AFGR vs QQQ
First Trust Active Factor Large Cap Growth ETF vs Invesco QQQ Trust, Series 1
Which is better, AFGR or QQQ?
QQQ has been ahead.
QQQ has a lower expense ratio. QQQ led over 1Y, 3Y, 5Y and the full window. The two have moved almost in lockstep, correlation 0.93. QQQ is less concentrated, with 46.5% of the fund in its ten largest positions against 47.2%.
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 | AFGR | QQQ |
|---|---|---|
| Expense Ratio | 0.65% | 0.18%Best |
| AUM | $92M | $483.5B |
| Dividend Yield | 0.00% | 0.44% |
| Holdings | 74 | 107 |
| YTD Return | +5.81% | +17.95%Best |
| 1Y Return | +2.53% | +21.77%Best |
| 3Y Return (annualized) | +21.01% | +25.63%Best |
| 5Y Return (annualized) | +6.07% | +15.24%Best |
| Volatility (annualized) | 20.9% | 20.4%Best |
| Max Drawdown | -46.0% | -35.1%Best |
| $10,000 over 5 years | $13,427 | $20,324Best |
| Top 10 Weight | 47.2% | 46.5%Best |
| Fund Family | First Trust Portfolios (US) | Invesco (US) |
| Category | Equity | Equity |
| Style | Large Cap Growth | Large Cap Growth |
| Inception | Jul 20, 2020 | Mar 10, 1999 |
Volatility and max drawdown are measured over the window both funds cover: Jul 22, 2020 to Sep 18, 2026 (6.2 years).
AFGR vs QQQ 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 6.2 years both funds cover.
AFGR vs QQQ Performance
First Trust Active Factor Large Cap Growth ETF (AFGR) is an ETF from First Trust Portfolios (US) and Invesco QQQ Trust, Series 1 (QQQ) is an ETF from Invesco (US). Over the past year AFGR returned +2.53% while QQQ returned +21.77%. Year to date, AFGR is up 5.81% versus a gain of 17.95% for QQQ.
Over three years, AFGR compounded at +21.01% per year against +25.63% for QQQ; over five years the annualized figures are +6.07% and +15.24% respectively. Across the full 6-year window we track, QQQ has the edge at +18.29% annualized vs +10.75%.
Past performance does not guarantee future results.
Risk: Volatility and Drawdowns
AFGR has been the more volatile fund, with annualized monthly volatility of 20.9% compared with 20.4% 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 -46.0% for AFGR and -35.1% for QQQ. Drawdown depth is what each fund did in the worst stretch of the window measured above.
The two funds' monthly returns correlate at 0.93. They move almost in lockstep, so holding both mostly duplicates the same exposure.
Fees and Cost Over Time
AFGR charges 0.65% per year while QQQ charges 0.18%. On a $10,000 position that is $65 vs $18 annually, a gap of $47 per year that compounds over a long holding period. On income, AFGR currently yields 0.00% against 0.44% for QQQ.
Holdings Overlap
65.1% of AFGR's money is in holdings QQQ also owns. 64.8% of QQQ's money is in holdings AFGR also owns.
The two portfolios partly overlap.
34 positions in common, counted across the 73 positions we hold weights for in AFGR and 102 in QQQ, against full books of 74 and 107.
What only one of them owns
Measured across the 73 and 102 positions we hold weights for.
QQQ holds 62 positions AFGR does not, 32.7% of the fund.
Largest: GOOG 3.13%, WMT 2.41%, INTC 2.23%, COST 1.84%, TXN 1.12%
Top Shared Holdings
| Stock | Weight in AFGR | Weight in QQQ | Difference |
|---|---|---|---|
| NVDANvidia Corp | 10.81% | 8.44% | 2.37% |
| GOOGLAlphabet Inc,class A | 10.82% | 3.36% | 7.46% |
| AAPLApple, Inc | 4.22% | 7.27% | 3.05% |
| MSFTMicrosoft Corp | 4.34% | 5.76% | 1.42% |
| AMZNAmazon.Com Inc | 3.56% | 4.67% | 1.11% |
| AVGOBroadcom Inc | 3.73% | 3.16% | 0.57% |
| METAMeta Platforms Inc | 3.37% | 2.78% | 0.59% |
| MUMicron Technology, Inc. | 0.56% | 4.43% | 3.87% |
| AMDAdvanced Micro Devices Inc | 0.85% | 3.45% | 2.60% |
| AMATApplied Materials, Inc. | 1.85% | 1.86% | 0.01% |
65.1% of AFGR 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.
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Frequently Asked Questions
Which is cheaper, AFGR or QQQ?
AFGR has an expense ratio of 0.65% while QQQ charges 0.18%. QQQ is the cheaper option, by $47 a year on a $10,000 investment.
Which performed better, AFGR or QQQ?
Over the past year AFGR returned +2.53% vs +21.77% for QQQ, so QQQ leads on 1-year performance. Over the longest common window we track (6 years), AFGR annualized +10.75% vs +18.29% for QQQ. Past performance does not guarantee future results. This is information, not a recommendation.
Which is riskier, AFGR or QQQ?
AFGR has been the more volatile fund at 20.9% annualized versus 20.4% for QQQ. Worst drawdown: AFGR -46.0% vs QQQ -35.1%.
Should I hold both AFGR and QQQ?
AFGR and QQQ have a monthly-return correlation of 0.93, 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 AFGR and QQQ?
65.1% of AFGR's money is in holdings QQQ also owns. 64.8% of QQQ's is in holdings AFGR also owns. They hold 34 positions in common, counted across the 73 positions we hold weights for in AFGR and 102 in QQQ.
Which pays a higher dividend, AFGR or QQQ?
AFGR yields 0.00% while QQQ yields 0.44%, so QQQ currently pays the higher dividend yield.
Is QQQ better than AFGR?
QQQ has a lower expense ratio. QQQ led over 1Y, 3Y, 5Y and the full window. The two have moved almost in lockstep, correlation 0.93. QQQ is less concentrated, with 46.5% of the fund in its ten largest positions against 47.2%. Which one suits a particular account depends on what it is for. This is information, not a recommendation.