The ProShares Ultra S&P500 (SSO) and Direxion Daily Semiconductor Bull 3X Shares (SOXL) offer leveraged exposure, with SOXL focused solely on the semiconductor sector, leading to higher volatility. SSO provides broader diversification and a higher dividend yield, making it less risky. Both funds have similar expense ratios but differ in performance and sector focus.

SOXL has a 15.8-year track record with a concentrated portfolio of semiconductor stocks. In contrast, SSO tracks the S&P 500, offering exposure to various sectors with 521 holdings. Both funds reset their leverage daily, affecting long-term performance and risk. SOXL is suited for tactical trading, while SSO appeals to those seeking stability and diversification.

SSO and SOXL have different expense ratios, 1-yr returns, dividend yields, and assets under management. SSO has a lower expense ratio, higher dividend yield, and broader diversification than SOXL. However, SOXL has outperformed SSO in terms of 1-yr return, despite its higher expense ratio and lower dividend yield.

SSO’s 2x leverage targets daily S&P 500 performance, providing broad market exposure with 521 holdings. SOXL’s 3x leverage focuses solely on the semiconductor sector, leading to higher volatility and deeper drawdowns. Both funds have similar expense ratios, but SSO offers higher dividend yield and broader diversification compared to SOXL.

Both SSO and SOXL cater to aggressive investors seeking amplified returns. SSO tracks the S&P 500 for broad market exposure, while SOXL concentrates on the semiconductor sector. SOXL’s higher AUM offers liquidity advantages, while SSO’s diversification across industries and higher dividend yield appeal to risk-averse investors.

Read more at Yahoo Finance: Better High-Return ETF: SOXL vs. SSO