TECL +3x Direxion Daily Technology Bull 3x ETF
TECL
ETF +3x BULL extremeDirexion Daily Technology Bull 3x ETF
Realized return vs theoretical +3x Technology
Pair counterpart found:
TECS
(-3x bear, Direxion Daily Technology Bear 3x ETF)
Shorting both legs of a daily-reset bull/bear pair captures combined decay drift over time. Theoretical "free money" — actual edge depends on borrow rates (often punitive on the bear leg) and assignment risk on hard-to-borrow products.
Other leveraged products tracking Technology
| Symbol | Factor | Direction | Issuer | Name | Implied AUM | 30d Vol | Options |
|---|---|---|---|---|---|---|---|
| ROM | +2x | BULL | ProShares | ProShares Ultra Technology | $1.28B | 85,584 | |
| TTXU | +2x | BULL | Direxion | Direxion Daily Technology Top 5 Bull 2X ETF | $5.4M | 18,680 | |
| REW | -2x | BEAR | ProShares | Proshares UltraShort Technology | $2.6M | 31,946 | |
| TTXD | -2x | BEAR | Direxion | Direxion Daily Technology Top 5 Bear 2X ETF | $1.5M | 5,408 | |
| TECS | -3x | BEAR | Direxion | Direxion Daily Technology Bear 3x ETF | — | 11,734,346 |
How TECL works
TECL targets +3x the daily return of Technology — not the cumulative return over multi-day windows. The fund rebalances at the close each day using swaps or futures, which is what creates the volatility drag the chart above visualizes.
Mathematical headline: drag ≈ −0.5 × N × (N−1) × σ² per period. For a +3x product on an underlying with 25% annualized vol, expected annual drag is around 18.8%. Add expense ratio and the realized number is typically worse.
- Short-term tactical: daily and intraday holds are where these products were designed to live.
- Premium selling: options on TECL carry very rich IV — see the quote page for IV rank and straddle pricing.
- Multi-day directional: works in strong trends; gets eaten alive in chop. Use the chart above to gauge the realized vs theoretical track record.