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TECL vs. QQQ
Performance
Return for Risk
Drawdowns
Volatility
Dividends

TECL vs. QQQ

Last updated Jun 23, 2026

TECL (Direxion Daily Technology Bull 3X Shares) and QQQ (Invesco QQQ ETF) are both exchange-traded funds - TECL is a Leveraged Equities fund tracking the Technology Select Sector Index (300%), while QQQ is a Nasdaq-100 fund tracking the NASDAQ-100 Index. Both are passively managed. Over the past 10 years, TECL returned 54.55%/yr vs 22.48%/yr for QQQ. With a 0.96 correlation, they move nearly in lockstep. TECL charges 0.91%/yr vs 0.18%/yr for QQQ.

Performance

TECL vs. QQQ - Performance Comparison

The chart below illustrates the hypothetical performance of a $10,000 investment in Direxion Daily Technology Bull 3X Shares (TECL) and Invesco QQQ ETF (QQQ). The values are adjusted to include any dividend payments, if applicable.

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Returns By Period

In the year-to-date period, TECL achieves a 104.37% return, which is significantly higher than QQQ's 20.41% return. Over the past 10 years, TECL has outperformed QQQ with an annualized return of 54.55%, while QQQ has yielded a comparatively lower 22.48% annualized return.

TECL

1D
1.43%
1M
15.41%
YTD
104.37%
6M
98.56%
1Y
218.70%
3Y*
73.29%
5Y*
37.90%
10Y*
54.55%

QQQ

1D
-0.25%
1M
2.96%
YTD
20.41%
6M
19.46%
1Y
40.91%
3Y*
27.47%
5Y*
16.94%
10Y*
22.48%
*Multi-year figures are annualized to reflect compound growth (CAGR)

TECL vs. QQQ - Yearly Performance Comparison

2026 (YTD)202520242023202220212020201920182017
TECL
Direxion Daily Technology Bull 3X Shares		104.37%38.60%36.15%203.14%-74.32%112.80%69.46%185.58%-24.03%124.82%
QQQ
Invesco QQQ ETF		20.41%20.77%25.58%54.86%-32.58%27.42%48.62%38.96%-0.13%32.66%

Correlation

The correlation between TECL and QQQ is 0.93, indicating a strong positive relationship between their price movements. Combining them offers limited diversification - they tend to fall together during downturns.

Correlation
Correlation (1Y)
Calculated over the trailing 1-year period

0.93

Correlation (3Y)
Calculated over the trailing 3-year period

0.95

Correlation (5Y)
Calculated over the trailing 5-year period

0.96

Correlation (10Y)
Calculated over the trailing 10-year period

0.96

Correlation (All Time)
Calculated using the full available price history since Dec 30, 2008

0.96

The correlation between TECL and QQQ has been stable across timeframes, ranging from 0.93 to 0.96 - a consistent structural relationship.

TECL vs. QQQ - Sectors Allocation Comparison

Sectors
TECL
QQQ

Technology

22.4%
58.7%

Energy

0.0%
0.5%

Industrials

0.0%
2.6%

Basic Materials

-

1.0%

Communication Services

-

14.3%

Consumer Cyclical

-

11.4%

Consumer Defensive

-

6.4%

Financial Services

-

0.2%

Healthcare

-

3.7%

Real Estate

-

0.1%

Utilities

-

1.2%

Technology

TECL
22.4%
QQQ
58.7%

Energy

TECL
0.0%
QQQ
0.5%

Industrials

TECL
0.0%
QQQ
2.6%

Basic Materials

TECL

-

QQQ
1.0%

Communication Services

TECL

-

QQQ
14.3%

Consumer Cyclical

TECL

-

QQQ
11.4%

Consumer Defensive

TECL

-

QQQ
6.4%

Financial Services

TECL

-

QQQ
0.2%

Healthcare

TECL

-

QQQ
3.7%

Real Estate

TECL

-

QQQ
0.1%

Utilities

TECL

-

QQQ
1.2%

Compare stocks, funds, or ETFs

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Direxion Daily Technology Bull 3X Shares

Invesco QQQ ETF

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Return for Risk

TECL vs. QQQ — Risk / Return Rank

Compare risk-adjusted metric ranks to identify better-performing investments over the past 12 months.
TECL
TECL Risk / Return Rank: 7878
Overall Rank
TECL Sharpe Ratio Rank: 9393
Sharpe Ratio Rank
TECL Sortino Ratio Rank: 6868
Sortino Ratio Rank
TECL Omega Ratio Rank: 7171
Omega Ratio Rank
TECL Calmar Ratio Rank: 8787
Calmar Ratio Rank
TECL Martin Ratio Rank: 7272
Martin Ratio Rank
QQQ
QQQ Risk / Return Rank: 7272
Overall Rank
QQQ Sharpe Ratio Rank: 7676
Sharpe Ratio Rank
QQQ Sortino Ratio Rank: 7070
Sortino Ratio Rank
QQQ Omega Ratio Rank: 7272
Omega Ratio Rank
QQQ Calmar Ratio Rank: 7070
Calmar Ratio Rank
QQQ Martin Ratio Rank: 7171
Martin Ratio Rank
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.

TECL vs. QQQ - Risk-Adjusted Trends Comparison

This table presents a comparison of risk-adjusted performance metrics for Direxion Daily Technology Bull 3X Shares (TECL) and Invesco QQQ ETF (QQQ). 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.

TECLQQQDifference
Sharpe ratioReturn per unit of total volatility
3.20
2.33

+0.87

Sortino ratioReturn per unit of downside risk
2.98
3.03

-0.05

Omega ratioGain probability vs. loss probability

1.40

1.41

-0.01

Calmar ratioReturn relative to maximum drawdown

4.73

3.44

+1.29

Martin ratioReturn relative to average drawdown

13.09

12.79

+0.30

TECL vs. QQQ - Sharpe Ratio Comparison

The current TECL Sharpe Ratio is 3.20, which is higher than the QQQ Sharpe Ratio of 2.33. The chart below compares the historical Sharpe Ratios of TECL and QQQ, calculated using daily returns over the previous 12 months. A higher Sharpe Ratio indicates better risk-adjusted performance relative to the risk-free rate.

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Drawdowns

TECL vs. QQQ - Drawdown Comparison

The maximum TECL drawdown since its inception was -77.96%, smaller than the maximum QQQ drawdown of -82.97%. Use the drawdown chart below to compare losses from any high point for TECL and QQQ.

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Drawdown Indicators

TECLQQQDifference

Max Drawdown

Largest peak-to-trough decline

-77.96%

-82.97%

+5.01%

Max Drawdown (1Y)

Largest decline over 1 year

-46.58%

-11.96%

-34.62%

Max Drawdown (3Y)

Largest decline over 3 years

-66.58%

-22.77%

-43.81%

Max Drawdown (5Y)

Largest decline over 5 years

-77.96%

-35.12%

-42.84%

Max Drawdown (10Y)

Largest decline over 10 years

-77.96%

-35.12%

-42.84%

Current Drawdown

Current decline from peak

-12.23%

-0.99%

-11.24%

Average Drawdown

Average peak-to-trough decline

-18.38%

-32.73%

+14.35%

Ulcer Index

Depth and duration of drawdowns from previous peaks

16.79%

3.21%

+13.58%

Volatility

TECL vs. QQQ - Volatility Comparison

Direxion Daily Technology Bull 3X Shares (TECL) has a higher volatility of 35.62% compared to Invesco QQQ ETF (QQQ) at 8.47%. This indicates that TECL's price experiences larger fluctuations and is considered to be riskier than QQQ based on this measure. The chart below showcases a comparison of their rolling one-month volatility.

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Volatility by Period

TECLQQQDifference

Volatility (1M)

Calculated over the trailing 1-month period

35.62%

8.47%

+27.15%

Volatility (6M)

Calculated over the trailing 6-month period

57.86%

14.20%

+43.66%

Volatility (1Y)

Calculated over the trailing 1-year period

68.99%

17.67%

+51.32%

Volatility (5Y)

Calculated over the trailing 5-year period, annualized

75.28%

22.64%

+52.64%

Volatility (10Y)

Calculated over the trailing 10-year period, annualized

73.00%

22.43%

+50.57%

TECL vs. QQQ - Expense Ratio Comparison

TECL has a 0.91% expense ratio, which is higher than QQQ's 0.18% expense ratio.

Dividends

TECL vs. QQQ - Dividend Comparison

TECL's dividend yield for the trailing twelve months is around 3.48%, more than QQQ's 0.49% yield.

PositionTTM20252024202320222021202020192018201720162015
QQQ
Invesco QQQ ETF		0.49%0.45%0.56%0.62%0.80%0.43%0.55%0.74%0.91%0.84%1.06%0.99%
TECL
Direxion Daily Technology Bull 3X Shares		3.48%7.19%0.29%0.28%0.22%0.32%0.52%0.25%0.47%0.10%0.00%0.00%

Frequently Asked Questions

With a correlation of 0.93, TECL and QQQ move almost identically. Holding both adds very little diversification - you're essentially doubling your position in the same market segment. Choosing one is usually more capital-efficient.

TECL has higher volatility (35.62%) compared to QQQ (8.47%). In terms of maximum drawdown, TECL dropped -77.96% vs QQQ's -82.97%.

On 10-year performance, TECL leads with 54.55% vs 22.48% for QQQ. On fees, QQQ is cheaper at 0.18% per year. On volatility, QQQ has been the lower-risk option at 8.47%. The better choice depends on whether you care most about return, fees, risk, or income.

Over the 10-year period, TECL has performed better with a 54.55% return vs 22.48%. Past performance does not guarantee future results, so compare this with risk, fees, and fund exposure.

QQQ is cheaper with a 0.18% expense ratio, compared with 0.91% for TECL.

TECL has the higher dividend yield at 3.48%, compared with 0.49% for QQQ.

TECL is categorized as Leveraged Equities, while QQQ is Nasdaq-100. TECL tracks Technology Select Sector Index (300%), while QQQ tracks NASDAQ-100 Index. They also come from different issuers: Direxion and Invesco. Their fees differ too: 0.91% for TECL and 0.18% for QQQ.

TECL currently has the higher Sharpe Ratio (3.20 vs 2.33), 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.

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