CGDG vs QQQ
Capital Group Dividend Growers ETF vs Invesco QQQ Trust, Series 1
Which is better, CGDG or QQQ?
Large Cap Blend against Large Cap Growth.
QQQ has a lower expense ratio. QQQ led over 1Y, 3Y and the full window. CGDG is less concentrated, with 25.2% of the fund in its ten largest positions against 46.5%.
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 | CGDG | QQQ |
|---|---|---|
| Expense Ratio | 0.47% | 0.18%Best |
| AUM | $5.7B | $483.5B |
| Dividend Yield | 2.22% | 0.44% |
| Holdings | 110 | 107 |
| YTD Return | +5.88% | +21.16%Best |
| 1Y Return | +11.64% | +24.78%Best |
| 3Y Return (annualized) | +17.07% | +27.95%Best |
| 5Y Return (annualized) | - | +15.36% |
| Volatility (annualized) | 8.9%Best | 17.3% |
| Max Drawdown | -10.5%Best | -22.8% |
| $10,000 over 3 years | $16,045 | $21,085Best |
| Top 10 Weight | 25.2%Best | 46.5% |
| Fund Family | Capital Group (US) | Invesco (US) |
| Category | Equity | Equity |
| Style | Large Cap Blend | Large Cap Growth |
| Inception | Sep 26, 2023 | Mar 10, 1999 |
Volatility and max drawdown, and the $10,000 over 3 years row, are measured over the window both funds cover: Sep 28, 2023 to Sep 24, 2026 (3 years).
CGDG 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 3 years both funds cover.
CGDG vs QQQ Performance
Capital Group Dividend Growers ETF (CGDG) is an ETF from Capital Group (US) and Invesco QQQ Trust, Series 1 (QQQ) is an ETF from Invesco (US). Over the past year CGDG returned +11.64% while QQQ returned +24.78%. Year to date, CGDG is up 5.88% versus a gain of 21.16% for QQQ.
Over three years, CGDG compounded at +17.07% per year against +27.95% 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 8.9% for CGDG. 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 -10.5% for CGDG 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 0.44. They move together some of the time, and apart the rest.
Fees and Cost Over Time
CGDG charges 0.47% per year while QQQ charges 0.18%. On a $10,000 position that is $47 vs $18 annually, a gap of $29 per year that compounds over a long holding period. On income, CGDG currently yields 2.22% against 0.44% for QQQ.
Holdings Overlap
10.9% of CGDG's money is in holdings QQQ also owns. 13.7% of QQQ's money is in holdings CGDG also owns.
QQQ and CGDG share little of their money.
9 positions in common, counted across the 104 positions we hold weights for in CGDG and 102 in QQQ, against full books of 110 and 107.
What only one of them owns
Our book lists 87 positions for QQQ that do not appear in our book for CGDG (83.8% of the fund), and 39 for CGDG that do not appear in QQQ (40.8%).
Some of those will be the same company recorded under a different code in one of the two books, so the real difference in what you would own is no larger than this and may be smaller. We do not name the individual positions here for that reason.
Top Shared Holdings
| Stock | Weight in CGDG | Weight in QQQ | Difference |
|---|---|---|---|
| AVGOBroadcom Inc | 4.03% | 3.16% | 0.87% |
| MSFTMicrosoft Corp | 0.97% | 5.76% | 4.79% |
| KLACKla Corp | 0.81% | 1.11% | 0.30% |
| MDLZMondelez International Inc Com A Npv | 1.38% | 0.35% | 1.03% |
| AMGNAmgen Inc. | 0.67% | 0.97% | 0.30% |
| PAYXPaychex, Inc. | 1.30% | 0.19% | 1.11% |
| SBUXStarbucks Corp | 0.88% | 0.53% | 0.35% |
| TMUST-Mobile Us Inc Com Usd0.00001 | 0.49% | 0.82% | 0.33% |
| ADIAnalog Devices, Inc. | 0.40% | 0.81% | 0.41% |
You are not choosing between two funds in isolation.
Whichever of CGDG 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, CGDG or QQQ?
CGDG has an expense ratio of 0.47% while QQQ charges 0.18%. QQQ is the cheaper option, by $29 a year on a $10,000 investment.
Which performed better, CGDG or QQQ?
Over the past year CGDG returned +11.64% vs +24.78% 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, CGDG or QQQ?
QQQ has been the more volatile fund at 17.3% annualized versus 8.9% for CGDG. Worst drawdown: CGDG -10.5% vs QQQ -22.8%.
Should I hold both CGDG and QQQ?
CGDG and QQQ have a monthly-return correlation of 0.44, so their returns are far enough apart for the mix to behave differently from either one alone. This is information, not a recommendation.
What is the holdings overlap between CGDG and QQQ?
13.7% of QQQ's money is in holdings CGDG also owns. 13.7% of QQQ's is in holdings CGDG also owns. They hold 9 positions in common, counted across the 104 positions we hold weights for in CGDG and 102 in QQQ.
Which pays a higher dividend, CGDG or QQQ?
CGDG yields 2.22% while QQQ yields 0.44%, so CGDG currently pays the higher dividend yield.
Is QQQ better than CGDG?
QQQ has a lower expense ratio. QQQ led over 1Y, 3Y and the full window. CGDG is less concentrated, with 25.2% of the fund in its ten largest positions against 46.5%. Which one suits a particular account depends on what it is for. This is information, not a recommendation.