AETH vs QQQ

AETH vs QQQ
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Quick Verdict

QQQ has a lower expense ratio. QQQ delivered stronger 1-year returns. QQQ offers more diversification with 108 holdings.

Lower Fees: QQQHigher Returns: QQQMore Diversified: QQQ

Side-by-Side Comparison

MetricAETHQQQWinner
Expense Ratio0.89%0.18%
AUM$4M$496.3B
Dividend Yield2.78%0.44%
Holdings3108
YTD Return-17.75%+19.52%
1Y Return-45.54%+26.68%
3Y Return (annualized)-+26.64%
5Y Return (annualized)-+15.36%
Volatility (annualized)63.0%30.6%
Max Drawdown-51.1%-83.0%
Fund FamilyBitwiseInvesco (US)
CategoryAlternativeEquity
InceptionSep 29, 2023Mar 10, 1999

AETH vs QQQ Performance

Bitwise Trendwise Ether and Treasuries Rotation Strategy ETF (AETH) is a ETF from Bitwise and Invesco QQQ Trust, Series 1 (QQQ) is a ETF from Invesco (US). Over the past year AETH returned -45.54% while QQQ returned +26.68%. Year to date, AETH is down 17.75% versus a gain of 19.52% for QQQ.

Risk: Volatility and Drawdowns

AETH has been the more volatile fund, with annualized monthly volatility of 63.0% compared with 30.6% 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 -51.1% for AETH and -83.0% for QQQ. 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 0.32. They move independently enough that combining them can meaningfully diversify a portfolio.

Fees and Cost Over Time

AETH charges 0.89% per year while QQQ charges 0.18%. On a $10,000 position that is $89 vs $18 annually, a gap of $71 per year that compounds over a long holding period. On income, AETH currently yields 2.78% against 0.44% for QQQ.

Frequently Asked Questions

Which is cheaper, AETH or QQQ?

AETH has an expense ratio of 0.89% while QQQ charges 0.18%. QQQ is the cheaper option. On a $10,000 investment, that is $71 per year of difference.

Which performed better, AETH or QQQ?

Over the past year AETH returned -45.54% vs +26.68% for QQQ, so QQQ leads on 1-year performance. Over the longest common window we track (3 years), AETH annualized +14.98% vs +13.14% for QQQ. Past performance does not guarantee future results.

Which is riskier, AETH or QQQ?

AETH has been the more volatile fund at 63.0% annualized versus 30.6% for QQQ. Worst drawdown: AETH -51.1% vs QQQ -83.0%.

Should I hold both AETH and QQQ?

AETH and QQQ have a monthly-return correlation of 0.32, so combining them can provide real diversification depending on your allocation goals.

Which pays a higher dividend, AETH or QQQ?

AETH yields 2.78% while QQQ yields 0.44%, so AETH currently pays the higher dividend yield.

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