BUYZ vs QQQ

BUYZ 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

MetricBUYZQQQWinner
Expense Ratio0.50%0.18%
AUM$6M$496.3B
Dividend Yield0.00%0.44%
Holdings60108
YTD Return-7.52%+17.89%
1Y Return-13.70%+26.35%
3Y Return (annualized)+13.61%+26.02%
5Y Return (annualized)-6.98%+14.59%
Volatility (annualized)28.6%30.6%
Max Drawdown-68.0%-83.0%
Fund FamilyFranklin Templeton Investments (US)Invesco (US)
CategoryEquityEquity
InceptionFeb 25, 2020Mar 10, 1999

BUYZ vs QQQ Performance

Franklin Disruptive Commerce ETF (BUYZ) is a ETF from Franklin Templeton Investments (US) and Invesco QQQ Trust, Series 1 (QQQ) is a ETF from Invesco (US). Over the past year BUYZ returned -13.70% while QQQ returned +26.35%. Year to date, BUYZ is down 7.52% versus a gain of 17.89% for QQQ.

Over three years, BUYZ compounded at +13.61% per year against +26.02% for QQQ; over five years the annualized figures are -6.98% and +14.59% respectively. Across the full 7-year window we track, QQQ has the edge at +13.07% annualized vs +6.48%. 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 28.6% for BUYZ. 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 -68.0% for BUYZ 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 0.81. They usually move together, but the gap leaves some room for diversification.

Fees and Cost Over Time

BUYZ charges 0.50% per year while QQQ charges 0.18%. On a $10,000 position that is $50 vs $18 annually, a gap of $32 per year that compounds over a long holding period. On income, BUYZ currently yields 0.00% against 0.44% for QQQ.

Holdings Overlap

20.1%overlap

BUYZ and QQQ share 14 holdings out of 147 unique holdings combined, representing a 20.1% weight overlap.

Moderate overlap means holding both could provide meaningful diversification benefits.

Top Shared Holdings

StockWeight in BUYZWeight in QQQDifference
AMZN12.09%4.67%7.42%
SHOP:CA8.60%0.77%7.83%
GOOGL4.01%3.36%0.65%
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Frequently Asked Questions

Which is cheaper, BUYZ or QQQ?

BUYZ has an expense ratio of 0.50% while QQQ charges 0.18%. QQQ is the cheaper option. On a $10,000 investment, that is $32 per year of difference.

Which performed better, BUYZ or QQQ?

Over the past year BUYZ returned -13.70% vs +26.35% for QQQ, so QQQ leads on 1-year performance. Over the longest common window we track (7 years), BUYZ annualized +6.48% vs +13.07% for QQQ. Past performance does not guarantee future results.

Which is riskier, BUYZ or QQQ?

QQQ has been the more volatile fund at 30.6% annualized versus 28.6% for BUYZ. Worst drawdown: BUYZ -68.0% vs QQQ -83.0%.

Should I hold both BUYZ and QQQ?

BUYZ and QQQ have a monthly-return correlation of 0.81, so combining them can provide real diversification depending on your allocation goals.

What is the holdings overlap between BUYZ and QQQ?

BUYZ and QQQ share 14 common holdings with a 20.1% weight overlap. Combined, they hold 147 unique securities.

Which pays a higher dividend, BUYZ or QQQ?

BUYZ yields 0.00% while QQQ yields 0.44%, so QQQ currently pays the higher dividend yield.

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