WTAI vs. TECL

Last updated Jun 6, 2026

WTAI (WisdomTree Artificial Intelligence and Innovation Fund) and TECL (Direxion Daily Technology Bull 3X Shares) are both exchange-traded funds - WTAI is a Technology Equities fund tracking the WisdomTree Artificial Intelligence & Innovation Index, while TECL is a Leveraged Equities fund tracking the Technology Select Sector Index (300%). Both are passively managed. Over the past 3 years, WTAI returned 31.69%/yr vs 66.22%/yr for TECL. Their correlation of 0.90 suggests significant overlap in exposure. WTAI charges 0.45%/yr vs 0.91%/yr for TECL.

Performance

WTAI vs. TECL - Performance Comparison

The chart below illustrates the hypothetical performance of a $10,000 investment in WisdomTree Artificial Intelligence and Innovation Fund (WTAI) and Direxion Daily Technology Bull 3X Shares (TECL). The values are adjusted to include any dividend payments, if applicable.

Returns By Period

In the year-to-date period, WTAI achieves a 43.55% return, which is significantly lower than TECL's 72.61% return.

WTAI

• 1D: -8.83%
• 1M: 5.68%
• YTD: 43.55%
• 6M: 40.62%
• 1Y: 87.75%
• 3Y*: 31.69%
• 5Y*: —
• 10Y*: —

TECL

• 1D: -19.93%
• 1M: 15.09%
• YTD: 72.61%
• 6M: 62.00%
• 1Y: 182.62%
• 3Y*: 66.22%
• 5Y*: 35.93%
• 10Y*: 50.09%

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

WTAI vs. TECL - Yearly Performance Comparison

	2026 (YTD)	2025	2024	2023	2022	2021
WTAI WisdomTree Artificial Intelligence and Innovation Fund	43.55%	34.83%	6.53%	46.32%	-42.27%	-0.83%
TECL Direxion Daily Technology Bull 3X Shares	72.61%	38.60%	36.15%	203.14%	-74.32%	3.47%

Correlation

The correlation between WTAI and TECL is 0.91, indicating a strong positive relationship between their price movements. Combining them offers limited diversification - they tend to fall together during downturns.

	Correlation
Correlation (1Y) Calculated over the trailing 1-year period	0.91
Correlation (3Y) Calculated over the trailing 3-year period	0.88
Correlation (All Time) Calculated using the full available price history since Dec 10, 2021	0.90

The correlation between WTAI and TECL has been stable across timeframes, ranging from 0.88 to 0.91 - a consistent structural relationship.

WTAI vs. TECL - Sectors Allocation Comparison

Sectors	WTAI	TECL
Technology	71.6%	20.4%
Consumer Cyclical	8.3%	-
Communication Services	7.2%	-
Industrials	5.6%	0.0%
Financial Services	3.8%	-
Utilities	0.9%	-
Consumer Defensive	0.4%	-
Basic Materials	-	-
Energy	-	0.0%
Healthcare	-	-
Real Estate	-	-

Return for Risk

WTAI vs. TECL — Risk / Return Rank

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

WTAI

WTAI Risk / Return Rank: 85
WTAI Sharpe Ratio Rank: 89
WTAI Sortino Ratio Rank: 77
WTAI Omega Ratio Rank: 81
WTAI Calmar Ratio Rank: 91
WTAI Martin Ratio Rank: 87

TECL

TECL Risk / Return Rank: 70
TECL Sharpe Ratio Rank: 87
TECL Sortino Ratio Rank: 59
TECL Omega Ratio Rank: 63
TECL Calmar Ratio Rank: 79
TECL Martin Ratio Rank: 64

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.

WTAI vs. TECL - Risk-Adjusted Trends Comparison

This table presents a comparison of risk-adjusted performance metrics for WisdomTree Artificial Intelligence and Innovation Fund (WTAI) 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.

	WTAI	TECL	Difference
Sharpe ratio: Return per unit of total volatility	2.96	2.80	+0.15
Sortino ratio: Return per unit of downside risk	3.34	2.75	+0.58
Omega ratio: Gain probability vs. loss probability	1.46	1.38	+0.09
Calmar ratio: Return relative to maximum drawdown	5.72	3.95	+1.78
Martin ratio: Return relative to average drawdown	18.07	11.27	+6.79
Data is calculated on a 1-year rolling basis and updated daily. The trend shows the change in the indicator over the past month.

WTAI vs. TECL - Sharpe Ratio Comparison

The current WTAI Sharpe Ratio is 2.96, which is comparable to the TECL Sharpe Ratio of 2.80. The chart below compares the historical Sharpe Ratios of WTAI and TECL, 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

	WTAI	TECL	Difference
Sharpe Ratio (1Y) Calculated over the trailing 1-year period	2.96	2.80	+0.15
Sharpe Ratio (5Y) Calculated over the trailing 5-year period	—	0.48	—
Sharpe Ratio (10Y) Calculated over the trailing 10-year period	—	0.69	—
Sharpe Ratio (All Time) Calculated using the full available price history	0.42	0.73	-0.31

Drawdowns

WTAI vs. TECL - Drawdown Comparison

The maximum WTAI drawdown since its inception was -45.92%, smaller than the maximum TECL drawdown of -77.96%. Use the drawdown chart below to compare losses from any high point for WTAI and TECL.

Drawdown Indicators

	WTAI	TECL	Difference
Max Drawdown Largest peak-to-trough decline	-45.92%	-77.96%	+32.04%
Max Drawdown (1Y) Largest decline over 1 year	-15.42%	-46.58%	+31.16%
Max Drawdown (3Y) Largest decline over 3 years	-31.83%	-66.58%	+34.75%
Max Drawdown (5Y) Largest decline over 5 years	—	-77.96%	—
Max Drawdown (10Y) Largest decline over 10 years	—	-77.96%	—
Current Drawdown Current decline from peak	-10.98%	-25.87%	+14.89%
Average Drawdown Average peak-to-trough decline	-19.78%	-18.38%	-1.40%
Ulcer Index Depth and duration of drawdowns from previous peaks	4.87%	16.27%	-11.40%

Volatility

WTAI vs. TECL - Volatility Comparison

The current volatility for WisdomTree Artificial Intelligence and Innovation Fund (WTAI) is 14.41%, while Direxion Daily Technology Bull 3X Shares (TECL) has a volatility of 31.75%. This indicates that WTAI 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.

Volatility by Period

	WTAI	TECL	Difference
Volatility (1M) Calculated over the trailing 1-month period	14.41%	31.75%	-17.34%
Volatility (6M) Calculated over the trailing 6-month period	24.71%	55.01%	-30.30%
Volatility (1Y) Calculated over the trailing 1-year period	29.86%	65.56%	-35.70%
Volatility (5Y) Calculated over the trailing 5-year period, annualized	31.26%	74.60%	-43.34%
Volatility (10Y) Calculated over the trailing 10-year period, annualized	31.26%	72.63%	-41.37%

WTAI vs. TECL - Expense Ratio Comparison

WTAI has a 0.45% expense ratio, which is lower than TECL's 0.91% expense ratio.

Dividends

WTAI vs. TECL - Dividend Comparison

WTAI's dividend yield for the trailing twelve months is around 1.26%, less than TECL's 4.12% yield.

Position	TTM	2025	2024	2023	2022	2021	2020	2019	2018	2017
TECL Direxion Daily Technology Bull 3X Shares	4.12%	7.19%	0.29%	0.28%	0.22%	0.32%	0.52%	0.25%	0.47%	0.10%
WTAI WisdomTree Artificial Intelligence and Innovation Fund	1.26%	1.81%	0.19%	0.24%	0.22%	0.00%	0.00%	0.00%	0.00%	0.00%

Frequently Asked Questions

Can I hold both WTAI and TECL in my portfolio?

With a correlation of 0.91, WTAI and TECL 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.

Which is riskier, WTAI or TECL?

TECL has higher volatility (31.75%) compared to WTAI (14.41%). In terms of maximum drawdown, WTAI dropped -45.92% vs TECL's -77.96%.

Which ETF is better, WTAI or TECL?

On 3-year performance, TECL leads with 66.22% vs 31.69% for WTAI. On fees, WTAI is cheaper at 0.45% per year. On volatility, WTAI has been the lower-risk option at 14.41%. The better choice depends on whether you care most about return, fees, risk, or income.

Which ETF has performed better, WTAI or TECL?

Over the 3-year period, TECL has performed better with a 66.22% return vs 31.69%. Past performance does not guarantee future results, so compare this with risk, fees, and fund exposure.

Which ETF is cheaper, WTAI or TECL?

WTAI is cheaper with a 0.45% expense ratio, compared with 0.91% for TECL.

Which ETF pays a higher dividend yield, WTAI or TECL?

TECL has the higher dividend yield at 4.12%, compared with 1.26% for WTAI.

What is the main difference between WTAI and TECL?

WTAI is categorized as Technology Equities, while TECL is Leveraged Equities. WTAI tracks WisdomTree Artificial Intelligence & Innovation Index, while TECL tracks Technology Select Sector Index (300%). They also come from different issuers: WisdomTree and Direxion. Their fees differ too: 0.45% for WTAI and 0.91% for TECL.

Which has better risk-adjusted returns?

WTAI currently has the higher Sharpe Ratio (2.96 vs 2.80), 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.