TZA vs. TECL
TZA (Direxion Daily Small Cap Bear 3X Shares) and TECL (Direxion Daily Technology Bull 3X Shares) are both Leveraged Equities funds from Direxion - TZA tracks the Russell 2000 Index (-300%) while TECL tracks the Technology Select Sector Index (300%). Both are passively managed. Over the past 10 years, TZA returned -43.15%/yr vs 54.49%/yr for TECL. At a correlation of -0.72, they often move in opposite directions. TZA charges 1.11%/yr vs 1.08%/yr for TECL.
Performance
TZA vs. TECL - Performance Comparison
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Returns By Period
In the year-to-date period, TZA achieves a -40.43% return, which is significantly lower than TECL's 125.87% return. Over the past 10 years, TZA has underperformed TECL with an annualized return of -43.15%, while TECL has yielded a comparatively higher 54.49% annualized return.
TZA
- 1D
- 3.75%
- 1M
- -10.87%
- YTD
- -40.43%
- 6M
- -38.50%
- 1Y
- -65.59%
- 3Y*
- -44.69%
- 5Y*
- -30.11%
- 10Y*
- -43.15%
TECL
- 1D
- -2.99%
- 1M
- 73.10%
- YTD
- 125.87%
- 6M
- 118.69%
- 1Y
- 267.85%
- 3Y*
- 80.64%
- 5Y*
- 43.44%
- 10Y*
- 54.49%
TZA vs. TECL - Yearly Performance Comparison
| 2026 (YTD) | 2025 | 2024 | 2023 | 2022 | 2021 | 2020 | 2019 | 2018 | 2017 | |
|---|---|---|---|---|---|---|---|---|---|---|
TZA Direxion Daily Small Cap Bear 3X Shares | -40.43% | -40.22% | -32.22% | -41.19% | 30.21% | -50.80% | -80.43% | -53.25% | 25.06% | -38.19% |
TECL Direxion Daily Technology Bull 3X Shares | 125.87% | 38.60% | 36.15% | 203.14% | -74.32% | 112.80% | 69.46% | 185.58% | -24.03% | 124.82% |
Correlation
The correlation between TZA and TECL is -0.64, 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 | -0.64 |
Correlation (3Y) Calculated over the trailing 3-year period | -0.60 |
Correlation (5Y) Calculated over the trailing 5-year period | -0.68 |
Correlation (10Y) Calculated over the trailing 10-year period | -0.66 |
Correlation (All Time) Calculated using the full available price history since Dec 31, 2008 | -0.72 |
The correlation between TZA and TECL shifts across timeframes, from -0.72 (all time) to -0.60 (3 years), reflecting how their relationship changes across market environments.
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Return for Risk
TZA vs. TECL — Risk / Return Rank
TZA
TECL
TZA vs. TECL - Risk-Adjusted Trends Comparison
This table presents a comparison of risk-adjusted performance metrics for Direxion Daily Small Cap Bear 3X Shares (TZA) and Direxion Daily Technology Bull 3X Shares (TECL). 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.
| TZA | TECL | Difference | |
|---|---|---|---|
| Sharpe ratioReturn per unit of total volatility | -5.50 | ||
| Sortino ratioReturn per unit of downside risk | -5.74 | ||
| Omega ratioGain probability vs. loss probability | 0.78 | 1.48 | -0.71 |
| Calmar ratioReturn relative to maximum drawdown | -0.98 | 5.79 | -6.77 |
| Martin ratioReturn relative to average drawdown | -1.51 | 16.63 | -18.14 |
Data is calculated on a 1-year rolling basis and updated daily. The trend shows the change in the indicator over the past month. | |||
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Sharpe Ratios by Period
| TZA | TECL | Difference | |
|---|---|---|---|
Sharpe Ratio (1Y)Calculated over the trailing 1-year period | -1.16 | 4.35 | -5.50 |
Sharpe Ratio (5Y)Calculated over the trailing 5-year period | -0.45 | 0.59 | -1.04 |
Sharpe Ratio (10Y)Calculated over the trailing 10-year period | -0.63 | 0.76 | -1.38 |
Sharpe Ratio (All Time)Calculated using the full available price history | -0.71 | 0.76 | -1.48 |
Drawdowns
TZA vs. TECL - Drawdown Comparison
The maximum TZA drawdown since its inception was -100.00%, which is greater than TECL's maximum drawdown of -77.96%. Use the drawdown chart below to compare losses from any high point for TZA and TECL.
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Drawdown Indicators
| TZA | TECL | Difference | |
|---|---|---|---|
Max DrawdownLargest peak-to-trough decline | -100.00% | -77.96% | -22.04% |
Max Drawdown (1Y)Largest decline over 1 year | -67.28% | -46.58% | -20.70% |
Max Drawdown (3Y)Largest decline over 3 years | -88.34% | -66.58% | -21.76% |
Max Drawdown (5Y)Largest decline over 5 years | -90.83% | -77.96% | -12.87% |
Max Drawdown (10Y)Largest decline over 10 years | -99.71% | -77.96% | -21.75% |
Current DrawdownCurrent decline from peak | -100.00% | -2.99% | -97.01% |
Average DrawdownAverage peak-to-trough decline | -98.00% | -18.38% | -79.62% |
Ulcer IndexDepth and duration of drawdowns from previous peaks | 43.51% | 16.19% | +27.32% |
Volatility
TZA vs. TECL - Volatility Comparison
The current volatility for Direxion Daily Small Cap Bear 3X Shares (TZA) is 17.03%, while Direxion Daily Technology Bull 3X Shares (TECL) has a volatility of 20.70%. This indicates that TZA experiences smaller price fluctuations and is considered to be less risky than TECL based on this measure. The chart below showcases a comparison of their rolling one-month volatility.
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Volatility by Period
| TZA | TECL | Difference | |
|---|---|---|---|
Volatility (1M)Calculated over the trailing 1-month period | 17.03% | 20.70% | -3.67% |
Volatility (6M)Calculated over the trailing 6-month period | 40.64% | 49.83% | -9.19% |
Volatility (1Y)Calculated over the trailing 1-year period | 57.05% | 62.17% | -5.12% |
Volatility (5Y)Calculated over the trailing 5-year period, annualized | 67.43% | 74.09% | -6.66% |
Volatility (10Y)Calculated over the trailing 10-year period, annualized | 68.91% | 72.35% | -3.44% |
TZA vs. TECL - Expense Ratio Comparison
TZA has a 1.11% expense ratio, which is higher than TECL's 1.08% expense ratio.
Dividends
TZA vs. TECL - Dividend Comparison
TZA's dividend yield for the trailing twelve months is around 4.82%, more than TECL's 3.15% yield.
| Position | TTM | 2025 | 2024 | 2023 | 2022 | 2021 | 2020 | 2019 | 2018 | 2017 |
|---|---|---|---|---|---|---|---|---|---|---|
TECL Direxion Daily Technology Bull 3X Shares | 3.15% | 7.19% | 0.29% | 0.28% | 0.22% | 0.32% | 0.52% | 0.25% | 0.47% | 0.10% |
TZA Direxion Daily Small Cap Bear 3X Shares | 4.82% | 5.08% | 5.40% | 5.49% | 0.00% | 0.00% | 1.21% | 1.56% | 0.63% | 0.00% |
Frequently Asked Questions
TZA and TECL have a correlation of -0.64, meaning they provide meaningful diversification benefit when combined. Depending on your allocation goals, holding both could reduce overall portfolio risk.
TECL has higher volatility (20.70%) compared to TZA (17.03%). In terms of maximum drawdown, TZA dropped -100.00% vs TECL's -77.96%.
On 10-year performance, TECL leads with 54.49% vs -43.15% for TZA. On fees, TECL is cheaper at 1.08% per year. On volatility, TZA has been the lower-risk option at 17.03%. 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 54.49% return vs -43.15%. Past performance does not guarantee future results, so compare this with risk, fees, and fund exposure.
TECL is cheaper with a 1.08% expense ratio, compared with 1.11% for TZA.
TZA has the higher dividend yield at 4.82%, compared with 3.15% for TECL.
TZA tracks Russell 2000 Index (-300%), while TECL tracks Technology Select Sector Index (300%). Their fees differ too: 1.11% for TZA and 1.08% for TECL.
TECL currently has the higher Sharpe Ratio (4.35 vs -1.16), 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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