BSMT vs QQQ

Quick Verdict

QQQ delivered stronger 1-year returns. BSMT offers more diversification with 509 holdings.

Lower Fees: TiedHigher Returns: QQQMore Diversified: BSMT

Side-by-Side Comparison

MetricBSMTQQQWinner
Expense Ratio0.18%0.18%
AUM$281M$455.8B
Dividend Yield2.74%0.41%
Holdings1,790108
YTD Return+1.08%+18.31%
1Y Return+3.36%+25.37%
3Y Return (annualized)+3.07%+25.79%
5Y Return (annualized)-0.21%+15.20%
Volatility (annualized)6.4%30.6%
Max Drawdown-16.2%-83.0%
Fund FamilyInvesco (US)Invesco (US)
CategoryFixed IncomeEquity
InceptionSep 25, 2019Mar 10, 1999

BSMT vs QQQ Performance

Invesco BulletShares 2029 Municipal Bond ETF (BSMT) is a ETF from Invesco (US) and Invesco QQQ Trust, Series 1 (QQQ) is a ETF from Invesco (US). Over the past year BSMT returned +3.36% while QQQ returned +25.37%. Year to date, BSMT is up 1.08% versus a gain of 18.31% for QQQ.

Over three years, BSMT compounded at +3.07% per year against +25.79% for QQQ; over five years the annualized figures are -0.21% and +15.20% respectively. Across the full 7-year window we track, QQQ has the edge at +13.10% annualized vs +0.60%. 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 6.4% for BSMT. 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 -16.2% for BSMT 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 0.55. They move independently enough that combining them can meaningfully diversify a portfolio.

Fees and Cost Over Time

BSMT charges 0.18% per year while QQQ charges 0.18%. On a $10,000 position that is $18 vs $18 annually. On income, BSMT currently yields 2.74% against 0.41% for QQQ.

Holdings Overlap

0.0%overlap

BSMT and QQQ share 0 holdings out of 612 unique holdings combined, representing a 0.0% weight overlap.

Moderate overlap means holding both could provide meaningful diversification benefits.

Frequently Asked Questions

Which is cheaper, BSMT or QQQ?

BSMT has an expense ratio of 0.18% while QQQ charges 0.18%. They cost the same. On a $10,000 investment, that is $0 per year of difference.

Which performed better, BSMT or QQQ?

Over the past year BSMT returned +3.36% vs +25.37% for QQQ, so QQQ leads on 1-year performance. Over the longest common window we track (7 years), BSMT annualized +0.60% vs +13.10% for QQQ. Past performance does not guarantee future results.

Which is riskier, BSMT or QQQ?

QQQ has been the more volatile fund at 30.6% annualized versus 6.4% for BSMT. Worst drawdown: BSMT -16.2% vs QQQ -83.0%.

Should I hold both BSMT and QQQ?

BSMT and QQQ have a monthly-return correlation of 0.55, so combining them can provide real diversification depending on your allocation goals.

What is the holdings overlap between BSMT and QQQ?

BSMT and QQQ share 0 common holdings with a 0.0% weight overlap. Combined, they hold 612 unique securities.

Which pays a higher dividend, BSMT or QQQ?

BSMT yields 2.74% while QQQ yields 0.41%, so BSMT currently pays the higher dividend yield.

Get Full ETF Analytics

Access complete holdings data, overlap analysis, screener tools, and more with FundXLS.