LABD vs VTI

LABD vs VTI
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Quick Verdict

VTI has a lower expense ratio. VTI delivered stronger 1-year returns. VTI offers more diversification with 3,543 holdings.

Lower Fees: VTIHigher Returns: VTIMore Diversified: VTI

Side-by-Side Comparison

MetricLABDVTIWinner
Expense Ratio1.07%0.03%
AUM$61M$666.9B
Dividend Yield4.50%1.07%
Holdings103,543
YTD Return-68.57%+13.48%
1Y Return-87.99%+19.90%
3Y Return (annualized)-64.69%+20.94%
5Y Return (annualized)-47.94%+11.75%
Volatility (annualized)87.4%15.3%
Max Drawdown-100.0%-56.6%
Fund FamilyDirexion Shares ETF TrustVanguard (US)
CategoryAlternativeEquity
InceptionMay 28, 2015May 24, 2001

LABD vs VTI Performance

Direxion Daily S&P Biotech Bear 3X ETF (LABD) is a ETF from Direxion Shares ETF Trust and Vanguard Morningstar Total Stock Market ETF (VTI) is a ETF from Vanguard (US). Over the past year LABD returned -87.99% while VTI returned +19.90%. Year to date, LABD is down 68.57% versus a gain of 13.48% for VTI.

Over three years, LABD compounded at -64.69% per year against +20.94% for VTI; over five years the annualized figures are -47.94% and +11.75% respectively. Across the full 11-year window we track, VTI has the edge at +8.10% annualized vs -56.25%. Past performance does not guarantee future results.

Risk: Volatility and Drawdowns

LABD has been the more volatile fund, with annualized monthly volatility of 87.4% compared with 15.3% for VTI. 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 -100.0% for LABD and -56.6% for VTI. 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 -0.56. They move independently enough that combining them can meaningfully diversify a portfolio.

Fees and Cost Over Time

LABD charges 1.07% per year while VTI 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, LABD currently yields 4.50% against 1.07% for VTI.

Holdings Overlap

0.0%overlap

LABD and VTI share 0 holdings out of 2791 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, LABD or VTI?

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

Which performed better, LABD or VTI?

Over the past year LABD returned -87.99% vs +19.90% for VTI, so VTI leads on 1-year performance. Over the longest common window we track (11 years), LABD annualized -56.25% vs +8.10% for VTI. Past performance does not guarantee future results.

Which is riskier, LABD or VTI?

LABD has been the more volatile fund at 87.4% annualized versus 15.3% for VTI. Worst drawdown: LABD -100.0% vs VTI -56.6%.

Should I hold both LABD and VTI?

LABD and VTI have a monthly-return correlation of -0.56, so combining them can provide real diversification depending on your allocation goals.

What is the holdings overlap between LABD and VTI?

LABD and VTI share 0 common holdings with a 0.0% weight overlap. Combined, they hold 2791 unique securities.

Which pays a higher dividend, LABD or VTI?

LABD yields 4.50% while VTI yields 1.07%, so LABD currently pays the higher dividend yield.

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