QQQ vs VGT
Invesco QQQ Trust, Series 1 vs Vanguard Information Technology ETF
Which is better, QQQ or VGT?
Nearly the same fund. VGT costs less.
VGT has a lower expense ratio. VGT led over 1Y, 3Y, 5Y and the full window. The two have moved almost in lockstep, correlation 0.98. QQQ is less concentrated, with 46.5% of the fund in its ten largest positions against 62.4%.
MarketXLS is not an investment adviser. This comparison is generated automatically from market data and is for information only. A Best mark means the better reading on that one measure, not a recommendation to buy.
Side-by-Side Comparison
| Metric | QQQ | VGT |
|---|---|---|
| Expense Ratio | 0.18% | 0.09%Best |
| AUM | $483.5B | $160.6B |
| Dividend Yield | 0.44% | 0.36% |
| Holdings | 107 | 324 |
| YTD Return | +15.94% | +26.39%Best |
| 1Y Return | +20.44% | +31.78%Best |
| 3Y Return (annualized) | +24.86% | +31.54%Best |
| 5Y Return (annualized) | +14.26% | +18.58%Best |
| Volatility (annualized) | 18.3%Best | 19.5% |
| Max Drawdown | -53.5%Best | -54.8% |
| $10,000 over 5 years | $19,475 | $23,445Best |
| Top 10 Weight | 46.5%Best | 62.4% |
| Fund Family | Invesco (US) | Vanguard (US) |
| Category | Equity | Equity |
| Style | Large Cap Growth | Large Cap Growth |
| Inception | Mar 10, 1999 | Jan 26, 2004 |
Volatility and max drawdown are measured over the window both funds cover: Jan 30, 2004 to Sep 14, 2026 (22.6 years).
QQQ vs VGT growth
Month-end closes. Both lines start at 0% in the first month shown, so the gap between them is the difference in growth across that window. The full view covers the 22.6 years both funds cover.
QQQ vs VGT Performance
Invesco QQQ Trust, Series 1 (QQQ) is an ETF from Invesco (US) and Vanguard Information Technology ETF (VGT) is an ETF from Vanguard (US). Over the past year QQQ returned +20.44% while VGT returned +31.78%. Year to date, QQQ is up 15.94% versus a gain of 26.39% for VGT.
Over three years, QQQ compounded at +24.86% per year against +31.54% for VGT; over five years the annualized figures are +14.26% and +18.58% respectively. Across the full 23-year window we track, VGT has the edge at +14.19% annualized vs +14.10%.
Past performance does not guarantee future results.
Risk: Volatility and Drawdowns
VGT has been the more volatile fund, with annualized monthly volatility of 19.5% compared with 18.3% for QQQ. 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 -53.5% for QQQ and -54.8% for VGT. Drawdown depth is what each fund did in the worst stretch of the window measured above.
The two funds' monthly returns correlate at 0.98. They move almost in lockstep, so holding both mostly duplicates the same exposure.
Fees and Cost Over Time
QQQ charges 0.18% per year while VGT charges 0.09%. On a $10,000 position that is $18 vs $9 annually, a gap of $9 per year that compounds over a long holding period. On income, QQQ currently yields 0.44% against 0.36% for VGT.
Holdings Overlap
56.2% of QQQ's money is in holdings VGT also owns. 76.9% of VGT's money is in holdings QQQ also owns.
Most of VGT is already inside QQQ. Owning both mostly buys the same companies twice.
38 positions in common, counted across the 102 positions we hold weights for in QQQ and 316 in VGT, against full books of 107 and 324.
What only one of them owns
Our book lists 243 positions for VGT that do not appear in our book for QQQ (22.5% of the fund), and 58 for QQQ that do not appear in VGT (41.3%).
Some of those will be the same company recorded under a different code in one of the two books, so the real difference in what you would own is no larger than this and may be smaller. We do not name the individual positions here for that reason.
Top Shared Holdings
| Stock | Weight in QQQ | Weight in VGT | Difference |
|---|---|---|---|
| NVDANvidia Corp | 8.44% | 17.16% | 8.72% |
| AAPLApple, Inc | 7.27% | 16.25% | 8.98% |
| MSFTMicrosoft Corp | 5.76% | 10.96% | 5.20% |
| MUMicron Technology, Inc. | 4.43% | 3.82% | 0.61% |
| AVGOBroadcom Inc | 3.16% | 4.21% | 1.05% |
| AMDAdvanced Micro Devices Inc | 3.45% | 3.18% | 0.27% |
| CSCOCisco Systems Inc. - Ordinary Shares | 2.10% | 1.91% | 0.19% |
| INTCIntel Corporation | 2.23% | 1.65% | 0.58% |
| AMATApplied Materials, Inc. | 1.86% | 1.69% | 0.17% |
| LRCXLam Research Corp 3.125 06/15/2060 | 1.69% | 1.54% | 0.15% |
76.9% of VGT is already inside QQQ.
You probably hold more than these two. Add the rest and see how much of the whole book is the same companies twice.
Free for up to 10 holdings. No account needed.
Frequently Asked Questions
Which is cheaper, QQQ or VGT?
QQQ has an expense ratio of 0.18% while VGT charges 0.09%. VGT is the cheaper option, by $9 a year on a $10,000 investment.
Which performed better, QQQ or VGT?
Over the past year QQQ returned +20.44% vs +31.78% for VGT, so VGT leads on 1-year performance. Over the longest common window we track (23 years), QQQ annualized +14.10% vs +14.19% for VGT. Past performance does not guarantee future results. This is information, not a recommendation.
Which is riskier, QQQ or VGT?
VGT has been the more volatile fund at 19.5% annualized versus 18.3% for QQQ. Worst drawdown: QQQ -53.5% vs VGT -54.8%.
Should I hold both QQQ and VGT?
QQQ and VGT have a monthly-return correlation of 0.98, so they move almost identically. What is left to separate them is the fee and the index each one tracks. This is information, not a recommendation.
What is the holdings overlap between QQQ and VGT?
76.9% of VGT's money is in holdings QQQ also owns. 76.9% of VGT's is in holdings QQQ also owns. They hold 38 positions in common, counted across the 102 positions we hold weights for in QQQ and 316 in VGT.
Which pays a higher dividend, QQQ or VGT?
QQQ yields 0.44% while VGT yields 0.36%, so QQQ currently pays the higher dividend yield.
Is VGT better than QQQ?
VGT has a lower expense ratio. VGT led over 1Y, 3Y, 5Y and the full window. The two have moved almost in lockstep, correlation 0.98. QQQ is less concentrated, with 46.5% of the fund in its ten largest positions against 62.4%. Which one suits a particular account depends on what it is for. This is information, not a recommendation.