PALU vs VOO

Quick Verdict

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

Lower Fees: VOOHigher Returns: PALUMore Diversified: VOO

Side-by-Side Comparison

MetricPALUVOOWinner
Expense Ratio1.08%0.03%
AUM$25M$979.0B
Dividend Yield3.75%1.09%
Holdings9509
YTD Return+279.71%+13.72%
1Y Return+269.85%+21.63%
3Y Return (annualized)-+21.55%
5Y Return (annualized)-+13.26%
Volatility (annualized)134.4%14.1%
Max Drawdown-62.2%-34.3%
Fund FamilyDirexion Shares ETF TrustVanguard (US)
CategoryAlternativeEquity
InceptionMar 26, 2025Sep 7, 2010

PALU vs VOO Performance

Direxion Daily PANW Bull 2X ETF (PALU) 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 PALU returned +269.85% while VOO returned +21.63%. Year to date, PALU is up 279.71% versus a gain of 13.72% for VOO.

Risk: Volatility and Drawdowns

PALU has been the more volatile fund, with annualized monthly volatility of 134.4% 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 -62.2% for PALU 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 0.30. They move independently enough that combining them can meaningfully diversify a portfolio.

Fees and Cost Over Time

PALU charges 1.08% per year while VOO charges 0.03%. On a $10,000 position that is $108 vs $3 annually, a gap of $105 per year that compounds over a long holding period. On income, PALU currently yields 3.75% against 1.09% for VOO.

Holdings Overlap

0.4%overlap

PALU and VOO share 1 holdings out of 509 unique holdings combined, representing a 0.4% weight overlap.

Moderate overlap means holding both could provide meaningful diversification benefits.

Top Shared Holdings

StockWeight in PALUWeight in VOODifference
PANW23.80%0.43%23.37%

Frequently Asked Questions

Which is cheaper, PALU or VOO?

PALU has an expense ratio of 1.08% while VOO charges 0.03%. VOO is the cheaper option. On a $10,000 investment, that is $105 per year of difference.

Which performed better, PALU or VOO?

Over the past year PALU returned +269.85% vs +21.63% for VOO, so PALU leads on 1-year performance. Over the longest common window we track (1 years), PALU annualized +120.72% vs +13.56% for VOO. Past performance does not guarantee future results.

Which is riskier, PALU or VOO?

PALU has been the more volatile fund at 134.4% annualized versus 14.1% for VOO. Worst drawdown: PALU -62.2% vs VOO -34.3%.

Should I hold both PALU and VOO?

PALU and VOO have a monthly-return correlation of 0.30, so combining them can provide real diversification depending on your allocation goals.

What is the holdings overlap between PALU and VOO?

PALU and VOO share 1 common holdings with a 0.4% weight overlap. Combined, they hold 509 unique securities.

Which pays a higher dividend, PALU or VOO?

PALU yields 3.75% while VOO yields 1.09%, so PALU currently pays the higher dividend yield.

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