CGNG vs QQQ
Capital Group New Geography Equity ETF vs Invesco QQQ Trust, Series 1
Quick Verdict
QQQ has a lower expense ratio. CGNG delivered stronger 1-year returns. CGNG offers more diversification with 239 holdings.
Side-by-Side Comparison
| Metric | CGNG | QQQ | Winner |
|---|---|---|---|
| Expense Ratio | 0.64% | 0.18% | |
| AUM | $2.9B | $496.3B | |
| Dividend Yield | 0.62% | 0.44% | |
| Holdings | 239 | 108 | |
| YTD Return | +13.32% | +16.64% | |
| 1Y Return | +27.38% | +27.27% | |
| 3Y Return (annualized) | - | +25.96% | |
| 5Y Return (annualized) | - | +14.54% | |
| Volatility (annualized) | 13.7% | 30.6% | |
| Max Drawdown | -15.9% | -83.0% | |
| Fund Family | Capital Group (US) | Invesco (US) | |
| Category | Equity | Equity | |
| Inception | Jun 25, 2024 | Mar 10, 1999 |
CGNG vs QQQ Performance
Capital Group New Geography Equity ETF (CGNG) is a ETF from Capital Group (US) and Invesco QQQ Trust, Series 1 (QQQ) is a ETF from Invesco (US). Over the past year CGNG returned +27.38% while QQQ returned +27.27%. Year to date, CGNG is up 13.32% versus a gain of 16.64% for QQQ.
Risk: Volatility and Drawdowns
QQQ has been the more volatile fund, with annualized monthly volatility of 30.6% compared with 13.7% for CGNG. 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 -15.9% for CGNG 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 0.78. They usually move together, but the gap leaves some room for diversification.
Fees and Cost Over Time
CGNG charges 0.64% per year while QQQ charges 0.18%. On a $10,000 position that is $64 vs $18 annually, a gap of $46 per year that compounds over a long holding period. On income, CGNG currently yields 0.62% against 0.44% for QQQ.
Holdings Overlap
CGNG and QQQ share 16 holdings out of 329 unique holdings combined, representing a 9.1% weight overlap.
Moderate overlap means holding both could provide meaningful diversification benefits.
Frequently Asked Questions
Which is cheaper, CGNG or QQQ?
CGNG has an expense ratio of 0.64% while QQQ charges 0.18%. QQQ is the cheaper option. On a $10,000 investment, that is $46 per year of difference.
Which performed better, CGNG or QQQ?
Over the past year CGNG returned +27.38% vs +27.27% for QQQ, so CGNG leads on 1-year performance. Over the longest common window we track (2 years), CGNG annualized +20.24% vs +13.03% for QQQ. Past performance does not guarantee future results.
Which is riskier, CGNG or QQQ?
QQQ has been the more volatile fund at 30.6% annualized versus 13.7% for CGNG. Worst drawdown: CGNG -15.9% vs QQQ -83.0%.
Should I hold both CGNG and QQQ?
CGNG and QQQ have a monthly-return correlation of 0.78, so combining them can provide real diversification depending on your allocation goals.
What is the holdings overlap between CGNG and QQQ?
CGNG and QQQ share 16 common holdings with a 9.1% weight overlap. Combined, they hold 329 unique securities.
Which pays a higher dividend, CGNG or QQQ?
CGNG yields 0.62% while QQQ yields 0.44%, so CGNG 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.