FAS vs SPY

FAS vs SPY

Which is better, FAS or SPY?

Trading-Leveraged Equity against Large Cap Blend.

SPY has a lower expense ratio. FAS led over 3Y, SPY over 1Y, 5Y and the full window. SPY is less concentrated, with 38.0% of the fund in its ten largest positions against 63.6%.

Lower Fees: SPYHigher Returns: splitLess Concentrated: SPY

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

MetricFASSPY
Expense Ratio0.88%0.09%Best
AUM$2.3B$804.7B
Dividend Yield7.82%0.98%
Holdings88505
YTD Return+3.40%+12.47%Best
1Y Return+5.85%+17.51%Best
3Y Return (annualized)+42.44%Best+21.18%
5Y Return (annualized)+10.68%+12.88%Best
Volatility (annualized)57.5%14.9%Best
Max Drawdown-94.8%-34.1%Best
$10,000 over 5 years$16,609$18,327Best
Top 10 Weight63.6%38.0%Best
Fund FamilyDirexion Shares ETF TrustState Street Investment Management
CategoryAlternativeEquity
StyleTrading-Leveraged EquityLarge Cap Blend
InceptionNov 6, 2008Jan 22, 1993

Volatility and max drawdown are measured over the window both funds cover: Nov 6, 2008 to Sep 11, 2026 (17.8 years).

FAS vs SPY 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 17.8 years both funds cover.

FAS vs SPY Performance

Direxion Daily Financial Bull 3X ETF (FAS) is an ETF from Direxion Shares ETF Trust and State Street SPDR S&P 500 ETF Trust (SPY) is an ETF from State Street Investment Management. Over the past year FAS returned +5.85% while SPY returned +17.51%. Year to date, FAS is up 3.40% versus a gain of 12.47% for SPY.

Over three years, FAS compounded at +42.44% per year against +21.18% for SPY; over five years the annualized figures are +10.68% and +12.88% respectively. Across the full 18-year window we track, SPY has the edge at +13.15% annualized vs +10.70%.

Past performance does not guarantee future results.

Risk: Volatility and Drawdowns

FAS has been the more volatile fund, with annualized monthly volatility of 57.5% compared with 14.9% for SPY. 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 -94.8% for FAS and -34.1% for SPY. Drawdown depth is what each fund did in the worst stretch of the window measured above.

The two funds' monthly returns correlate at 0.85. They usually move together, but the gap leaves some room for diversification.

Fees and Cost Over Time

FAS charges 0.88% per year while SPY charges 0.09%. On a $10,000 position that is $88 vs $9 annually, a gap of $79 per year that compounds over a long holding period. On income, FAS currently yields 7.82% against 0.98% for SPY.

Holdings Overlap

FAS already in SPY57.4%
SPY already in FAS10.8%

57.4% of FAS's money is in holdings SPY also owns. 10.8% of SPY's money is in holdings FAS also owns.

The two portfolios partly overlap.

73 positions in common, counted across the 79 positions we hold weights for in FAS and 504 in SPY, against full books of 88 and 505.

What only one of them owns

Our book lists 421 positions for SPY that do not appear in our book for FAS (88.7% of the fund), and 5 for FAS that do not appear in SPY (39.5%).

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.

Top Shared Holdings

StockWeight in FASWeight in SPYDifference
JPMJpmorgan Chase & Co.7.67%1.44%6.23%
VVisa Inc4.91%0.92%3.99%
MAMastercard Inc3.69%0.69%3.00%
BACBank Of America Corp.3.29%0.62%2.67%
GSGoldman Sachs Group Inc.2.49%0.47%2.02%
WFCWells Fargo & Co.2.17%0.41%1.76%
MSMorgan Stanley2.08%0.39%1.69%
CCitigroup Inc.1.87%0.35%1.52%
AXPAmerican Express Co.1.48%0.28%1.20%
SCHWCharles Schwab Corp.1.39%0.26%1.13%

57.4% of FAS is already inside SPY.

You probably hold more than these two. Add the rest and see how much of the whole book is the same companies twice.

FASSPY

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Frequently Asked Questions

Which is cheaper, FAS or SPY?

FAS has an expense ratio of 0.88% while SPY charges 0.09%. SPY is the cheaper option, by $79 a year on a $10,000 investment.

Which performed better, FAS or SPY?

Over the past year FAS returned +5.85% vs +17.51% for SPY, so SPY leads on 1-year performance. Over the longest common window we track (18 years), FAS annualized +10.70% vs +13.15% for SPY. Past performance does not guarantee future results. This is information, not a recommendation.

Which is riskier, FAS or SPY?

FAS has been the more volatile fund at 57.5% annualized versus 14.9% for SPY. Worst drawdown: FAS -94.8% vs SPY -34.1%.

Should I hold both FAS and SPY?

FAS and SPY have a monthly-return correlation of 0.85, 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 FAS and SPY?

57.4% of FAS's money is in holdings SPY also owns. 10.8% of SPY's is in holdings FAS also owns. They hold 73 positions in common, counted across the 79 positions we hold weights for in FAS and 504 in SPY.

Which pays a higher dividend, FAS or SPY?

FAS yields 7.82% while SPY yields 0.98%, so FAS currently pays the higher dividend yield.

Is SPY better than FAS?

SPY has a lower expense ratio. FAS led over 3Y, SPY over 1Y, 5Y and the full window. SPY is less concentrated, with 38.0% of the fund in its ten largest positions against 63.6%. Which one suits a particular account depends on what it is for. This is information, not a recommendation.