CAAA vs QQQ
First Trust AAA CMBS ETF vs Invesco QQQ Trust, Series 1
Which is better, CAAA or QQQ?
Long Term High Quality against Large Cap Growth.
QQQ has a lower expense ratio. QQQ led over 1Y and the full window.
MarketXLS is not an investment adviser. This comparison is generated automatically from market data and is for information only. A Best mark means the better reading on that one measure, not a recommendation to buy.
Side-by-Side Comparison
| Metric | CAAA | QQQ |
|---|---|---|
| Expense Ratio | 0.30% | 0.18%Best |
| AUM | $35M | $486.1B |
| Dividend Yield | 5.03% | 0.44% |
| Holdings | 236 | 107 |
| YTD Return | +1.06% | +17.54%Best |
| 1Y Return | +2.11% | +25.59%Best |
| 3Y Return (annualized) | - | +24.63% |
| 5Y Return (annualized) | - | +14.18% |
| Volatility (annualized) | 3.0%Best | 17.3% |
| Max Drawdown | -2.2%Best | -22.8% |
| $10,000 over 2.5 years | $11,362 | $16,684Best |
| Fund Family | First Trust Portfolios (US) | Invesco (US) |
| Category | Fixed Income | Equity |
| Style | Long Term High Quality | Large Cap Growth |
| Inception | Feb 27, 2024 | Mar 10, 1999 |
Not shown on this pair: Top 10 Weight.
Volatility and max drawdown, and the $10,000 over 2.5 years row, are measured over the window both funds cover: Feb 28, 2024 to Sep 4, 2026 (2.5 years).
CAAA vs QQQ growth
Month-end closes. Both lines start at 0% in the first month shown, so the gap between them is the difference in growth across that window. The full view covers the 2.5 years both funds cover.
CAAA vs QQQ Performance
First Trust AAA CMBS ETF (CAAA) is an ETF from First Trust Portfolios (US) and Invesco QQQ Trust, Series 1 (QQQ) is an ETF from Invesco (US). Over the past year CAAA returned +2.11% while QQQ returned +25.59%. Year to date, CAAA is up 1.06% versus a gain of 17.54% for QQQ.
Past performance does not guarantee future results.
Risk: Volatility and Drawdowns
QQQ has been the more volatile fund, with annualized monthly volatility of 17.3% compared with 3.0% for CAAA. 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 -2.2% for CAAA and -22.8% for QQQ. Drawdown depth is what each fund did in the worst stretch of the window measured above.
The two funds' monthly returns correlate at 0.26. They move largely independently of each other.
Fees and Cost Over Time
CAAA charges 0.30% per year while QQQ charges 0.18%. On a $10,000 position that is $30 vs $18 annually, a gap of $12 per year that compounds over a long holding period. On income, CAAA currently yields 5.03% against 0.44% for QQQ.
Holdings Overlap
We hold position weights for 51 holdings in CAAA and 102 in QQQ, totalling 43.3% and 99.9% of the two funds. The two books name no position in common, so there is no overlap percentage to show.
0 positions in common, counted across the 51 positions we hold weights for in CAAA and 102 in QQQ, against full books of 236 and 107.
You are not choosing between two funds in isolation.
Whichever of CAAA and QQQ you pick has to sit alongside everything else you own. Add the rest and see what the combination actually holds.
Free for up to 10 holdings. No account needed.
Frequently Asked Questions
Which is cheaper, CAAA or QQQ?
CAAA has an expense ratio of 0.30% while QQQ charges 0.18%. QQQ is the cheaper option, by $12 a year on a $10,000 investment.
Which performed better, CAAA or QQQ?
Over the past year CAAA returned +2.11% vs +25.59% for QQQ, so QQQ leads on 1-year performance. Past performance does not guarantee future results. This is information, not a recommendation.
Which is riskier, CAAA or QQQ?
QQQ has been the more volatile fund at 17.3% annualized versus 3.0% for CAAA. Worst drawdown: CAAA -2.2% vs QQQ -22.8%.
Should I hold both CAAA and QQQ?
CAAA and QQQ have a monthly-return correlation of 0.26, so their returns are far enough apart for the mix to behave differently from either one alone. This is information, not a recommendation.
Which pays a higher dividend, CAAA or QQQ?
CAAA yields 5.03% while QQQ yields 0.44%, so CAAA currently pays the higher dividend yield.
Is QQQ better than CAAA?
QQQ has a lower expense ratio. QQQ led over 1Y and the full window. Which one suits a particular account depends on what it is for. This is information, not a recommendation.