MSFU vs SPY

MSFU vs SPY

Which is better, MSFU or SPY?

Trading-Leveraged Equity against Large Cap Blend.

SPY has a lower expense ratio. SPY led over 1Y, 3Y and the full window.

Lower Fees: SPYHigher Returns: 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

MetricMSFUSPY
Expense Ratio0.98%0.09%Best
AUM$613M$814.4B
Dividend Yield9.12%1.01%
Holdings9505
YTD Return-5.34%+12.71%Best
1Y Return-18.42%+19.36%Best
3Y Return (annualized)+8.75%+21.09%Best
5Y Return (annualized)-+12.69%
Volatility (annualized)51.4%13.2%Best
Max Drawdown-62.4%-18.8%Best
$10,000 over 4 years$17,729$20,304Best
Fund FamilyDirexion Shares ETF TrustState Street Investment Management
CategoryAlternativeEquity
StyleTrading-Leveraged EquityLarge Cap Blend
InceptionSep 7, 2022Jan 22, 1993

Not shown on this pair: Top 10 Weight.

Volatility and max drawdown, and the $10,000 over 4 years row, are measured over the window both funds cover: Sep 7, 2022 to Sep 8, 2026 (4 years).

MSFU 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 4 years both funds cover.

MSFU vs SPY Performance

Direxion Daily MSFT Bull 2X ETF (MSFU) 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 MSFU returned -18.42% while SPY returned +19.36%. Year to date, MSFU is down 5.34% versus a gain of 12.71% for SPY.

Over three years, MSFU compounded at +8.75% per year against +21.09% for SPY. Across the full 4-year window we track, SPY has the edge at +19.37% annualized vs +15.39%.

Past performance does not guarantee future results.

Risk: Volatility and Drawdowns

MSFU has been the more volatile fund, with annualized monthly volatility of 51.4% compared with 13.2% 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 -62.4% for MSFU and -18.8% 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 0.49. They move together some of the time, and apart the rest.

Fees and Cost Over Time

MSFU charges 0.98% per year while SPY charges 0.09%. On a $10,000 position that is $98 vs $9 annually, a gap of $89 per year that compounds over a long holding period. On income, MSFU currently yields 9.12% against 1.01% for SPY.

Holdings Overlap

SPY already in MSFU5.5%

At least 5.5% of SPY's money is in holdings MSFU also owns.

Stated as a floor: for MSFU, our book for it covers 89.9% of that fund, so a holding it does not list is one we cannot count as shared. The real figure is this or higher.

SPY and MSFU share little of their money.

1 positions in common, counted across the 4 positions we hold weights for in MSFU and 503 in SPY, against full books of 9 and 505.

Top Shared Holdings

StockWeight in MSFUWeight in SPYDifference
MSFTMicrosoft Corp 4.100 Feb 06 3711.37%5.50%5.87%

You are not choosing between two funds in isolation.

Whichever of MSFU and SPY you pick has to sit alongside everything else you own. Add the rest and see what the combination actually holds.

MSFUSPY

Free for up to 10 holdings. No account needed.

Frequently Asked Questions

Which is cheaper, MSFU or SPY?

MSFU has an expense ratio of 0.98% while SPY charges 0.09%. SPY is the cheaper option, by $89 a year on a $10,000 investment.

Which performed better, MSFU or SPY?

Over the past year MSFU returned -18.42% vs +19.36% for SPY, so SPY leads on 1-year performance. Over the longest common window we track (4 years), MSFU annualized +15.39% vs +19.37% for SPY. Past performance does not guarantee future results. This is information, not a recommendation.

Which is riskier, MSFU or SPY?

MSFU has been the more volatile fund at 51.4% annualized versus 13.2% for SPY. Worst drawdown: MSFU -62.4% vs SPY -18.8%.

Should I hold both MSFU and SPY?

MSFU and SPY have a monthly-return correlation of 0.49, 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 MSFU and SPY?

At least 5.5% of SPY's money is in holdings MSFU also owns. Our book for MSFU is partial, so the real figure is this or higher. They hold 1 positions in common, counted across the 4 positions we hold weights for in MSFU and 503 in SPY.

Which pays a higher dividend, MSFU or SPY?

MSFU yields 9.12% while SPY yields 1.01%, so MSFU currently pays the higher dividend yield.

Is SPY better than MSFU?

SPY has a lower expense ratio. SPY led over 1Y, 3Y and the full window. Which one suits a particular account depends on what it is for. This is information, not a recommendation.