Yearly Performance Comparison

	2026 (YTD)	2025
STSM Defiance Daily Target 2X Short TSM ETF	-59.22%	-19.17%
MUU Direxion Daily MU Bull 2X Shares	465.14%	29.83%

Correlation

The correlation between STSM and MUU is -0.57, 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 (All Time) Calculated using the full available price history since Nov 18, 2025	-0.57

Return for Risk

STSM vs. MUU — Risk / Return Rank

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

STSM

Risk / return metrics aren't available yet — we need at least 12 months of trading data to calculate them.

MUU

MUU Risk / Return Rank: 98
MUU Sharpe Ratio Rank: 100
MUU Sortino Ratio Rank: 97
MUU Omega Ratio Rank: 96
MUU Calmar Ratio Rank: 99
MUU Martin Ratio Rank: 99

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.

STSM vs. MUU - Risk-Adjusted Trends Comparison

This table presents a comparison of risk-adjusted performance metrics for Defiance Daily Target 2X Short TSM ETF (STSM) and Direxion Daily MU Bull 2X Shares (MUU). 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.

	STSM	MUU	Difference
Sharpe ratio: Return per unit of total volatility	—	18.58	—
Sortino ratio: Return per unit of downside risk	—	5.08	—
Omega ratio: Gain probability vs. loss probability	—	1.64	—
Calmar ratio: Return relative to maximum drawdown	—	50.78	—
Martin ratio: Return relative to average drawdown	—	157.91	—

Drawdowns

STSM vs. MUU - Drawdown Comparison

The maximum STSM drawdown since its inception was -76.23%, roughly equal to the maximum MUU drawdown of -75.07%. Use the drawdown chart below to compare losses from any high point for STSM and MUU.

Drawdown Indicators

	STSM	MUU	Difference
Max Drawdown Largest peak-to-trough decline	-76.23%	-75.07%	-1.16%
Max Drawdown (1Y) Largest decline over 1 year	—	-55.69%	—
Current Drawdown Current decline from peak	-67.67%	-53.95%	-13.72%
Average Drawdown Average peak-to-trough decline	-46.28%	-23.76%	-22.52%
Ulcer Index Depth and duration of drawdowns from previous peaks	—	17.89%	—

Volatility

Volatility by Period

	STSM	MUU	Difference
Volatility (1M) Calculated over the trailing 1-month period	—	61.69%	—
Volatility (6M) Calculated over the trailing 6-month period	—	125.21%	—
Volatility (1Y) Calculated over the trailing 1-year period	83.31%	152.49%	-69.18%
Volatility (5Y) Calculated over the trailing 5-year period, annualized	83.31%	142.02%	-58.71%
Volatility (10Y) Calculated over the trailing 10-year period, annualized	83.31%	142.02%	-58.71%

STSM vs. MUU - Expense Ratio Comparison

STSM has a 1.31% expense ratio, which is higher than MUU's 1.01% expense ratio.

Dividends

STSM vs. MUU - Dividend Comparison

STSM has not paid dividends to shareholders, while MUU's dividend yield for the trailing twelve months is around 1.20%.

Position	TTM	2025	2024
MUU Direxion Daily MU Bull 2X Shares	1.20%	4.27%	0.31%
STSM Defiance Daily Target 2X Short TSM ETF	0.00%	0.00%	0.00%

Frequently Asked Questions

Can I hold both STSM and MUU in my portfolio?

STSM and MUU have a correlation of -0.57, meaning they provide meaningful diversification benefit when combined. Depending on your allocation goals, holding both could reduce overall portfolio risk.

Which ETF is better, STSM or MUU?

On fees, MUU is cheaper at 1.01% per year. The better choice depends on whether you care most about return, fees, risk, or income.

Which ETF is cheaper, STSM or MUU?

MUU is cheaper with a 1.01% expense ratio, compared with 1.31% for STSM.

Which ETF pays a higher dividend yield, STSM or MUU?

MUU has the higher dividend yield at 1.20%, compared with 0.00% for STSM.

What is the main difference between STSM and MUU?

STSM tracks Taiwan Semiconductor Manufacturing Company Limited (TSM), while MUU tracks Micron Technology, Inc. (200% Daily). They also come from different issuers: Defiance and Direxion. Their fees differ too: 1.31% for STSM and 1.01% for MUU.