USML vs. TSMG

Last updated Jun 3, 2026

USML (ETRACS 2x Leveraged MSCI US Minimum Volatility Factor TR ETN) and TSMG (Leverage Shares 2X Long TSM Daily ETF) are both Leveraged Equities funds. USML is passively managed, while TSMG is actively managed. Over the past year, USML returned 4.31% vs 327.45% for TSMG. At a 0.13 correlation, their price movements are largely independent. USML charges 0.95%/yr vs 0.75%/yr for TSMG.

Performance

USML vs. TSMG - Performance Comparison

The chart below illustrates the hypothetical performance of a $10,000 investment in ETRACS 2x Leveraged MSCI US Minimum Volatility Factor TR ETN (USML) 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, USML achieves a 4.25% return, which is significantly lower than TSMG's 94.33% return.

USML

• 1D: 0.14%
• 1M: 4.47%
• YTD: 4.25%
• 6M: 4.48%
• 1Y: 4.31%
• 3Y*: 16.76%
• 5Y*: 8.67%
• 10Y*: —

TSMG

• 1D: 4.98%
• 1M: 23.80%
• YTD: 94.33%
• 6M: 108.01%
• 1Y: 327.45%
• 3Y*: —
• 5Y*: —
• 10Y*: —

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

USML vs. TSMG - Yearly Performance Comparison

	2026 (YTD)	2025
USML ETRACS 2x Leveraged MSCI US Minimum Volatility Factor TR ETN	4.25%	9.88%
TSMG Leverage Shares 2X Long TSM Daily ETF	94.33%	76.34%

Correlation

The correlation between USML and TSMG is 0.06, meaning there is essentially no relationship between their price movements. Each responds to its own set of market drivers, making them strong candidates for combining in a diversified portfolio.

	Correlation
Correlation (1Y) Calculated over the trailing 1-year period	0.06
Correlation (All Time) Calculated using the full available price history since Jan 15, 2025	0.13

Return for Risk

USML vs. TSMG — Risk / Return Rank

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

USML

USML Risk / Return Rank: 12
USML Sharpe Ratio Rank: 12
USML Sortino Ratio Rank: 12
USML Omega Ratio Rank: 12
USML Calmar Ratio Rank: 12
USML Martin Ratio Rank: 13

TSMG

TSMG Risk / Return Rank: 91
TSMG Sharpe Ratio Rank: 97
TSMG Sortino Ratio Rank: 87
TSMG Omega Ratio Rank: 79
TSMG Calmar Ratio Rank: 96
TSMG Martin Ratio Rank: 95

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.

USML vs. TSMG - Risk-Adjusted Trends Comparison

This table presents a comparison of risk-adjusted performance metrics for ETRACS 2x Leveraged MSCI US Minimum Volatility Factor TR ETN (USML) 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.

	USML	TSMG	Difference
Sharpe ratio Return per unit of total volatility	0.26	4.61	-4.35
Sortino ratio Return per unit of downside risk	0.48	3.97	-3.49
Omega ratio Gain probability vs. loss probability	1.06	1.48	-0.43
Calmar ratio Return relative to maximum drawdown	0.34	9.46	-9.12
Martin ratio Return relative to average drawdown	1.03	30.96	-29.92
Data is calculated on a 1-year rolling basis and updated daily. The trend shows the change in the indicator over the past month.

USML vs. TSMG - Sharpe Ratio Comparison

The current USML Sharpe Ratio is 0.26, which is lower than the TSMG Sharpe Ratio of 4.61. The chart below compares the historical Sharpe Ratios of USML 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

	USML	TSMG	Difference
Sharpe Ratio (1Y) Calculated over the trailing 1-year period	0.26	4.61	-4.35
Sharpe Ratio (5Y) Calculated over the trailing 5-year period	0.36	—	—
Sharpe Ratio (All Time) Calculated using the full available price history	0.45	1.79	-1.35

Drawdowns

USML vs. TSMG - Drawdown Comparison

The maximum USML drawdown since its inception was -35.34%, smaller than the maximum TSMG drawdown of -63.67%. Use the drawdown chart below to compare losses from any high point for USML and TSMG.

Drawdown Indicators

	USML	TSMG	Difference
Max Drawdown Largest peak-to-trough decline	-35.34%	-63.67%	+28.33%
Max Drawdown (1Y) Largest decline over 1 year	-13.09%	-35.29%	+22.20%
Max Drawdown (3Y) Largest decline over 3 years	-19.14%	—	—
Max Drawdown (5Y) Largest decline over 5 years	-35.34%	—	—
Current Drawdown Current decline from peak	-2.48%	0.00%	-2.48%
Average Drawdown Average peak-to-trough decline	-10.42%	-17.02%	+6.60%
Ulcer Index Depth and duration of drawdowns from previous peaks	4.33%	10.79%	-6.46%

Volatility

USML vs. TSMG - Volatility Comparison

The current volatility for ETRACS 2x Leveraged MSCI US Minimum Volatility Factor TR ETN (USML) is 4.03%, while Leverage Shares 2X Long TSM Daily ETF (TSMG) has a volatility of 22.57%. This indicates that USML experiences smaller price fluctuations and is considered to be less risky than TSMG based on this measure. The chart below showcases a comparison of their rolling one-month volatility.

Volatility by Period

	USML	TSMG	Difference
Volatility (1M) Calculated over the trailing 1-month period	4.03%	22.57%	-18.54%
Volatility (6M) Calculated over the trailing 6-month period	11.54%	54.92%	-43.38%
Volatility (1Y) Calculated over the trailing 1-year period	16.33%	71.57%	-55.24%
Volatility (5Y) Calculated over the trailing 5-year period, annualized	24.47%	81.08%	-56.61%
Volatility (10Y) Calculated over the trailing 10-year period, annualized	24.29%	81.08%	-56.79%

USML vs. TSMG - Expense Ratio Comparison

USML has a 0.95% expense ratio, which is higher than TSMG's 0.75% expense ratio.

Dividends

USML vs. TSMG - Dividend Comparison

USML has not paid dividends to shareholders, while TSMG's dividend yield for the trailing twelve months is around 5.91%.

Position	TTM	2025
TSMG Leverage Shares 2X Long TSM Daily ETF	5.91%	11.48%
USML ETRACS 2x Leveraged MSCI US Minimum Volatility Factor TR ETN	0.00%	0.00%

Frequently Asked Questions

Can I hold both USML and TSMG in my portfolio?

USML and TSMG have a correlation of 0.06, meaning they provide meaningful diversification benefit when combined. Depending on your allocation goals, holding both could reduce overall portfolio risk.

Which is riskier, USML or TSMG?

TSMG has higher volatility (22.57%) compared to USML (4.03%). In terms of maximum drawdown, USML dropped -35.34% vs TSMG's -63.67%.

Which ETF is better, USML or TSMG?

On 1-year performance, TSMG leads with 327.45% vs 4.31% for USML. On fees, TSMG is cheaper at 0.75% per year. On volatility, USML has been the lower-risk option at 4.03%. The better choice depends on whether you care most about return, fees, risk, or income.

Which ETF has performed better, USML or TSMG?

Over the 1-year period, TSMG has performed better with a 327.45% return vs 4.31%. Past performance does not guarantee future results, so compare this with risk, fees, and fund exposure.

Which ETF is cheaper, USML or TSMG?

TSMG is cheaper with a 0.75% expense ratio, compared with 0.95% for USML.

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

TSMG has the higher dividend yield at 5.91%, compared with 0.00% for USML.

What is the main difference between USML and TSMG?

They also come from different issuers: UBS and Leverage Shares. Their fees differ too: 0.95% for USML and 0.75% for TSMG.

Which has better risk-adjusted returns?

TSMG currently has the higher Sharpe Ratio (4.61 vs 0.26), 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.