BETE vs QQQ

BETE 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

MetricBETEQQQWinner
Expense Ratio0.95%0.18%
AUM$7M$496.3B
Dividend Yield79.50%0.44%
Holdings3108
YTD Return-18.36%+15.47%
1Y Return-39.28%+24.44%
3Y Return (annualized)+21.28%+25.47%
5Y Return (annualized)-+14.22%
Volatility (annualized)61.4%30.6%
Max Drawdown-61.8%-83.0%
Fund FamilyProSharesInvesco (US)
CategoryAlternativeEquity
InceptionOct 2, 2023Mar 10, 1999

BETE vs QQQ Performance

ProShares Bitcoin & Ether Equal Weight ETF (BETE) is a ETF from ProShares and Invesco QQQ Trust, Series 1 (QQQ) is a ETF from Invesco (US). Over the past year BETE returned -39.28% while QQQ returned +24.44%. Year to date, BETE is down 18.36% versus a gain of 15.47% for QQQ.

Over three years, BETE compounded at +21.28% per year against +25.47% for QQQ. Across the full 3-year window we track, BETE has the edge at +21.28% annualized vs +12.99%. Past performance does not guarantee future results.

Risk: Volatility and Drawdowns

BETE has been the more volatile fund, with annualized monthly volatility of 61.4% 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 -61.8% for BETE 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 0.39. They move independently enough that combining them can meaningfully diversify a portfolio.

Fees and Cost Over Time

BETE charges 0.95% per year while QQQ charges 0.18%. On a $10,000 position that is $95 vs $18 annually, a gap of $77 per year that compounds over a long holding period. On income, BETE currently yields 79.50% against 0.44% for QQQ.

Frequently Asked Questions

Which is cheaper, BETE or QQQ?

BETE has an expense ratio of 0.95% while QQQ charges 0.18%. QQQ is the cheaper option. On a $10,000 investment, that is $77 per year of difference.

Which performed better, BETE or QQQ?

Over the past year BETE returned -39.28% vs +24.44% for QQQ, so QQQ leads on 1-year performance. Over the longest common window we track (3 years), BETE annualized +21.28% vs +12.99% for QQQ. Past performance does not guarantee future results.

Which is riskier, BETE or QQQ?

BETE has been the more volatile fund at 61.4% annualized versus 30.6% for QQQ. Worst drawdown: BETE -61.8% vs QQQ -83.0%.

Should I hold both BETE and QQQ?

BETE and QQQ have a monthly-return correlation of 0.39, so combining them can provide real diversification depending on your allocation goals.

Which pays a higher dividend, BETE or QQQ?

BETE yields 79.50% while QQQ yields 0.44%, so BETE currently pays the higher dividend yield.

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