BOXA vs QQQ

Quick Verdict

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

Lower Fees: QQQHigher Returns: QQQMore Diversified: QQQ

Side-by-Side Comparison

MetricBOXAQQQWinner
Expense Ratio0.23%0.18%
AUM$15M$455.8B
Dividend Yield0.13%0.41%
Holdings8108
YTD Return-0.82%+17.85%
1Y Return+0.86%+26.45%
3Y Return (annualized)-+26.07%
5Y Return (annualized)-+15.16%
Volatility (annualized)3.2%30.6%
Max Drawdown-3.2%-83.0%
Fund FamilyAlpha ArchitectInvesco (US)
CategoryFixed IncomeEquity
InceptionDec 17, 2024Mar 10, 1999

BOXA vs QQQ Performance

Alpha Architect Aggregate Bond ETF (BOXA) is a ETF from Alpha Architect and Invesco QQQ Trust, Series 1 (QQQ) is a ETF from Invesco (US). Over the past year BOXA returned +0.86% while QQQ returned +26.45%. Year to date, BOXA is down 0.82% versus a gain of 17.85% for QQQ.

Risk: Volatility and Drawdowns

QQQ has been the more volatile fund, with annualized monthly volatility of 30.6% compared with 3.2% for BOXA. 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 -3.2% for BOXA 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 0.08. They move independently enough that combining them can meaningfully diversify a portfolio.

Fees and Cost Over Time

BOXA charges 0.23% per year while QQQ charges 0.18%. On a $10,000 position that is $23 vs $18 annually, a gap of $5 per year that compounds over a long holding period. On income, BOXA currently yields 0.13% against 0.41% for QQQ.

Frequently Asked Questions

Which is cheaper, BOXA or QQQ?

BOXA has an expense ratio of 0.23% while QQQ charges 0.18%. QQQ is the cheaper option. On a $10,000 investment, that is $5 per year of difference.

Which performed better, BOXA or QQQ?

Over the past year BOXA returned +0.86% vs +26.45% for QQQ, so QQQ leads on 1-year performance. Over the longest common window we track (2 years), BOXA annualized +2.67% vs +13.09% for QQQ. Past performance does not guarantee future results.

Which is riskier, BOXA or QQQ?

QQQ has been the more volatile fund at 30.6% annualized versus 3.2% for BOXA. Worst drawdown: BOXA -3.2% vs QQQ -83.0%.

Should I hold both BOXA and QQQ?

BOXA and QQQ have a monthly-return correlation of 0.08, so combining them can provide real diversification depending on your allocation goals.

Which pays a higher dividend, BOXA or QQQ?

BOXA yields 0.13% while QQQ yields 0.41%, so QQQ currently pays the higher dividend yield.

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