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TYO vs. SQQQ
Performance
Return for Risk
Drawdowns
Volatility
Dividends

TYO vs. SQQQ

Last updated Jun 4, 2026

TYO (Direxion Daily 7-10 Year Treasury Bear 3X) and SQQQ (ProShares UltraPro Short QQQ) are both exchange-traded funds - TYO is a Leveraged Bonds fund tracking the NYSE 7-10 Year Treasury Bond Index, while SQQQ is a Leveraged Equities fund tracking the NASDAQ-100 Index (-300%). Both are passively managed. Over the past 10 years, TYO returned 1.79%/yr vs -56.01%/yr for SQQQ. At a correlation of -0.17, they often move in opposite directions. TYO charges 1.08%/yr vs 0.95%/yr for SQQQ.

Performance

TYO vs. SQQQ - Performance Comparison

The chart below illustrates the hypothetical performance of a $10,000 investment in Direxion Daily 7-10 Year Treasury Bear 3X (TYO) and ProShares UltraPro Short QQQ (SQQQ). The values are adjusted to include any dividend payments, if applicable.

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Returns By Period

In the year-to-date period, TYO achieves a 8.03% return, which is significantly higher than SQQQ's -45.27% return. Over the past 10 years, TYO has outperformed SQQQ with an annualized return of 1.79%, while SQQQ has yielded a comparatively lower -56.01% annualized return.

TYO

1D
1.07%
1M
1.54%
YTD
8.03%
6M
11.18%
1Y
3.00%
3Y*
7.71%
5Y*
12.51%
10Y*
1.79%

SQQQ

1D
0.76%
1M
-26.37%
YTD
-45.27%
6M
-42.79%
1Y
-65.16%
3Y*
-56.19%
5Y*
-49.17%
10Y*
-56.01%
*Multi-year figures are annualized to reflect compound growth (CAGR)

TYO vs. SQQQ - Yearly Performance Comparison

2026 (YTD)202520242023202220212020201920182017
TYO
Direxion Daily 7-10 Year Treasury Bear 3X		8.03%-7.64%18.94%1.06%58.83%7.47%-28.56%-18.71%-1.42%-8.94%
SQQQ
ProShares UltraPro Short QQQ		-45.27%-53.05%-49.79%-73.61%82.40%-60.87%-86.40%-65.92%-20.83%-58.67%

Correlation

The correlation between TYO and SQQQ is 0.15, which is low. Their price movements are largely independent, making them effective diversification partners.

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

0.15

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

0.11

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

0.08

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

-0.03

Correlation (All Time)
Calculated using the full available price history since Feb 12, 2010

-0.17

The correlation between TYO and SQQQ shifts across timeframes, from -0.17 (all time) to 0.15 (1 year), reflecting how their relationship changes across market environments.

Compare stocks, funds, or ETFs

Search for stocks, ETFs, and funds for a quick comparison or use the comparison tool for more options.

Direxion Daily 7-10 Year Treasury Bear 3X

ProShares UltraPro Short QQQ

Often compared with TYO:
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Often compared with SQQQ:
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Return for Risk

TYO vs. SQQQ — Risk / Return Rank

Compare risk-adjusted metric ranks to identify better-performing investments over the past 12 months.
TYO
TYO Risk / Return Rank: 1111
Overall Rank
TYO Sharpe Ratio Rank: 1212
Sharpe Ratio Rank
TYO Sortino Ratio Rank: 1111
Sortino Ratio Rank
TYO Omega Ratio Rank: 1111
Omega Ratio Rank
TYO Calmar Ratio Rank: 1212
Calmar Ratio Rank
TYO Martin Ratio Rank: 1111
Martin Ratio Rank
SQQQ
SQQQ Risk / Return Rank: 00
Overall Rank
SQQQ Sharpe Ratio Rank: 00
Sharpe Ratio Rank
SQQQ Sortino Ratio Rank: 00
Sortino Ratio Rank
SQQQ Omega Ratio Rank: 00
Omega Ratio Rank
SQQQ Calmar Ratio Rank: 00
Calmar Ratio Rank
SQQQ Martin Ratio Rank: 00
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.

TYO vs. SQQQ - Risk-Adjusted Trends Comparison

This table presents a comparison of risk-adjusted performance metrics for Direxion Daily 7-10 Year Treasury Bear 3X (TYO) and ProShares UltraPro Short QQQ (SQQQ). 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.

TYOSQQQDifference

Sharpe ratio

Return per unit of total volatility

0.21

-1.37

+1.57

Sortino ratio

Return per unit of downside risk

0.39

-2.63

+3.02

Omega ratio

Gain probability vs. loss probability

1.05

0.72

+0.32

Calmar ratio

Return relative to maximum drawdown

0.29

-0.99

+1.28

Martin ratio

Return relative to average drawdown

0.51

-1.82

+2.34

Data is calculated on a 1-year rolling basis and updated daily. The trend shows the change in the indicator over the past month.

TYO vs. SQQQ - Sharpe Ratio Comparison

The current TYO Sharpe Ratio is 0.21, which is higher than the SQQQ Sharpe Ratio of -1.37. The chart below compares the historical Sharpe Ratios of TYO and SQQQ, 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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Sharpe Ratios by Period

TYOSQQQDifference

Sharpe Ratio (1Y)

Calculated over the trailing 1-year period

0.21

-1.37

+1.57

Sharpe Ratio (5Y)

Calculated over the trailing 5-year period

0.54

-0.74

+1.28

Sharpe Ratio (10Y)

Calculated over the trailing 10-year period

0.09

-0.85

+0.94

Sharpe Ratio (All Time)

Calculated using the full available price history

-0.34

-0.88

+0.54

Drawdowns

TYO vs. SQQQ - Drawdown Comparison

The maximum TYO drawdown since its inception was -89.25%, smaller than the maximum SQQQ drawdown of -100.00%. Use the drawdown chart below to compare losses from any high point for TYO and SQQQ.

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Drawdown Indicators

TYOSQQQDifference

Max Drawdown

Largest peak-to-trough decline

-89.25%

-100.00%

+10.75%

Max Drawdown (1Y)

Largest decline over 1 year

-10.48%

-65.95%

+55.47%

Max Drawdown (3Y)

Largest decline over 3 years

-24.40%

-92.38%

+67.98%

Max Drawdown (5Y)

Largest decline over 5 years

-24.40%

-97.23%

+72.83%

Max Drawdown (10Y)

Largest decline over 10 years

-52.21%

-99.98%

+47.77%

Current Drawdown

Current decline from peak

-77.19%

-100.00%

+22.81%

Average Drawdown

Average peak-to-trough decline

-71.09%

-92.40%

+21.31%

Ulcer Index

Depth and duration of drawdowns from previous peaks

5.85%

35.73%

-29.88%

Volatility

TYO vs. SQQQ - Volatility Comparison

The current volatility for Direxion Daily 7-10 Year Treasury Bear 3X (TYO) is 4.94%, while ProShares UltraPro Short QQQ (SQQQ) has a volatility of 13.75%. This indicates that TYO experiences smaller price fluctuations and is considered to be less risky than SQQQ based on this measure. The chart below showcases a comparison of their rolling one-month volatility.

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Volatility by Period

TYOSQQQDifference

Volatility (1M)

Calculated over the trailing 1-month period

4.94%

13.75%

-8.81%

Volatility (6M)

Calculated over the trailing 6-month period

10.14%

36.45%

-26.31%

Volatility (1Y)

Calculated over the trailing 1-year period

14.56%

47.79%

-33.23%

Volatility (5Y)

Calculated over the trailing 5-year period, annualized

23.23%

66.64%

-43.41%

Volatility (10Y)

Calculated over the trailing 10-year period, annualized

20.19%

66.11%

-45.92%

TYO vs. SQQQ - Expense Ratio Comparison

TYO has a 1.08% expense ratio, which is higher than SQQQ's 0.95% expense ratio.

Dividends

TYO vs. SQQQ - Dividend Comparison

TYO's dividend yield for the trailing twelve months is around 2.82%, less than SQQQ's 12.48% yield.

PositionTTM202520242023202220212020201920182017
SQQQ
ProShares UltraPro Short QQQ		12.48%9.36%10.23%8.01%0.28%0.00%2.15%2.92%1.47%0.14%
TYO
Direxion Daily 7-10 Year Treasury Bear 3X		2.82%3.69%4.22%3.62%0.09%0.00%0.36%1.58%0.32%0.00%

Frequently Asked Questions

TYO and SQQQ have a correlation of 0.15, meaning they provide meaningful diversification benefit when combined. Depending on your allocation goals, holding both could reduce overall portfolio risk.

SQQQ has higher volatility (13.75%) compared to TYO (4.94%). In terms of maximum drawdown, TYO dropped -89.25% vs SQQQ's -100.00%.

On 10-year performance, TYO leads with 1.79% vs -56.01% for SQQQ. On fees, SQQQ is cheaper at 0.95% per year. On volatility, TYO has been the lower-risk option at 4.94%. The better choice depends on whether you care most about return, fees, risk, or income.

Over the 10-year period, TYO has performed better with a 1.79% return vs -56.01%. Past performance does not guarantee future results, so compare this with risk, fees, and fund exposure.

SQQQ is cheaper with a 0.95% expense ratio, compared with 1.08% for TYO.

SQQQ has the higher dividend yield at 12.48%, compared with 2.82% for TYO.

TYO is categorized as Leveraged Bonds, while SQQQ is Leveraged Equities. TYO tracks NYSE 7-10 Year Treasury Bond Index, while SQQQ tracks NASDAQ-100 Index (-300%). They also come from different issuers: Direxion and ProShares. Their fees differ too: 1.08% for TYO and 0.95% for SQQQ.

TYO currently has the higher Sharpe Ratio (0.21 vs -1.37), 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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