TECS vs. TSMG

Last updated Jun 5, 2026

TECS (Direxion Daily Technology Bear 3X Shares) and TSMG (Leverage Shares 2X Long TSM Daily ETF) are both Leveraged Equities funds. TECS is passively managed, while TSMG is actively managed. Over the past year, TECS returned -79.89% vs 292.24% for TSMG. At a correlation of -0.69, they often move in opposite directions. TECS charges 1.08%/yr vs 0.75%/yr for TSMG.

Performance

TECS vs. TSMG - Performance Comparison

The chart below illustrates the hypothetical performance of a $10,000 investment in Direxion Daily Technology Bear 3X Shares (TECS) and Leverage Shares 2X Long TSM Daily ETF (TSMG). The values are adjusted to include any dividend payments, if applicable.

Returns By Period

In the year-to-date period, TECS achieves a -62.68% return, which is significantly lower than TSMG's 92.52% return.

TECS

• 1D: 4.57%
• 1M: -38.78%
• YTD: -62.68%
• 6M: -61.81%
• 1Y: -79.89%
• 3Y*: -64.46%
• 5Y*: -58.69%
• 10Y*: -62.30%

TSMG

• 1D: 3.47%
• 1M: 24.82%
• YTD: 92.52%
• 6M: 104.85%
• 1Y: 292.24%
• 3Y*: —
• 5Y*: —
• 10Y*: —

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

TECS vs. TSMG - Yearly Performance Comparison

	2026 (YTD)	2025
TECS Direxion Daily Technology Bear 3X Shares	-62.68%	-64.59%
TSMG Leverage Shares 2X Long TSM Daily ETF	92.52%	76.34%

Correlation

The correlation between TECS and TSMG is -0.65, 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 (1Y) Calculated over the trailing 1-year period	-0.65
Correlation (All Time) Calculated using the full available price history since Jan 15, 2025	-0.69

The correlation between TECS and TSMG has been stable across timeframes, ranging from -0.69 to -0.65 - a consistent structural relationship.

Return for Risk

TECS vs. TSMG — Risk / Return Rank

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

TECS

TECS Risk / Return Rank: 0
TECS Sharpe Ratio Rank: 0
TECS Sortino Ratio Rank: 0
TECS Omega Ratio Rank: 0
TECS Calmar Ratio Rank: 0
TECS Martin Ratio Rank: 0

TSMG

TSMG Risk / Return Rank: 89
TSMG Sharpe Ratio Rank: 96
TSMG Sortino Ratio Rank: 84
TSMG Omega Ratio Rank: 78
TSMG Calmar Ratio Rank: 95
TSMG Martin Ratio Rank: 94

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.

TECS vs. TSMG - Risk-Adjusted Trends Comparison

This table presents a comparison of risk-adjusted performance metrics for Direxion Daily Technology Bear 3X Shares (TECS) and Leverage Shares 2X Long TSM Daily ETF (TSMG). 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.

	TECS	TSMG	Difference
Sharpe ratio: Return per unit of total volatility	-1.28	4.11	-5.39
Sortino ratio: Return per unit of downside risk	-2.97	3.75	-6.72
Omega ratio: Gain probability vs. loss probability	0.69	1.45	-0.76
Calmar ratio: Return relative to maximum drawdown	-0.98	8.34	-9.32
Martin ratio: Return relative to average drawdown	-1.78	27.23	-29.00
Data is calculated on a 1-year rolling basis and updated daily. The trend shows the change in the indicator over the past month.

TECS vs. TSMG - Sharpe Ratio Comparison

The current TECS Sharpe Ratio is -1.28, which is lower than the TSMG Sharpe Ratio of 4.11. The chart below compares the historical Sharpe Ratios of TECS and TSMG, 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

	TECS	TSMG	Difference
Sharpe Ratio (1Y) Calculated over the trailing 1-year period	-1.28	4.11	-5.39
Sharpe Ratio (5Y) Calculated over the trailing 5-year period	-0.79	—	—
Sharpe Ratio (10Y) Calculated over the trailing 10-year period	-0.86	—	—
Sharpe Ratio (All Time) Calculated using the full available price history	-0.89	1.76	-2.65

Drawdowns

TECS vs. TSMG - Drawdown Comparison

The maximum TECS drawdown since its inception was -100.00%, which is greater than TSMG's maximum drawdown of -63.67%. Use the drawdown chart below to compare losses from any high point for TECS and TSMG.

Drawdown Indicators

	TECS	TSMG	Difference
Max Drawdown Largest peak-to-trough decline	-100.00%	-63.67%	-36.33%
Max Drawdown (1Y) Largest decline over 1 year	-81.50%	-35.29%	-46.21%
Max Drawdown (3Y) Largest decline over 3 years	-96.22%	—	—
Max Drawdown (5Y) Largest decline over 5 years	-98.88%	—	—
Max Drawdown (10Y) Largest decline over 10 years	-100.00%	—	—
Current Drawdown Current decline from peak	-100.00%	-0.93%	-99.07%
Average Drawdown Average peak-to-trough decline	-96.76%	-16.94%	-79.82%
Ulcer Index Depth and duration of drawdowns from previous peaks	44.95%	10.79%	+34.16%

Volatility

TECS vs. TSMG - Volatility Comparison

Direxion Daily Technology Bear 3X Shares (TECS) and Leverage Shares 2X Long TSM Daily ETF (TSMG) have volatilities of 22.21% and 22.71%, respectively, indicating that both stocks experience similar levels of price fluctuations. This suggests that the risk associated with both stocks, as measured by volatility, is nearly the same. The chart below showcases a comparison of their rolling one-month volatility.

Volatility by Period

	TECS	TSMG	Difference
Volatility (1M) Calculated over the trailing 1-month period	22.21%	22.71%	-0.50%
Volatility (6M) Calculated over the trailing 6-month period	50.75%	55.10%	-4.35%
Volatility (1Y) Calculated over the trailing 1-year period	62.38%	71.76%	-9.38%
Volatility (5Y) Calculated over the trailing 5-year period, annualized	74.24%	80.99%	-6.75%
Volatility (10Y) Calculated over the trailing 10-year period, annualized	72.17%	80.99%	-8.82%

TECS vs. TSMG - Expense Ratio Comparison

TECS has a 1.08% expense ratio, which is higher than TSMG's 0.75% expense ratio.

Dividends

TECS vs. TSMG - Dividend Comparison

TECS's dividend yield for the trailing twelve months is around 10.43%, more than TSMG's 5.96% yield.

Position	TTM	2025	2024	2023	2022	2021	2020	2019	2018
TECS Direxion Daily Technology Bear 3X Shares	10.43%	5.83%	5.24%	7.52%	0.00%	0.00%	1.50%	2.40%	0.72%
TSMG Leverage Shares 2X Long TSM Daily ETF	5.96%	11.48%	0.00%	0.00%	0.00%	0.00%	0.00%	0.00%	0.00%

Frequently Asked Questions

Can I hold both TECS and TSMG in my portfolio?

TECS and TSMG have a correlation of -0.65, meaning they provide meaningful diversification benefit when combined. Depending on your allocation goals, holding both could reduce overall portfolio risk.

Which is riskier, TECS or TSMG?

TSMG has higher volatility (22.71%) compared to TECS (22.21%). In terms of maximum drawdown, TECS dropped -100.00% vs TSMG's -63.67%.

Which ETF is better, TECS or TSMG?

On 1-year performance, TSMG leads with 292.24% vs -79.89% for TECS. On fees, TSMG is cheaper at 0.75% per year. On volatility, TECS has been the lower-risk option at 22.21%. The better choice depends on whether you care most about return, fees, risk, or income.

Which ETF has performed better, TECS or TSMG?

Over the 1-year period, TSMG has performed better with a 292.24% return vs -79.89%. Past performance does not guarantee future results, so compare this with risk, fees, and fund exposure.

Which ETF is cheaper, TECS or TSMG?

TSMG is cheaper with a 0.75% expense ratio, compared with 1.08% for TECS.

Which ETF pays a higher dividend yield, TECS or TSMG?

TECS has the higher dividend yield at 10.43%, compared with 5.96% for TSMG.

What is the main difference between TECS and TSMG?

They also come from different issuers: Direxion and Leverage Shares. Their fees differ too: 1.08% for TECS and 0.75% for TSMG.

Which has better risk-adjusted returns?

TSMG currently has the higher Sharpe Ratio (4.11 vs -1.28), 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.