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ETF Comparison

TECL vs TQQQ: Which 3x Daily Index Are You Levering?

A head-to-head of Direxion's Daily Technology Bull 3X Shares and ProShares UltraPro QQQ covering the index underneath, cost, and daily reset.

Updated October 2, 2026

How these figures are calculated: methodology.

Best for

  • TECLInvestors who want broad equity exposure.
  • TQQQInvestors who want broad equity exposure.

Jump to the side-by-side numbers

Visual comparison

Key metrics

Projected income on $10K

Projections assume the current yield and share price remain constant. Actual results will vary.

Total returns

100% reinvested · ex-date convention. Period returns use this fixed assumption, independent of chart settings. YTD and 1Y are cumulative period returns; 3Y, 5Y, and 10Y are annualized. The shared Since-start window is annualized only when it covers at least one year.

TECL has outpaced TQQQ over the trailing twelve months, posting a 105.26% total return against 55.67%. The lead holds up over 10 years too: TECL has compounded at 49.70% a year, against 41.41% for TQQQ. Figures are total returns: price change plus every distribution reinvested.

Total return and risk statistics by fund. Each row is one fund; each column is one period or statistic.
SymbolYTD cumulative1Y cumulative3Y annualized5Y annualized10Y annualizedSince Feb 2010Volatility Sharpe Sortino Max drawdown
TECL109.05%105.26%81.19%35.20%49.70%42.55%74.4%0.741.02-66.6%
TQQQ55.66%55.67%66.16%21.84%41.41%43.24%60.5%0.771.08-58.0%

Total return with all distributions reinvested on the ex-dividend date (a modeling convention, not the cash-settlement date), split-adjusted, as of October 2, 2026. YTD and 1Y are cumulative period returns; 3Y, 5Y, and 10Y are annualized. The shared Since-start window is annualized only when it covers at least one year. “Since Feb 2010” measures every fund from February 11, 2010 — the start of shared available history — so all funds share one comparison window. Volatility is the annualized standard deviation of daily total returns over the trailing 3 years. Sharpe and Sortino divide the annualized return in excess of the risk-free rate by, respectively, that volatility and the downside deviation (both over the trailing 3 years) — higher is better. Max drawdown is the largest peak-to-trough total-return decline over the same window — shallower is better.

Side-by-side snapshot

Side-by-side snapshot. Each row is one metric; each column is one fund.
MetricTECLTQQQ
Full nameDirexion Daily Technology Bull 3X SharesProShares UltraPro QQQ
IssuerDirexionProShares
Underlying indexTechnology Select Sector IndexNasdaq-100 Index
Last Close$246.31 as of October 2, 2026$81.01 as of October 2, 2026
Distribution rate0.34%0.77%
Trailing 12-month yield3.47%0.60%
Distribution Safety Score™ 7074
Safety-Adjusted Yield 0.24%0.57%
Expense ratio0.87%0.78%
AUM$6.67B$38.7B
Distribution frequencyQuarterlyQuarterly
ObjectiveSeeks daily investment results of 300% of the performance of the Technology Select Sector Index.Seek daily investment results, before fees, that correspond to three times the daily performance of the Nasdaq-100 Index.
Asset classEquityEquity
Inception date12/17/200802/09/2010
Beta5.04.04
Last dividend$0.209$0.156
Ex-dividend date09/22/202609/23/2026

Bottom lineTECL and TQQQ are both for investors who want broad equity exposure — so strategy isn't the deciding factor here. Fees and payouts are close too, so it comes down to which your broker offers commission-free and any share-price or tax-lot preference.

TECL vs TQQQ: which index is levered 3x?

Daily 3x reset is the product on both sides. The only lasting difference is the index: US technology versus the Nasdaq-100.

TECLTQQQ
IndexTechnology Select Sector IndexNasdaq-100 Index
Leverage3x daily3x daily
Expense ratio0.87%0.78%
Distribution rate0.34%0.77%
RoleTrading vehicle, not a core holdingTrading vehicle, not a core holding

How the risk works

Read this before the income numbers below: the strategy mechanics on this page shape what those payouts can cost you.

  • Daily leverage reset. TECL and TQQQ target a multiple of the index's DAILY move, resetting every session. Over weeks and months the compounding of daily resets (volatility decay) can drag returns far below the stated multiple, especially in choppy markets — and losses are magnified the same way gains are.

Learn the mechanics: Why daily-reset leverage decays

Model this comparison:
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Income calculator

See how much monthly income a hypothetical investment would generate in each ETF at current yields.

Direxion
ETFs132
Total AUM$71.9B

ETFs and AUM reflect what Dividend Vision tracks — the issuer's full lineup may be larger.

Direxion is known for offering leveraged and inverse ETFs that enable investors to amplify or hedge market exposure across various asset classes and market segments. The firm's fund lineup focuses primarily on income-generating strategies and leveraged products, featuring both daily leveraged long positions and inverse (bearish) funds designed for tactical trading and hedging purposes. The issuer maintains a broad range of tickers covering sectors, commodities, cryptocurrencies, and equity indices, appealing to active traders and investors seeking non-traditional exposure management tools.

See our curated list of related YouTube videos on TECL.

See all Direxion ETFs
ProShares
ETFs170
Total AUM$129B

ETFs and AUM reflect what Dividend Vision tracks — the issuer's full lineup may be larger.

ProShares is known for offering leveraged and inverse ETFs that provide amplified exposure to market movements, along with thematic and income-focused strategies. Their fund lineup spans digital assets (including Bitcoin and Ethereum exposure through BITO and EETH), dividend strategies like the Dividend Aristocrats fund (NOBL), covered call income strategies, and leveraged/inverse products that track major indices with 2x or 3x daily multipliers (such as SSO and TQQQ for tech-heavy portfolios). With 23 ETFs across specialized families including leveraged products, money market funds, and sector-specific offerings, ProShares serves investors seeking both traditional income and alternative exposure strategies.

See our curated list of related YouTube videos on TQQQ.

See all ProShares ETFs

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Quick verdict

TECL (Direxion Daily Technology Bull 3X Shares) and TQQQ (ProShares UltraPro QQQ) are both quarterly-pay dividend ETFs, but they take different approaches.

TQQQ offers the higher yield at 0.77% vs 0.34% for TECL. A higher yield means more current income per dollar invested, though it may come with different risk characteristics.

TQQQ is cheaper with an expense ratio of 0.78% compared to 0.87%.

They have different reference exposures: TECL is linked to Technology Select Sector Index while TQQQ is linked to Nasdaq-100 Index, which means their performance drivers differ.

TQQQ is the larger fund by assets ($38.7B), but assets alone do not establish trading costs or liquidity.

Deep dive

Yield & income

On a $10,000 investment, TECL would generate roughly $8.50 cash per distribution, while TQQQ would produce $19.25 cash per distribution, at current distribution rates. Both pay quarterly distributions.

TECL yield0.34%
TQQQ yield0.77%
Cash diff on $10K$10.75

Cost & efficiency

Over 10 years on $10,000, TECL would cost approximately $870 in fees vs $780 for TQQQ (simplified, not compounded). The $90.00 difference may be offset by yield or performance.

TECL ER0.87%
TQQQ ER0.78%

Strategy & risk

TECL tracks Technology Select Sector Index with a leverage approach, while TQQQ tracks Nasdaq-100 Index with a leverage approach. Beta is 5.0 for TECL and 4.04 for TQQQ, making TQQQ the less volatile of the two by this measure.

TECL beta5.0
TQQQ beta4.04

Fund details

TECL is managed by Direxion (launched 12/17/2008) with $6.67B in assets. TQQQ is managed by ProShares (launched 02/09/2010) with $38.7B in assets.

TECL AUM$6.67B
TQQQ AUM$38.7B
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Frequently asked questions

What is the difference between TECL and TQQQ?

Both reset daily at three times an index, so leverage decay is the product, not a side effect. TECL (Direxion Daily Technology Bull 3X Shares) levers Technology Select Sector Index — the US technology sector. TQQQ (ProShares UltraPro QQQ) levers Nasdaq-100 Index, which includes non-tech Nasdaq-100 names and excludes financials by rule. Cost is 0.87% versus 0.78%. Distributions (0.34% and 0.77% as of October 2026) are noise. Neither is a long-term substitute for the unlevered index it tracks.

What is the current distribution rate for TECL and TQQQ?

TECL currently distributes 0.34% and TQQQ 0.77%, based on fund data updated October 2026. Distribution rate moves with both the payout and the share price, so check the as-of date before relying on either figure.

Is TECL or TQQQ better for dividend income?

It depends on your goals. TQQQ currently offers the higher distribution yield, which means more income per dollar invested. However, a lower-yield fund may offer better total return or lower volatility. Consider your time horizon and risk tolerance.

Can I hold both TECL and TQQQ?

Yes — nothing prevents holding both. Whether the combination actually diversifies depends on how much the underlying exposures overlap, which isn't fully measurable from the data on this page; review each security's holdings, sector, and strategy before treating them as complementary.

Is TECL or TQQQ safer?

By Dividend Vision's Distribution Safety Score — a rules-based 0–100 estimate of how resilient a distribution looks, where higher is safer — TQQQ scores 74, TECL scores 70, so TQQQ's payout currently looks the more resilient of the two. TQQQ has also shown lower price volatility (beta 4.04 vs 5.00 for TECL). No score makes an investment risk-free — treat this as a screening signal, not a guarantee, and the leverage, options-income, or crypto caveats flagged on this page apply regardless of score.

Which has lower fees, TECL or TQQQ?

TECL has an expense ratio of 0.87% while TQQQ charges 0.78%. Lower fees mean more of your investment returns stay in your pocket over time.

How much income does $10,000 in TECL vs TQQQ generate?

At current rates, $10,000 in TECL would generate roughly $8.50 cash per distribution ($34.00 annually). The same in TQQQ would produce about $19.25 cash per distribution ($77.00 annually).

Which has performed better historically, TECL or TQQQ?

TECL has outpaced TQQQ over the trailing twelve months, posting a 105.26% total return against 55.67%. The lead holds up over 10 years too: TECL has compounded at 49.70% a year, against 41.41% for TQQQ. Figures are total returns: price change plus every distribution reinvested. Past performance does not guarantee future results.

More comparisons to explore

TECL vs TQQQ — at a glance

Generated October 3, 2026.

Overview

TECL and TQQQ are both 3X daily leveraged ETFs that amplify gains (or losses) in technology-heavy equity indexes. TECL tracks the S&P 500 Technology Select Sector Index—essentially large-cap tech stocks within the broader market. TQQQ targets the Nasdaq-100 Index, which is dominated by tech but includes consumer discretionary and other growth sectors and skews more heavily toward mega-cap names. Both reset daily, meaning they are designed to match three times the daily return of their underlying indexes, not annualized returns.

How they differ

The largest difference is scope: TQQQ's Nasdaq-100 is narrower and more concentrated than TECL's Technology Sector Index, and TQQQ's portfolio leans harder toward mega-cap giants. TQQQ has a 32047931344 larger asset base ($38.7B vs. TECL charges 0.87% in fees against 0.78% for TQQQ—a 0.09% difference. Yield matters little in leveraged funds, but TQQQ's 0.77% is roughly double TECL's 0.34%, a reflection of the Nasdaq-100's capital-appreciation bias and lower dividend contribution. TQQQ's beta of 4.04 is lower than TECL's 5.0, though both are extremely volatile instruments; the difference suggests TQQQ's daily rebalancing or underlying composition produces slightly dampened leverage in practice.

Who each is best for

TECL: Fits traders and tactical allocators seeking three-times daily leverage to the broader tech sector within the S&P 500, with willingness to hold for periods shorter than a year and capacity to monitor decay and slippage.

TQQQ: Fits aggressive traders focused on mega-cap tech and growth names (Apple, Microsoft, Nvidia, Tesla) who want daily 3X leverage to the Nasdaq-100 and have the risk tolerance for volatility and rebalancing drag over multi-week or multi-month windows.

Key risks to know

  • Daily reset decay. Both funds are designed to match daily performance, not longer-term returns. Over weeks and months, compounding slippage and volatility decay are likely to erode NAV relative to a 3X buy-and-hold of the underlying. The longer the holding period, the more pronounced this drag becomes.
  • Extreme leverage amplifies drawdowns. A 10% daily drop in the underlying translates to approximately a 30% loss in either fund. Market corrections in tech (a sector prone to sharp reversals) can inflict severe damage in days, and recovery lag makes recouping losses harder than losing them.
  • Concentration in mega-cap tech. TQQQ's Nasdaq-100 focus means exposure is dominated by a handful of stocks; any negative earnings surprise or valuation reset in those names hits hard. TECL is broader but still heavily weighted to the same mega-cap tech winners, so correlation between the two is high—holdings likely overlap significantly.
  • Fee drag and slippage. TECL's 0.87% expense ratio and daily rebalancing costs chip away at returns, especially during choppy, range-bound periods when the underlying drifts sideways; TQQQ's lower 0.78% helps, but neither is free to hold. Both are daily instruments best suited to tactical windows measured in weeks, not years—holding either for months or longer should be done with clear awareness that compounding decay and drawdown amplification will likely outpace the appeal of 3X upside. Past performance does not predict future results.

AI-generated analysis for educational purposes only. Verify important details independently; past performance does not guarantee future results.

Learn the method

The metrics behind this comparison, explained in the Academy.

Dividend growth vs. high yield Yield on cost, explained How expense ratios eat returns

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These comparisons follow the Dividend Vision methodology.