TYD vs VOO

Quick Verdict

VOO has a lower expense ratio. VOO delivered stronger 1-year returns. VOO offers more diversification with 505 holdings.

Lower Fees: VOOHigher Returns: VOOMore Diversified: VOO

Side-by-Side Comparison

MetricTYDVOOWinner
Expense Ratio1.07%0.03%
AUM$32M$979.0B
Dividend Yield3.25%1.09%
Holdings8509
YTD Return-8.94%+13.11%
1Y Return-7.75%+22.88%
3Y Return (annualized)-3.66%+21.08%
5Y Return (annualized)-14.64%+13.26%
Volatility (annualized)20.0%14.1%
Max Drawdown-67.5%-34.3%
Fund FamilyDirexion Shares ETF TrustVanguard (US)
CategoryAlternativeEquity
InceptionApr 16, 2009Sep 7, 2010

TYD vs VOO Performance

Direxion Daily 7-10 Year Treasury Bull 3X ETF (TYD) is a ETF from Direxion Shares ETF Trust and Vanguard S&P 500 ETF (VOO) is a ETF from Vanguard (US). Over the past year TYD returned -7.75% while VOO returned +22.88%. Year to date, TYD is down 8.94% versus a gain of 13.11% for VOO.

Over three years, TYD compounded at -3.66% per year against +21.08% for VOO; over five years the annualized figures are -14.64% and +13.26% respectively. Across the full 16-year window we track, VOO has the edge at +13.54% annualized vs -0.98%. Past performance does not guarantee future results.

Risk: Volatility and Drawdowns

TYD has been the more volatile fund, with annualized monthly volatility of 20.0% compared with 14.1% for VOO. 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 -67.5% for TYD and -34.3% for VOO. Drawdown depth is worth weighing if you expect to sell during market stress rather than ride it out.

The two funds' monthly returns correlate at -0.03. They move independently enough that combining them can meaningfully diversify a portfolio.

Fees and Cost Over Time

TYD charges 1.07% per year while VOO charges 0.03%. On a $10,000 position that is $107 vs $3 annually, a gap of $104 per year that compounds over a long holding period. On income, TYD currently yields 3.25% against 1.09% for VOO.

Holdings Overlap

0.0%overlap

TYD and VOO share 0 holdings out of 509 unique holdings combined, representing a 0.0% weight overlap.

Moderate overlap means holding both could provide meaningful diversification benefits.

Frequently Asked Questions

Which is cheaper, TYD or VOO?

TYD has an expense ratio of 1.07% while VOO charges 0.03%. VOO is the cheaper option. On a $10,000 investment, that is $104 per year of difference.

Which performed better, TYD or VOO?

Over the past year TYD returned -7.75% vs +22.88% for VOO, so VOO leads on 1-year performance. Over the longest common window we track (16 years), TYD annualized -0.98% vs +13.54% for VOO. Past performance does not guarantee future results.

Which is riskier, TYD or VOO?

TYD has been the more volatile fund at 20.0% annualized versus 14.1% for VOO. Worst drawdown: TYD -67.5% vs VOO -34.3%.

Should I hold both TYD and VOO?

TYD and VOO have a monthly-return correlation of -0.03, so combining them can provide real diversification depending on your allocation goals.

What is the holdings overlap between TYD and VOO?

TYD and VOO share 0 common holdings with a 0.0% weight overlap. Combined, they hold 509 unique securities.

Which pays a higher dividend, TYD or VOO?

TYD yields 3.25% while VOO yields 1.09%, so TYD currently pays the higher dividend yield.

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