ALTL vs QQQ

ALTL vs QQQ

Which is better, ALTL or QQQ?

Large Cap Value against Large Cap Growth.

QQQ has a lower expense ratio. QQQ led over 1Y, 3Y, 5Y and the full window. ALTL is less concentrated, with 12.5% of the fund in its ten largest positions against 46.5%.

Lower Fees: QQQHigher Returns: QQQLess Concentrated: ALTL

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

MetricALTLQQQ
Expense Ratio0.60%0.18%Best
AUM$88M$483.5B
Dividend Yield0.95%0.44%
Holdings102107
YTD Return+6.79%+15.94%Best
1Y Return+10.06%+20.44%Best
3Y Return (annualized)+9.48%+24.86%Best
5Y Return (annualized)+2.45%+14.26%Best
Volatility (annualized)19.9%Best20.4%
Max Drawdown-31.9%Best-35.1%
$10,000 over 5 years$11,287$19,475Best
Top 10 Weight12.5%Best46.5%
Fund FamilyPacer ETFsInvesco (US)
CategoryEquityEquity
StyleLarge Cap ValueLarge Cap Growth
InceptionJun 24, 2020Mar 10, 1999

Volatility and max drawdown are measured over the window both funds cover: Jun 25, 2020 to Sep 14, 2026 (6.2 years).

ALTL 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.

ALTL vs QQQ Performance

Pacer Lunt Large Cap Alternator ETF (ALTL) is an ETF from Pacer ETFs and Invesco QQQ Trust, Series 1 (QQQ) is an ETF from Invesco (US). Over the past year ALTL returned +10.06% while QQQ returned +20.44%. Year to date, ALTL is up 6.79% versus a gain of 15.94% for QQQ.

Over three years, ALTL compounded at +9.48% per year against +24.86% for QQQ; over five years the annualized figures are +2.45% and +14.26% respectively. Across the full 6-year window we track, QQQ has the edge at +19.17% annualized vs +11.96%.

Past performance does not guarantee future results.

Risk: Volatility and Drawdowns

QQQ has been the more volatile fund, with annualized monthly volatility of 20.4% compared with 19.9% for ALTL. 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 -31.9% for ALTL 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 0.56. They move together some of the time, and apart the rest.

Fees and Cost Over Time

ALTL charges 0.60% per year while QQQ charges 0.18%. On a $10,000 position that is $60 vs $18 annually, a gap of $42 per year that compounds over a long holding period. On income, ALTL currently yields 0.95% against 0.44% for QQQ.

Holdings Overlap

ALTL already in QQQ8.8%
QQQ already in ALTL5.5%

8.8% of ALTL's money is in holdings QQQ also owns. 5.5% of QQQ's money is in holdings ALTL also owns.

ALTL and QQQ share little of their money.

9 positions in common, counted across the 101 positions we hold weights for in ALTL and 102 in QQQ, against full books of 102 and 107.

What only one of them owns

Measured across the 101 and 102 positions we hold weights for.

QQQ holds 87 positions ALTL does not, 92.0% of the fund.

Largest: NVDA 8.44%, AAPL 7.27%, MSFT 5.76%, AMZN 4.67%, MU 4.43%

Top Shared Holdings

StockWeight in ALTLWeight in QQQDifference
COSTCostco Wholesale Corp.1.02%1.84%0.82%
LINLinde Plc Ordinary Shares1.11%1.00%0.11%
PEPPepsico Inc.0.95%0.83%0.12%
AEPAmerican Electric Power Co Inc1.07%0.30%0.77%
CSXCsx Corp.0.89%0.42%0.47%
EXCExelon1.03%0.21%0.82%
XELXcel Energy Inc.1.02%0.21%0.81%
CTASCintas Corp.0.87%0.35%0.52%
MDLZMondelez International Inc Com A Npv0.87%0.35%0.52%

You are not choosing between two funds in isolation.

Whichever of ALTL and QQQ you pick has to sit alongside everything else you own. Add the rest and see what the combination actually holds.

ALTLQQQ

Free for up to 10 holdings. No account needed.

Frequently Asked Questions

Which is cheaper, ALTL or QQQ?

ALTL has an expense ratio of 0.60% while QQQ charges 0.18%. QQQ is the cheaper option, by $42 a year on a $10,000 investment.

Which performed better, ALTL or QQQ?

Over the past year ALTL returned +10.06% vs +20.44% for QQQ, so QQQ leads on 1-year performance. Over the longest common window we track (6 years), ALTL annualized +11.96% vs +19.17% for QQQ. Past performance does not guarantee future results. This is information, not a recommendation.

Which is riskier, ALTL or QQQ?

QQQ has been the more volatile fund at 20.4% annualized versus 19.9% for ALTL. Worst drawdown: ALTL -31.9% vs QQQ -35.1%.

Should I hold both ALTL and QQQ?

ALTL and QQQ have a monthly-return correlation of 0.56, so their returns are far enough apart for the mix to behave differently from either one alone. This is information, not a recommendation.

What is the holdings overlap between ALTL and QQQ?

8.8% of ALTL's money is in holdings QQQ also owns. 5.5% of QQQ's is in holdings ALTL also owns. They hold 9 positions in common, counted across the 101 positions we hold weights for in ALTL and 102 in QQQ.

Which pays a higher dividend, ALTL or QQQ?

ALTL yields 0.95% while QQQ yields 0.44%, so ALTL currently pays the higher dividend yield.

Is QQQ better than ALTL?

QQQ has a lower expense ratio. QQQ led over 1Y, 3Y, 5Y and the full window. ALTL is less concentrated, with 12.5% of the fund in its ten largest positions against 46.5%. Which one suits a particular account depends on what it is for. This is information, not a recommendation.