TYD vs VTI

Quick Verdict

VTI has a lower expense ratio. VTI delivered stronger 1-year returns. VTI offers more diversification with 2783 holdings.

Lower Fees: VTIHigher Returns: VTIMore Diversified: VTI

Side-by-Side Comparison

MetricTYDVTIWinner
Expense Ratio1.07%0.03%
AUM$32M$663.5B
Dividend Yield3.25%1.07%
Holdings83,543
YTD Return-9.63%+14.16%
1Y Return-7.42%+23.62%
3Y Return (annualized)-3.12%+21.43%
5Y Return (annualized)-14.56%+12.33%
Volatility (annualized)20.0%15.3%
Max Drawdown-67.5%-56.6%
Fund FamilyDirexion Shares ETF TrustVanguard (US)
CategoryAlternativeEquity
InceptionApr 16, 2009May 24, 2001

TYD vs VTI Performance

Direxion Daily 7-10 Year Treasury Bull 3X ETF (TYD) is a ETF from Direxion Shares ETF Trust and Vanguard Total Stock Market ETF (VTI) is a ETF from Vanguard (US). Over the past year TYD returned -7.42% while VTI returned +23.62%. Year to date, TYD is down 9.63% versus a gain of 14.16% for VTI.

Over three years, TYD compounded at -3.12% per year against +21.43% for VTI; over five years the annualized figures are -14.56% and +12.33% respectively. Across the full 17-year window we track, VTI has the edge at +8.14% annualized vs -1.02%. Past performance does not guarantee future results.

Risk: Volatility and Drawdowns

TYD has been the more volatile fund, with annualized monthly volatility of 20.0% 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 -67.5% for TYD 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 -0.09. They move independently enough that combining them can meaningfully diversify a portfolio.

Fees and Cost Over Time

TYD 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, TYD currently yields 3.25% against 1.07% for VTI.

Holdings Overlap

0.0%overlap

TYD and VTI share 0 holdings out of 2787 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, TYD or VTI?

TYD 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, TYD or VTI?

Over the past year TYD returned -7.42% vs +23.62% for VTI, so VTI leads on 1-year performance. Over the longest common window we track (17 years), TYD annualized -1.02% vs +8.14% for VTI. Past performance does not guarantee future results.

Which is riskier, TYD or VTI?

TYD has been the more volatile fund at 20.0% annualized versus 15.3% for VTI. Worst drawdown: TYD -67.5% vs VTI -56.6%.

Should I hold both TYD and VTI?

TYD and VTI have a monthly-return correlation of -0.09, so combining them can provide real diversification depending on your allocation goals.

What is the holdings overlap between TYD and VTI?

TYD and VTI share 0 common holdings with a 0.0% weight overlap. Combined, they hold 2787 unique securities.

Which pays a higher dividend, TYD or VTI?

TYD yields 3.25% while VTI yields 1.07%, so TYD currently pays the higher dividend yield.

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