UMDD vs. DFEN

Last updated Jun 13, 2026

UMDD (ProShares UltraPro MidCap400) and DFEN (Direxion Daily Aerospace & Defense Bull 3X Shares) are both Leveraged Equities funds - UMDD tracks the S&P MidCap 400 Index (300%) while DFEN tracks the Dow Jones U.S. Select Aerospace & Defense Index (300%). Both are passively managed. Over the past 5 years, UMDD returned 2.41%/yr vs 29.22%/yr for DFEN. A 0.71 correlation means they provide meaningful diversification when combined. UMDD charges 0.95%/yr vs 0.99%/yr for DFEN.

Performance

UMDD vs. DFEN - Performance Comparison

The chart below illustrates the hypothetical performance of a $10,000 investment in ProShares UltraPro MidCap400 (UMDD) and Direxion Daily Aerospace & Defense Bull 3X Shares (DFEN). The values are adjusted to include any dividend payments, if applicable.

Returns By Period

In the year-to-date period, UMDD achieves a 41.42% return, which is significantly higher than DFEN's 13.12% return.

UMDD

• 1D: 2.20%
• 1M: 10.73%
• YTD: 41.42%
• 6M: 35.75%
• 1Y: 66.43%
• 3Y*: 23.57%
• 5Y*: 2.41%
• 10Y*: 12.78%

DFEN

• 1D: -2.71%
• 1M: 7.74%
• YTD: 13.12%
• 6M: 20.44%
• 1Y: 76.99%
• 3Y*: 64.38%
• 5Y*: 29.22%
• 10Y*: —

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

UMDD vs. DFEN - Yearly Performance Comparison

	2026 (YTD)	2025	2024	2023	2022	2021	2020	2019	2018	2017
UMDD ProShares UltraPro MidCap400	41.42%	-2.57%	19.68%	27.21%	-49.60%	72.27%	-17.30%	78.90%	-40.29%	32.21%
DFEN Direxion Daily Aerospace & Defense Bull 3X Shares	13.12%	156.62%	27.07%	24.70%	6.99%	12.72%	-70.23%	95.09%	-32.86%	83.64%

Correlation

The correlation between UMDD and DFEN is 0.57, which is moderate. They share some common price drivers but move independently often enough to provide real diversification benefit when combined.

	Correlation
Correlation (1Y) Calculated over the trailing 1-year period	0.57
Correlation (3Y) Calculated over the trailing 3-year period	0.61
Correlation (5Y) Calculated over the trailing 5-year period	0.70
Correlation (All Time) Calculated using the full available price history since May 3, 2017	0.71

The correlation between UMDD and DFEN shifts across timeframes, from 0.57 (1 year) to 0.71 (all time), reflecting how their relationship changes across market environments.

UMDD vs. DFEN - Sectors Allocation Comparison

Sectors	UMDD	DFEN
Industrials	13.4%	19.7%
Technology	9.0%	0.0%
Financial Services	7.1%	-
Consumer Cyclical	5.1%	-
Healthcare	4.8%	-
Real Estate	3.9%	-
Energy	2.7%	-
Basic Materials	2.6%	-
Consumer Defensive	2.2%	-
Utilities	1.6%	-
Communication Services	0.5%	-

Return for Risk

UMDD vs. DFEN — Risk / Return Rank

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

UMDD

UMDD Risk / Return Rank: 49
UMDD Sharpe Ratio Rank: 45
UMDD Sortino Ratio Rank: 45
UMDD Omega Ratio Rank: 43
UMDD Calmar Ratio Rank: 58
UMDD Martin Ratio Rank: 56

DFEN

DFEN Risk / Return Rank: 38
DFEN Sharpe Ratio Rank: 37
DFEN Sortino Ratio Rank: 40
DFEN Omega Ratio Rank: 36
DFEN Calmar Ratio Rank: 42
DFEN Martin Ratio Rank: 33

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.

UMDD vs. DFEN - Risk-Adjusted Trends Comparison

This table presents a comparison of risk-adjusted performance metrics for ProShares UltraPro MidCap400 (UMDD) and Direxion Daily Aerospace & Defense Bull 3X Shares (DFEN). 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.

	UMDD	DFEN	Difference
Sharpe ratio: Return per unit of total volatility	1.40	1.18	+0.22
Sortino ratio: Return per unit of downside risk	2.01	1.85	+0.16
Omega ratio: Gain probability vs. loss probability	1.24	1.22	+0.03
Calmar ratio: Return relative to maximum drawdown	2.56	1.85	+0.71
Martin ratio: Return relative to average drawdown	8.58	4.29	+4.29

UMDD vs. DFEN - Sharpe Ratio Comparison

The current UMDD Sharpe Ratio is 1.40, which is comparable to the DFEN Sharpe Ratio of 1.18. The chart below compares the historical Sharpe Ratios of UMDD and DFEN, 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

UMDD vs. DFEN - Drawdown Comparison

The maximum UMDD drawdown since its inception was -86.24%, smaller than the maximum DFEN drawdown of -91.36%. Use the drawdown chart below to compare losses from any high point for UMDD and DFEN.

Drawdown Indicators

	UMDD	DFEN	Difference
Max Drawdown Largest peak-to-trough decline	-86.24%	-91.36%	+5.12%
Max Drawdown (1Y) Largest decline over 1 year	-26.04%	-41.75%	+15.71%
Max Drawdown (3Y) Largest decline over 3 years	-60.33%	-43.13%	-17.20%
Max Drawdown (5Y) Largest decline over 5 years	-64.61%	-55.30%	-9.31%
Max Drawdown (10Y) Largest decline over 10 years	-86.24%	—	—
Current Drawdown Current decline from peak	-3.15%	-25.87%	+22.72%
Average Drawdown Average peak-to-trough decline	-23.58%	-45.20%	+21.62%
Ulcer Index Depth and duration of drawdowns from previous peaks	7.78%	17.99%	-10.21%

Volatility

UMDD vs. DFEN - Volatility Comparison

The current volatility for ProShares UltraPro MidCap400 (UMDD) is 14.80%, while Direxion Daily Aerospace & Defense Bull 3X Shares (DFEN) has a volatility of 27.31%. This indicates that UMDD experiences smaller price fluctuations and is considered to be less risky than DFEN based on this measure. The chart below showcases a comparison of their rolling one-month volatility.

Volatility by Period

	UMDD	DFEN	Difference
Volatility (1M) Calculated over the trailing 1-month period	14.80%	27.31%	-12.51%
Volatility (6M) Calculated over the trailing 6-month period	35.26%	55.81%	-20.55%
Volatility (1Y) Calculated over the trailing 1-year period	47.64%	65.81%	-18.17%
Volatility (5Y) Calculated over the trailing 5-year period, annualized	59.05%	60.74%	-1.69%
Volatility (10Y) Calculated over the trailing 10-year period, annualized	62.32%	71.66%	-9.34%

UMDD vs. DFEN - Expense Ratio Comparison

UMDD has a 0.95% expense ratio, which is lower than DFEN's 0.99% expense ratio.

Dividends

UMDD vs. DFEN - Dividend Comparison

UMDD's dividend yield for the trailing twelve months is around 0.74%, less than DFEN's 7.89% yield.

Position	TTM	2025	2024	2023	2022	2021	2020	2019	2018	2017	2016	2015
DFEN Direxion Daily Aerospace & Defense Bull 3X Shares	7.89%	8.89%	14.12%	1.13%	0.46%	1.89%	0.48%	0.50%	1.07%	1.50%	0.00%	0.00%
UMDD ProShares UltraPro MidCap400	0.74%	1.00%	0.76%	0.19%	0.49%	0.06%	0.08%	0.64%	0.32%	0.00%	0.03%	0.06%

Frequently Asked Questions

Can I hold both UMDD and DFEN in my portfolio?

UMDD and DFEN have a correlation of 0.57, meaning they provide meaningful diversification benefit when combined. Depending on your allocation goals, holding both could reduce overall portfolio risk.

Which is riskier, UMDD or DFEN?

DFEN has higher volatility (27.31%) compared to UMDD (14.80%). In terms of maximum drawdown, UMDD dropped -86.24% vs DFEN's -91.36%.

Which ETF is better, UMDD or DFEN?

On 5-year performance, DFEN leads with 29.22% vs 2.41% for UMDD. On fees, UMDD is cheaper at 0.95% per year. On volatility, UMDD has been the lower-risk option at 14.80%. The better choice depends on whether you care most about return, fees, risk, or income.

Which ETF has performed better, UMDD or DFEN?

Over the 5-year period, DFEN has performed better with a 29.22% return vs 2.41%. Past performance does not guarantee future results, so compare this with risk, fees, and fund exposure.

Which ETF is cheaper, UMDD or DFEN?

UMDD is cheaper with a 0.95% expense ratio, compared with 0.99% for DFEN.

Which ETF pays a higher dividend yield, UMDD or DFEN?

DFEN has the higher dividend yield at 7.89%, compared with 0.74% for UMDD.

What is the main difference between UMDD and DFEN?

UMDD tracks S&P MidCap 400 Index (300%), while DFEN tracks Dow Jones U.S. Select Aerospace & Defense Index (300%). They also come from different issuers: ProShares and Direxion. Their fees differ too: 0.95% for UMDD and 0.99% for DFEN.

Which has better risk-adjusted returns?

UMDD currently has the higher Sharpe Ratio (1.40 vs 1.18), 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.