TSMX vs. TSM

Last updated Jun 24, 2026

TSMX (Direxion Daily TSM Bull 2X Shares) is Leveraged Equities fund actively managed by Direxion, while TSM (Taiwan Semiconductor Manufacturing Company Limited) is a stock. Over the past year, TSMX returned 240.03% vs 109.75% for TSM. With a 1.00 correlation, they move nearly in lockstep.

Performance

TSMX vs. TSM - Performance Comparison

The chart below illustrates the hypothetical performance of a $10,000 investment in Direxion Daily TSM Bull 2X Shares (TSMX) and Taiwan Semiconductor Manufacturing Company Limited (TSM). The values are adjusted to include any dividend payments, if applicable.

Returns By Period

In the year-to-date period, TSMX achieves a 80.35% return, which is significantly higher than TSM's 44.34% return.

TSMX

• 1D: -13.50%
• 1M: 12.92%
• YTD: 80.35%
• 6M: 88.28%
• 1Y: 240.03%
• 3Y*: —
• 5Y*: —
• 10Y*: —

TSM

• 1D: -6.69%
• 1M: 8.13%
• YTD: 44.34%
• 6M: 47.71%
• 1Y: 109.75%
• 3Y*: 64.69%
• 5Y*: 32.19%
• 10Y*: 36.14%

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

TSMX vs. TSM - Yearly Performance Comparison

	2026 (YTD)	2025	2024
TSMX Direxion Daily TSM Bull 2X Shares	80.35%	81.48%	16.84%
TSM Taiwan Semiconductor Manufacturing Company Limited	44.34%	55.91%	12.69%

Correlation

The correlation between TSMX and TSM is 1.00 - these two move nearly in lockstep. At this level, holding both provides almost no diversification benefit. If you already own one, adding the other does little to reduce portfolio risk.

	Correlation
Correlation (1Y) Calculated over the trailing 1-year period	1.00
Correlation (All Time) Calculated using the full available price history since Oct 3, 2024	1.00

The correlation between TSMX and TSM has been stable across timeframes, ranging from 1.00 to 1.00 - a consistent structural relationship.

Return for Risk

TSMX vs. TSM — Risk / Return Rank

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

TSMX

TSMX Risk / Return Rank: 85
TSMX Sharpe Ratio Rank: 93
TSMX Sortino Ratio Rank: 75
TSMX Omega Ratio Rank: 69
TSMX Calmar Ratio Rank: 94
TSMX Martin Ratio Rank: 92

TSM

TSM Risk / Return Rank: 93
TSM Sharpe Ratio Rank: 95
TSM Sortino Ratio Rank: 92
TSM Omega Ratio Rank: 90
TSM Calmar Ratio Rank: 94
TSM Martin Ratio Rank: 96

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.

TSMX vs. TSM - Risk-Adjusted Trends Comparison

This table presents a comparison of risk-adjusted performance metrics for Direxion Daily TSM Bull 2X Shares (TSMX) and Taiwan Semiconductor Manufacturing Company Limited (TSM). 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.

	TSMX	TSM	Difference
Sharpe ratio: Return per unit of total volatility	3.15	2.89	+0.26
Sortino ratio: Return per unit of downside risk	3.15	3.41	-0.25
Omega ratio: Gain probability vs. loss probability	1.39	1.42	-0.03
Calmar ratio: Return relative to maximum drawdown	6.92	6.08	+0.84
Martin ratio: Return relative to average drawdown	22.13	21.46	+0.67

TSMX vs. TSM - Sharpe Ratio Comparison

The current TSMX Sharpe Ratio is 3.15, which is comparable to the TSM Sharpe Ratio of 2.89. The chart below compares the historical Sharpe Ratios of TSMX and TSM, calculated using daily returns over the previous 12 months. A higher Sharpe Ratio indicates better risk-adjusted performance relative to the risk-free rate.

Drawdowns

TSMX vs. TSM - Drawdown Comparison

The maximum TSMX drawdown since its inception was -63.80%, smaller than the maximum TSM drawdown of -89.08%. Use the drawdown chart below to compare losses from any high point for TSMX and TSM.

Drawdown Indicators

	TSMX	TSM	Difference
Max Drawdown Largest peak-to-trough decline	-63.80%	-89.08%	+25.28%
Max Drawdown (1Y) Largest decline over 1 year	-34.93%	-18.14%	-16.79%
Max Drawdown (3Y) Largest decline over 3 years	—	-36.82%	—
Max Drawdown (5Y) Largest decline over 5 years	—	-56.47%	—
Max Drawdown (10Y) Largest decline over 10 years	—	-56.47%	—
Current Drawdown Current decline from peak	-13.50%	-6.69%	-6.81%
Average Drawdown Average peak-to-trough decline	-15.59%	-42.81%	+27.22%
Ulcer Index Depth and duration of drawdowns from previous peaks	10.90%	5.13%	+5.77%

Volatility

TSMX vs. TSM - Volatility Comparison

Direxion Daily TSM Bull 2X Shares (TSMX) has a higher volatility of 33.01% compared to Taiwan Semiconductor Manufacturing Company Limited (TSM) at 16.35%. This indicates that TSMX's price experiences larger fluctuations and is considered to be riskier than TSM based on this measure. The chart below showcases a comparison of their rolling one-month volatility.

Volatility by Period

	TSMX	TSM	Difference
Volatility (1M) Calculated over the trailing 1-month period	33.01%	16.35%	+16.66%
Volatility (6M) Calculated over the trailing 6-month period	60.15%	29.96%	+30.19%
Volatility (1Y) Calculated over the trailing 1-year period	76.69%	38.15%	+38.54%
Volatility (5Y) Calculated over the trailing 5-year period, annualized	82.69%	37.77%	+44.92%
Volatility (10Y) Calculated over the trailing 10-year period, annualized	82.69%	34.39%	+48.30%

Dividends

TSMX vs. TSM - Dividend Comparison

TSMX's dividend yield for the trailing twelve months is around 4.58%, more than TSM's 0.81% yield.

Position	TTM	2025	2024	2023	2022	2021	2020	2019	2018	2017	2016	2015
TSM Taiwan Semiconductor Manufacturing Company Limited	0.81%	1.00%	1.18%	1.78%	2.49%	1.57%	1.56%	3.46%	3.64%	2.32%	2.61%	2.54%
TSMX Direxion Daily TSM Bull 2X Shares	4.58%	8.01%	0.53%	0.00%	0.00%	0.00%	0.00%	0.00%	0.00%	0.00%	0.00%	0.00%

Frequently Asked Questions

Can I hold both TSMX and TSM in my portfolio?

With a correlation of 1.00, TSMX and TSM 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.

Which is riskier, TSMX or TSM?

TSMX has higher volatility (33.01%) compared to TSM (16.35%). In terms of maximum drawdown, TSMX dropped -63.80% vs TSM's -89.08%.

Which has better risk-adjusted returns?

TSMX currently has the higher Sharpe Ratio (3.15 vs 2.89), 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.