STSM vs. QQQY

Last updated Jul 10, 2026

STSM (Defiance Daily Target 2X Short TSM ETF) and QQQY (Defiance Nasdaq 100 Enhanced Options Income ETF) are both exchange-traded funds - STSM is a Leveraged Equities fund tracking the Taiwan Semiconductor Manufacturing Company Limited (TSM), while QQQY is a Nasdaq-100 fund actively managed by Defiance. STSM is passively managed, while QQQY is actively managed. At a correlation of -0.66, they often move in opposite directions. STSM charges 1.31%/yr vs 0.99%/yr for QQQY.

Performance

STSM vs. QQQY - Performance Comparison

The chart below illustrates the hypothetical performance of a $10,000 investment in Defiance Daily Target 2X Short TSM ETF (STSM) and Defiance Nasdaq 100 Enhanced Options Income ETF (QQQY). The values are adjusted to include any dividend payments, if applicable.

Returns By Period

In the year-to-date period, STSM achieves a -65.26% return, which is significantly lower than QQQY's 17.02% return.

STSM

• 1D: -0.01%
• 1M: -13.31%
• 6M: -61.45%
• YTD: -65.26%
• 1Y: —
• 3Y*: —
• 5Y*: —
• 10Y*: —

QQQY

• 1D: 1.57%
• 1M: 3.15%
• 6M: 15.75%
• YTD: 17.02%
• 1Y: 28.37%
• 3Y*: —
• 5Y*: —
• 10Y*: —

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

STSM vs. QQQY - Yearly Performance Comparison

	2026 (YTD)	2025
STSM Defiance Daily Target 2X Short TSM ETF	-65.26%	-19.17%
QQQY Defiance Nasdaq 100 Enhanced Options Income ETF	17.02%	3.11%

Correlation

The correlation between STSM and QQQY is -0.66, 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	-0.66

Return for Risk

STSM vs. QQQY — 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.

QQQY

QQQY Risk / Return Rank: 67
QQQY Sharpe Ratio Rank: 68
QQQY Sortino Ratio Rank: 60
QQQY Omega Ratio Rank: 69
QQQY Calmar Ratio Rank: 65
QQQY Martin Ratio Rank: 71

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. QQQY - Risk-Adjusted Trends Comparison

This table presents a comparison of risk-adjusted performance metrics for Defiance Daily Target 2X Short TSM ETF (STSM) and Defiance Nasdaq 100 Enhanced Options Income ETF (QQQY). 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	QQQY	Difference
Sharpe ratio: Return per unit of total volatility	—	1.73	—
Sortino ratio: Return per unit of downside risk	—	2.26	—
Omega ratio: Gain probability vs. loss probability	—	1.32	—
Calmar ratio: Return relative to maximum drawdown	—	2.56	—
Martin ratio: Return relative to average drawdown	—	10.10	—

Drawdowns

STSM vs. QQQY - Drawdown Comparison

The maximum STSM drawdown since its inception was -76.23%, which is greater than QQQY's maximum drawdown of -19.05%. Use the drawdown chart below to compare losses from any high point for STSM and QQQY.

Drawdown Indicators

	STSM	QQQY	Difference
Max Drawdown Largest peak-to-trough decline	-76.23%	-19.05%	-57.18%
Max Drawdown (1Y) Largest decline over 1 year	—	-11.14%	—
Current Drawdown Current decline from peak	-72.45%	-2.08%	-70.37%
Average Drawdown Average peak-to-trough decline	-45.26%	-2.91%	-42.35%
Ulcer Index Depth and duration of drawdowns from previous peaks	—	2.82%	—

Volatility

Volatility by Period

	STSM	QQQY	Difference
Volatility (1M) Calculated over the trailing 1-month period	—	8.21%	—
Volatility (6M) Calculated over the trailing 6-month period	—	14.40%	—
Volatility (1Y) Calculated over the trailing 1-year period	83.91%	16.46%	+67.45%
Volatility (5Y) Calculated over the trailing 5-year period, annualized	83.91%	15.55%	+68.36%
Volatility (10Y) Calculated over the trailing 10-year period, annualized	83.91%	15.55%	+68.36%

STSM vs. QQQY - Expense Ratio Comparison

STSM has a 1.31% expense ratio, which is higher than QQQY's 0.99% expense ratio.

Dividends

STSM vs. QQQY - Dividend Comparison

STSM has not paid dividends to shareholders, while QQQY's dividend yield for the trailing twelve months is around 36.90%.

Position	TTM	2025	2024	2023
QQQY Defiance Nasdaq 100 Enhanced Options Income ETF	36.90%	45.34%	83.34%	20.64%
STSM Defiance Daily Target 2X Short TSM ETF	0.00%	0.00%	0.00%	0.00%

Frequently Asked Questions

Can I hold both STSM and QQQY in my portfolio?

STSM and QQQY have a correlation of -0.66, 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 QQQY?

On fees, QQQY is cheaper at 0.99% per year. The better choice depends on whether you care most about return, fees, risk, or income.

Which ETF is cheaper, STSM or QQQY?

QQQY is cheaper with a 0.99% expense ratio, compared with 1.31% for STSM.

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

QQQY has the higher dividend yield at 36.90%, compared with 0.00% for STSM.

What is the main difference between STSM and QQQY?

STSM is categorized as Leveraged Equities, while QQQY is Nasdaq-100. Their fees differ too: 1.31% for STSM and 0.99% for QQQY.