LABU vs VYM
Direxion Daily S&P Biotech Bull 3X ETF vs Vanguard High Dividend Yield ETF
Which is better, LABU or VYM?
Multi Alternative against Large Cap Value.
VYM has a lower expense ratio. LABU led over 1Y and 3Y, VYM over 5Y and the full window. VYM is less concentrated, with 25.8% of the fund in its ten largest positions against 32.6%.
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 | LABU | VYM |
|---|---|---|
| Expense Ratio | 0.93% | 0.04%Best |
| AUM | $562M | $78.9B |
| Dividend Yield | 0.34% | 2.37% |
| Holdings | 325 | 608 |
| YTD Return | +33.35%Best | +11.83% |
| 1Y Return | +96.63%Best | +15.96% |
| 3Y Return (annualized) | +47.83%Best | +18.60% |
| 5Y Return (annualized) | -28.40% | +11.51%Best |
| Volatility (annualized) | 85.1% | 14.0%Best |
| Max Drawdown | - | -35.7% |
| $10,000 over 5 years | $1,882 | $17,241Best |
| Top 10 Weight | 32.6% | 25.8%Best |
| Fund Family | Direxion Shares ETF Trust | Vanguard (US) |
| Category | Alternative | Equity |
| Style | Multi Alternative | Large Cap Value |
| Inception | May 28, 2015 | Nov 10, 2006 |
Volatility and max drawdown are measured over the window both funds cover: May 28, 2015 to Oct 14, 2026 (11.4 years).
LABU vs VYM 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 11.4 years both funds cover.
LABU vs VYM Performance
Direxion Daily S&P Biotech Bull 3X ETF (LABU) is an ETF from Direxion Shares ETF Trust and Vanguard High Dividend Yield ETF (VYM) is an ETF from Vanguard (US). Over the past year LABU returned +96.63% while VYM returned +15.96%. Year to date, LABU is up 33.35% versus a gain of 11.83% for VYM.
Over three years, LABU compounded at +47.83% per year against +18.60% for VYM; over five years the annualized figures are -28.40% and +11.51% respectively. Across the full 11-year window we track, VYM has the edge at +9.03% annualized vs -20.93%.
Past performance does not guarantee future results.
Risk: Volatility and Drawdowns
LABU has been the more volatile fund, with annualized monthly volatility of 85.1% compared with 14.0% for VYM. Lower volatility generally means a smoother ride, though it often comes with lower long-run returns.
The two funds' monthly returns correlate at 0.48. They move together some of the time, and apart the rest.
Fees and Cost Over Time
LABU charges 0.93% per year while VYM charges 0.04%. On a $10,000 position that is $93 vs $4 annually, a gap of $89 per year that compounds over a long holding period. On income, LABU currently yields 0.34% against 2.37% for VYM.
Holdings Overlap
3.5% of LABU's money is in holdings VYM also owns. 3.4% of VYM's money is in holdings LABU also owns.
LABU and VYM share little of their money.
3 positions in common, counted across the 161 positions we hold weights for in LABU and 602 in VYM, against full books of 325 and 608.
What only one of them owns
Our book lists 570 positions for VYM that do not appear in our book for LABU (94.4% of the fund), and 151 for LABU that do not appear in VYM (93.0%).
Some of those will be the same company recorded under a different code in one of the two books, so the real difference in what you would own is no larger than this and may be smaller. We do not name the individual positions here for that reason.
You are not choosing between two funds in isolation.
Whichever of LABU and VYM 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, LABU or VYM?
LABU has an expense ratio of 0.93% while VYM charges 0.04%. VYM is the cheaper option, by $89 a year on a $10,000 investment.
Which performed better, LABU or VYM?
Over the past year LABU returned +96.63% vs +15.96% for VYM, so LABU leads on 1-year performance. Over the longest common window we track (11 years), LABU annualized -20.93% vs +9.03% for VYM. Past performance does not guarantee future results. This is information, not a recommendation.
Which is riskier, LABU or VYM?
LABU has been the more volatile fund at 85.1% annualized versus 14.0% for VYM.
Should I hold both LABU and VYM?
LABU and VYM have a monthly-return correlation of 0.48, so their returns are far enough apart for the mix to behave differently from either one alone. This is information, not a recommendation.
What is the holdings overlap between LABU and VYM?
3.5% of LABU's money is in holdings VYM also owns. 3.4% of VYM's is in holdings LABU also owns. They hold 3 positions in common, counted across the 161 positions we hold weights for in LABU and 602 in VYM.
Which pays a higher dividend, LABU or VYM?
LABU yields 0.34% while VYM yields 2.37%, so VYM currently pays the higher dividend yield.
Is VYM better than LABU?
VYM has a lower expense ratio. LABU led over 1Y and 3Y, VYM over 5Y and the full window. VYM is less concentrated, with 25.8% of the fund in its ten largest positions against 32.6%. Which one suits a particular account depends on what it is for. This is information, not a recommendation.