DBL vs QQQ

DBL vs QQQ
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Quick Verdict

QQQ has a lower expense ratio. QQQ delivered stronger 1-year returns. DBL offers more diversification with 571 holdings.

Lower Fees: QQQHigher Returns: QQQMore Diversified: DBL

Side-by-Side Comparison

MetricDBLQQQWinner
Expense Ratio2.46%0.18%
AUM$290M$496.3B
Dividend Yield9.07%0.44%
Holdings571108
YTD Return-1.59%+17.30%
1Y Return+0.79%+24.93%
3Y Return (annualized)+8.81%+26.19%
5Y Return (annualized)+1.69%+15.34%
Volatility (annualized)10.1%30.6%
Max Drawdown-45.3%-83.0%
Fund FamilyDoubleLine FundsInvesco (US)
CategoryFixed IncomeEquity
InceptionJan 26, 2012Mar 10, 1999

DBL vs QQQ Performance

DoubleLine Opportunistic Credit Fund (DBL) is a ETF from DoubleLine Funds and Invesco QQQ Trust, Series 1 (QQQ) is a ETF from Invesco (US). Over the past year DBL returned +0.79% while QQQ returned +24.93%. Year to date, DBL is down 1.59% versus a gain of 17.30% for QQQ.

Over three years, DBL compounded at +8.81% per year against +26.19% for QQQ; over five years the annualized figures are +1.69% and +15.34% respectively. Across the full 15-year window we track, QQQ has the edge at +13.06% annualized vs -0.98%. 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 10.1% for DBL. 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 -45.3% for DBL 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 0.34. They move independently enough that combining them can meaningfully diversify a portfolio.

Fees and Cost Over Time

DBL charges 2.46% per year while QQQ charges 0.18%. On a $10,000 position that is $246 vs $18 annually, a gap of $228 per year that compounds over a long holding period. On income, DBL currently yields 9.07% against 0.44% for QQQ.

Frequently Asked Questions

Which is cheaper, DBL or QQQ?

DBL has an expense ratio of 2.46% while QQQ charges 0.18%. QQQ is the cheaper option. On a $10,000 investment, that is $228 per year of difference.

Which performed better, DBL or QQQ?

Over the past year DBL returned +0.79% vs +24.93% for QQQ, so QQQ leads on 1-year performance. Over the longest common window we track (15 years), DBL annualized -0.98% vs +13.06% for QQQ. Past performance does not guarantee future results.

Which is riskier, DBL or QQQ?

QQQ has been the more volatile fund at 30.6% annualized versus 10.1% for DBL. Worst drawdown: DBL -45.3% vs QQQ -83.0%.

Should I hold both DBL and QQQ?

DBL and QQQ have a monthly-return correlation of 0.34, so combining them can provide real diversification depending on your allocation goals.

Which pays a higher dividend, DBL or QQQ?

DBL yields 9.07% while QQQ yields 0.44%, so DBL currently pays the higher dividend yield.

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