SOXL vs VGI

SOXL vs VGI
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Quick Verdict

SOXL has a lower expense ratio. SOXL delivered stronger 1-year returns. VGI offers more diversification with 646 holdings.

Lower Fees: SOXLHigher Returns: SOXLMore Diversified: VGI

Side-by-Side Comparison

MetricSOXLVGIWinner
Expense Ratio0.75%1.74%
AUM$24.3B$88M
Dividend Yield0.01%12.31%
Holdings43646
YTD Return+158.70%+1.12%
1Y Return+373.68%+4.23%
3Y Return (annualized)+78.05%+12.01%
5Y Return (annualized)+25.29%+2.20%
Volatility (annualized)87.7%14.1%
Max Drawdown-90.5%-63.3%
Fund FamilyDirexion Shares ETF TrustVirtus Investment Partners
CategoryAlternativeFixed Income
InceptionMar 11, 2010Feb 23, 2012

SOXL vs VGI Performance

Direxion Daily Semiconductor Bull 3X ETF (SOXL) is a ETF from Direxion Shares ETF Trust and Virtus Global Multi-Sector Income Fund (VGI) is a ETF from Virtus Investment Partners. Over the past year SOXL returned +373.68% while VGI returned +4.23%. Year to date, SOXL is up 158.70% versus a gain of 1.12% for VGI.

Over three years, SOXL compounded at +78.05% per year against +12.01% for VGI; over five years the annualized figures are +25.29% and +2.20% respectively. Across the full 15-year window we track, SOXL has the edge at +37.54% annualized vs -2.40%. Past performance does not guarantee future results.

Risk: Volatility and Drawdowns

SOXL has been the more volatile fund, with annualized monthly volatility of 87.7% compared with 14.1% for VGI. 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 -90.5% for SOXL and -63.3% for VGI. 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 0.51. They move independently enough that combining them can meaningfully diversify a portfolio.

Fees and Cost Over Time

SOXL charges 0.75% per year while VGI charges 1.74%. On a $10,000 position that is $75 vs $174 annually, a gap of $99 per year that compounds over a long holding period. On income, SOXL currently yields 0.01% against 12.31% for VGI.

Holdings Overlap

0.0%overlap

SOXL and VGI share 0 holdings out of 469 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, SOXL or VGI?

SOXL has an expense ratio of 0.75% while VGI charges 1.74%. SOXL is the cheaper option. On a $10,000 investment, that is $99 per year of difference.

Which performed better, SOXL or VGI?

Over the past year SOXL returned +373.68% vs +4.23% for VGI, so SOXL leads on 1-year performance. Over the longest common window we track (15 years), SOXL annualized +37.54% vs -2.40% for VGI. Past performance does not guarantee future results.

Which is riskier, SOXL or VGI?

SOXL has been the more volatile fund at 87.7% annualized versus 14.1% for VGI. Worst drawdown: SOXL -90.5% vs VGI -63.3%.

Should I hold both SOXL and VGI?

SOXL and VGI have a monthly-return correlation of 0.51, so combining them can provide real diversification depending on your allocation goals.

What is the holdings overlap between SOXL and VGI?

SOXL and VGI share 0 common holdings with a 0.0% weight overlap. Combined, they hold 469 unique securities.

Which pays a higher dividend, SOXL or VGI?

SOXL yields 0.01% while VGI yields 12.31%, so VGI currently pays the higher dividend yield.

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