BPAY vs QQQ
iShares FinTech Active ETF vs Invesco QQQ Trust, Series 1
Quick Verdict
QQQ has a lower expense ratio. QQQ delivered stronger 1-year returns. QQQ offers more diversification with 103 holdings.
Side-by-Side Comparison
| Metric | BPAY | QQQ | Winner |
|---|---|---|---|
| Expense Ratio | 0.55% | 0.18% | |
| AUM | $9M | $455.8B | |
| Dividend Yield | 7.10% | 0.41% | |
| Holdings | 42 | 108 | |
| YTD Return | -0.84% | +17.46% | |
| 1Y Return | -10.10% | +26.02% | |
| 3Y Return (annualized) | +10.50% | +25.51% | |
| 5Y Return (annualized) | - | +15.12% | |
| Volatility (annualized) | 24.3% | 30.6% | |
| Max Drawdown | -33.6% | -83.0% | |
| Fund Family | BlackRock, Inc. (US) | Invesco (US) | |
| Category | Equity | Equity | |
| Inception | Aug 16, 2022 | Mar 10, 1999 |
BPAY vs QQQ Performance
iShares FinTech Active ETF (BPAY) is a ETF from BlackRock, Inc. (US) and Invesco QQQ Trust, Series 1 (QQQ) is a ETF from Invesco (US). Over the past year BPAY returned -10.10% while QQQ returned +26.02%. Year to date, BPAY is down 0.84% versus a gain of 17.46% for QQQ.
Over three years, BPAY compounded at +10.50% per year against +25.51% for QQQ. Across the full 4-year window we track, QQQ has the edge at +13.08% annualized vs +4.70%. Past performance does not guarantee future results.
Risk: Volatility and Drawdowns
QQQ has been the more volatile fund, with annualized monthly volatility of 30.6% compared with 24.3% for BPAY. 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 -33.6% for BPAY 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 0.59. They move independently enough that combining them can meaningfully diversify a portfolio.
Fees and Cost Over Time
BPAY charges 0.55% per year while QQQ charges 0.18%. On a $10,000 position that is $55 vs $18 annually, a gap of $37 per year that compounds over a long holding period. On income, BPAY currently yields 7.10% against 0.41% for QQQ.
Holdings Overlap
BPAY and QQQ share 1 holdings out of 141 unique holdings combined, representing a 0.4% weight overlap.
Moderate overlap means holding both could provide meaningful diversification benefits.
Top Shared Holdings
| Stock | Weight in BPAY | Weight in QQQ | Difference |
|---|---|---|---|
| MELI | 3.18% | 0.42% | 2.76% |
Frequently Asked Questions
Which is cheaper, BPAY or QQQ?
BPAY has an expense ratio of 0.55% while QQQ charges 0.18%. QQQ is the cheaper option. On a $10,000 investment, that is $37 per year of difference.
Which performed better, BPAY or QQQ?
Over the past year BPAY returned -10.10% vs +26.02% for QQQ, so QQQ leads on 1-year performance. Over the longest common window we track (4 years), BPAY annualized +4.70% vs +13.08% for QQQ. Past performance does not guarantee future results.
Which is riskier, BPAY or QQQ?
QQQ has been the more volatile fund at 30.6% annualized versus 24.3% for BPAY. Worst drawdown: BPAY -33.6% vs QQQ -83.0%.
Should I hold both BPAY and QQQ?
BPAY and QQQ have a monthly-return correlation of 0.59, so combining them can provide real diversification depending on your allocation goals.
What is the holdings overlap between BPAY and QQQ?
BPAY and QQQ share 1 common holdings with a 0.4% weight overlap. Combined, they hold 141 unique securities.
Which pays a higher dividend, BPAY or QQQ?
BPAY yields 7.10% while QQQ yields 0.41%, so BPAY currently pays the higher dividend yield.
Popular ETF Comparisons
Get Full ETF Analytics
Access complete holdings data, overlap analysis, screener tools, and more with FundXLS.