BITC vs QQQ

Quick Verdict

QQQ has a lower expense ratio. BITC delivered stronger 1-year returns. QQQ offers more diversification with 103 holdings.

Lower Fees: QQQHigher Returns: BITCMore Diversified: QQQ

Side-by-Side Comparison

MetricBITCQQQWinner
Expense Ratio0.90%0.18%
AUM$15M$455.8B
Dividend Yield3.38%0.41%
Holdings4108
YTD Return+274.59%+18.20%
1Y Return+187.19%+27.63%
3Y Return (annualized)+101.35%+25.54%
5Y Return (annualized)-+15.12%
Volatility (annualized)157.2%30.6%
Max Drawdown-31.9%-83.0%
Fund FamilyBitwiseInvesco (US)
CategoryAlternativeEquity
InceptionMar 20, 2023Mar 10, 1999

BITC vs QQQ Performance

Bitwise Trendwise Bitcoin and Treasuries Rotation Strategy ETF (BITC) is a ETF from Bitwise and Invesco QQQ Trust, Series 1 (QQQ) is a ETF from Invesco (US). Over the past year BITC returned +187.19% while QQQ returned +27.63%. Year to date, BITC is up 274.59% versus a gain of 18.20% for QQQ.

Over three years, BITC compounded at +101.35% per year against +25.54% for QQQ. Across the full 3-year window we track, BITC has the edge at +87.37% annualized vs +13.11%. Past performance does not guarantee future results.

Risk: Volatility and Drawdowns

BITC has been the more volatile fund, with annualized monthly volatility of 157.2% 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 -31.9% for BITC 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

BITC charges 0.90% per year while QQQ charges 0.18%. On a $10,000 position that is $90 vs $18 annually, a gap of $72 per year that compounds over a long holding period. On income, BITC currently yields 3.38% against 0.41% for QQQ.

Frequently Asked Questions

Which is cheaper, BITC or QQQ?

BITC has an expense ratio of 0.90% while QQQ charges 0.18%. QQQ is the cheaper option. On a $10,000 investment, that is $72 per year of difference.

Which performed better, BITC or QQQ?

Over the past year BITC returned +187.19% vs +27.63% for QQQ, so BITC leads on 1-year performance. Over the longest common window we track (3 years), BITC annualized +87.37% vs +13.11% for QQQ. Past performance does not guarantee future results.

Which is riskier, BITC or QQQ?

BITC has been the more volatile fund at 157.2% annualized versus 30.6% for QQQ. Worst drawdown: BITC -31.9% vs QQQ -83.0%.

Should I hold both BITC and QQQ?

BITC 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, BITC or QQQ?

BITC yields 3.38% while QQQ yields 0.41%, so BITC currently pays the higher dividend yield.

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