FAZ vs MSFD
Direxion Daily Financial Bear 3X ETF vs Direxion Daily MSFT Bear 1X ETF
Which is better, FAZ or MSFD?
Each has led over a different period.
MSFD has a lower expense ratio. FAZ led over 1Y, MSFD over 3Y and the full window.
MarketXLS is not an investment adviser. This comparison is generated automatically from market data and is for information only. A Best mark means the better reading on that one measure, not a recommendation to buy.
Side-by-Side Comparison
| Metric | FAZ | MSFD |
|---|---|---|
| Expense Ratio | 1.04% | 1.02%Best |
| AUM | $93M | $8M |
| Dividend Yield | 2.53% | 4.17% |
| Holdings | 16 | 6 |
| YTD Return | -0.09%Best | -16.44% |
| 1Y Return | -8.61%Best | -9.00% |
| 3Y Return (annualized) | -40.22% | -15.33%Best |
| 5Y Return (annualized) | -26.94% | - |
| Volatility (annualized) | 47.8% | 25.7%Best |
| Max Drawdown | -88.4% | -62.1%Best |
| $10,000 over 4.1 years | $1,959 | $4,537Best |
| Fund Family | Direxion Shares ETF Trust | Direxion Shares ETF Trust |
| Category | Alternative | Alternative |
| Style | Trading-Inverse Equity | Trading-Inverse Equity |
| Inception | Nov 6, 2008 | Sep 7, 2022 |
Not shown on this pair: Top 10 Weight.
Volatility and max drawdown, and the $10,000 over 4.1 years row, are measured over the window both funds cover: Sep 8, 2022 to Oct 14, 2026 (4.1 years).
FAZ vs MSFD growth
Month-end closes. Both lines start at 0% in the first month shown, so the gap between them is the difference in growth across that window. The full view covers the 4.1 years both funds cover.
FAZ vs MSFD Performance
Direxion Daily Financial Bear 3X ETF (FAZ) is an ETF from Direxion Shares ETF Trust and Direxion Daily MSFT Bear 1X ETF (MSFD) is an ETF from Direxion Shares ETF Trust. Over the past year FAZ returned -8.61% while MSFD returned -9.00%. Year to date, FAZ is down 0.09% versus a loss of 16.44% for MSFD.
Over three years, FAZ compounded at -40.22% per year against -15.33% for MSFD. Across the full 4-year window we track, MSFD has the edge at -17.53% annualized vs -32.81%.
Past performance does not guarantee future results.
Risk: Volatility and Drawdowns
FAZ has been the more volatile fund, with annualized monthly volatility of 47.8% compared with 25.7% for MSFD. Lower volatility generally means a smoother ride, though it often comes with lower long-run returns.
The deepest peak-to-trough decline in our data was -88.4% for FAZ and -62.1% for MSFD. Drawdown depth is what each fund did in the worst stretch of the window measured above.
The two funds' monthly returns correlate at 0.19. They move largely independently of each other.
Fees and Cost Over Time
FAZ charges 1.04% per year while MSFD charges 1.02%. On a $10,000 position that is $104 vs $102 annually, a gap of $2 per year that compounds over a long holding period. On income, FAZ currently yields 2.53% against 4.17% for MSFD.
Holdings Overlap
We hold position weights for 3 holdings in FAZ and 3 in MSFD, totalling 102.9% and 108.3% of the two funds. Neither is a share of a fund we can divide by, so no overlap percentage is shown here. Within what we can see, 3 positions appear in both.
3 positions in common, counted across the 3 positions we hold weights for in FAZ and 3 in MSFD, against full books of 16 and 6.
You are not choosing between two funds in isolation.
Whichever of FAZ and MSFD you pick has to sit alongside everything else you own. Add the rest and see what the combination actually holds.
Free for up to 10 holdings. No account needed.
Frequently Asked Questions
Which is cheaper, FAZ or MSFD?
FAZ has an expense ratio of 1.04% while MSFD charges 1.02%. MSFD is the cheaper option, by $2 a year on a $10,000 investment.
Which performed better, FAZ or MSFD?
Over the past year FAZ returned -8.61% vs -9.00% for MSFD, so FAZ leads on 1-year performance. Over the longest common window we track (4 years), FAZ annualized -32.81% vs -17.53% for MSFD. Past performance does not guarantee future results. This is information, not a recommendation.
Which is riskier, FAZ or MSFD?
FAZ has been the more volatile fund at 47.8% annualized versus 25.7% for MSFD. Worst drawdown: FAZ -88.4% vs MSFD -62.1%.
Should I hold both FAZ and MSFD?
FAZ and MSFD have a monthly-return correlation of 0.19, so their returns are far enough apart for the mix to behave differently from either one alone. This is information, not a recommendation.
Which pays a higher dividend, FAZ or MSFD?
FAZ yields 2.53% while MSFD yields 4.17%, so MSFD currently pays the higher dividend yield.
Is MSFD better than FAZ?
MSFD has a lower expense ratio. FAZ led over 1Y, MSFD over 3Y and the full window. Which one suits a particular account depends on what it is for. This is information, not a recommendation.