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VGLT vs. TMF
Performance
Return for Risk
Drawdowns
Volatility
Dividends

Performance

VGLT vs. TMF - Performance Comparison

The chart below illustrates the hypothetical performance of a $10,000 investment in Vanguard Long-Term Treasury ETF (VGLT) and Direxion Daily 20+ Year Treasury Bull 3X ETF (TMF). The values are adjusted to include any dividend payments, if applicable.

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Returns By Period

In the year-to-date period, VGLT achieves a 0.54% return, which is significantly higher than TMF's -3.67% return. Over the past 10 years, VGLT has outperformed TMF with an annualized return of -1.18%, while TMF has yielded a comparatively lower -16.80% annualized return.


VGLT

1D
0.49%
1M
3.15%
YTD
0.54%
6M
0.39%
1Y
5.67%
3Y*
-0.53%
5Y*
-5.50%
10Y*
-1.18%

TMF

1D
1.59%
1M
9.33%
YTD
-3.67%
6M
-5.31%
1Y
2.45%
3Y*
-20.43%
5Y*
-31.09%
10Y*
-16.80%
*Multi-year figures are annualized to reflect compound growth (CAGR)

VGLT vs. TMF - Yearly Performance Comparison


2026 (YTD)202520242023202220212020201920182017
VGLT
Vanguard Long-Term Treasury ETF
0.54%5.35%-6.28%3.27%-29.34%-4.98%17.57%14.30%-1.54%8.64%
TMF
Direxion Daily 20+ Year Treasury Bull 3X ETF
-3.67%-2.94%-35.95%-13.01%-72.60%-19.80%39.02%34.75%-11.01%22.72%

Correlation

The correlation between VGLT and TMF 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 (3Y)
Calculated over the trailing 3-year period

1.00

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

1.00

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

0.99

Correlation (All Time)
Calculated using the full available price history since Nov 24, 2009

0.98

The correlation between VGLT and TMF has been stable across timeframes, ranging from 0.98 to 1.00 - a consistent structural relationship.

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Return for Risk

VGLT vs. TMF — Risk / Return Rank

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

VGLT
VGLT Risk / Return Rank: 1818
Overall Rank
VGLT Sharpe Ratio Rank: 2020
Sharpe Ratio Rank
VGLT Sortino Ratio Rank: 1818
Sortino Ratio Rank
VGLT Omega Ratio Rank: 1717
Omega Ratio Rank
VGLT Calmar Ratio Rank: 1818
Calmar Ratio Rank
VGLT Martin Ratio Rank: 1818
Martin Ratio Rank

TMF
TMF Risk / Return Rank: 99
Overall Rank
TMF Sharpe Ratio Rank: 99
Sharpe Ratio Rank
TMF Sortino Ratio Rank: 99
Sortino Ratio Rank
TMF Omega Ratio Rank: 1010
Omega Ratio Rank
TMF Calmar Ratio Rank: 99
Calmar Ratio Rank
TMF Martin Ratio Rank: 99
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.

VGLT vs. TMF - Risk-Adjusted Trends Comparison

This table presents a comparison of risk-adjusted performance metrics for Vanguard Long-Term Treasury ETF (VGLT) and Direxion Daily 20+ Year Treasury Bull 3X ETF (TMF). 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.


VGLTTMFDifference
Sharpe ratioReturn per unit of total volatility

+0.57

Sortino ratioReturn per unit of downside risk

+0.68

Omega ratioGain probability vs. loss probability

1.11

1.04

+0.08

Calmar ratioReturn relative to maximum drawdown

0.81

0.09

+0.72

Martin ratioReturn relative to average drawdown

2.04

0.20

+1.83

VGLT vs. TMF - Sharpe Ratio Comparison

The current VGLT Sharpe Ratio is 0.66, which is higher than the TMF Sharpe Ratio of 0.09. The chart below compares the historical Sharpe Ratios of VGLT and TMF, 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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Drawdowns

VGLT vs. TMF - Drawdown Comparison

The maximum VGLT drawdown since its inception was -46.18%, smaller than the maximum TMF drawdown of -92.89%. Use the drawdown chart below to compare losses from any high point for VGLT and TMF.


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Drawdown Indicators


VGLTTMFDifference

Max Drawdown

Largest peak-to-trough decline

-46.18%

-92.89%

+46.71%

Max Drawdown (1Y)

Largest decline over 1 year

-7.01%

-26.51%

+19.50%

Max Drawdown (3Y)

Largest decline over 3 years

-17.68%

-56.31%

+38.63%

Max Drawdown (5Y)

Largest decline over 5 years

-40.98%

-88.81%

+47.83%

Max Drawdown (10Y)

Largest decline over 10 years

-46.18%

-92.89%

+46.71%

Current Drawdown

Current decline from peak

-36.23%

-92.03%

+55.80%

Average Drawdown

Average peak-to-trough decline

-15.10%

-43.72%

+28.62%

Ulcer Index

Depth and duration of drawdowns from previous peaks

2.79%

12.06%

-9.27%

Volatility

VGLT vs. TMF - Volatility Comparison

The current volatility for Vanguard Long-Term Treasury ETF (VGLT) is 2.23%, while Direxion Daily 20+ Year Treasury Bull 3X ETF (TMF) has a volatility of 7.00%. This indicates that VGLT experiences smaller price fluctuations and is considered to be less risky than TMF based on this measure. The chart below showcases a comparison of their rolling one-month volatility.


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Volatility by Period


VGLTTMFDifference

Volatility (1M)

Calculated over the trailing 1-month period

2.23%

7.00%

-4.77%

Volatility (6M)

Calculated over the trailing 6-month period

6.04%

19.29%

-13.25%

Volatility (1Y)

Calculated over the trailing 1-year period

8.68%

28.13%

-19.45%

Volatility (5Y)

Calculated over the trailing 5-year period, annualized

14.57%

46.73%

-32.16%

Volatility (10Y)

Calculated over the trailing 10-year period, annualized

13.82%

43.93%

-30.11%

VGLT vs. TMF - Expense Ratio Comparison

VGLT has a 0.03% expense ratio, which is lower than TMF's 1.01% expense ratio.


Dividends

VGLT vs. TMF - Dividend Comparison

VGLT's dividend yield for the trailing twelve months is around 4.57%, more than TMF's 4.05% yield.


PositionTTM20252024202320222021202020192018201720162015
TMF
Direxion Daily 20+ Year Treasury Bull 3X ETF
4.05%4.06%4.29%2.82%1.62%0.13%2.23%0.94%1.49%0.41%0.00%0.00%
VGLT
Vanguard Long-Term Treasury ETF
4.57%4.44%4.33%3.33%2.84%1.82%2.15%2.46%2.71%2.55%2.69%3.21%

Frequently Asked Questions


With a correlation of 1.00, VGLT and TMF 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.

TMF has higher volatility (7.00%) compared to VGLT (2.23%). In terms of maximum drawdown, VGLT dropped -46.18% vs TMF's -92.89%.

On 10-year performance, VGLT leads with -1.18% vs -16.80% for TMF. On fees, VGLT is cheaper at 0.03% per year. On volatility, VGLT has been the lower-risk option at 2.23%. The better choice depends on whether you care most about return, fees, risk, or income.

Over the 10-year period, VGLT has performed better with a -1.18% return vs -16.80%. Past performance does not guarantee future results, so compare this with risk, fees, and fund exposure.

VGLT is cheaper with a 0.03% expense ratio, compared with 1.01% for TMF.

VGLT has the higher dividend yield at 4.57%, compared with 4.05% for TMF.

VGLT is categorized as Government Bonds, while TMF is Leveraged Bonds. VGLT tracks Bloomberg U.S. Long Treasury Index, while TMF tracks ICE U.S. Treasury 20+ Year Bond Index (300%). They also come from different issuers: Vanguard and Direxion. Their fees differ too: 0.03% for VGLT and 1.01% for TMF.

VGLT currently has the higher Sharpe Ratio (0.66 vs 0.09), 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.

Portfolio Optimizer

Find the right allocation for VGLT and TMF

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