DEMZ vs QQQ
Democratic Large Cap Core ETF vs Invesco QQQ Trust, Series 1
Which is better, DEMZ or QQQ?
Large Cap Blend against Large Cap Growth.
QQQ has a lower expense ratio. DEMZ led over 1Y, QQQ over 3Y, 5Y and the full window. DEMZ is less concentrated, with 45.1% of the fund in its ten largest positions against 46.9%.
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 | DEMZ | QQQ |
|---|---|---|
| Expense Ratio | 0.45% | 0.18%Best |
| AUM | $69M | $437.3B |
| Dividend Yield | 0.86% | 0.43% |
| Holdings | 86 | 208 |
| YTD Return | +13.68%Best | +12.98% |
| 1Y Return | +14.45%Best | +11.59% |
| 3Y Return (annualized) | +21.94% | +23.05%Best |
| 5Y Return (annualized) | +11.62% | +12.74%Best |
| Volatility (annualized) | 15.9%Best | 19.9% |
| Max Drawdown | -27.2%Best | -35.1% |
| $10,000 over 5 years | $17,326 | $18,213Best |
| Top 10 Weight | 45.1%Best | 46.9% |
| Fund Family | DEMZ | Invesco (US) |
| Category | Equity | Equity |
| Style | Large Cap Blend | Large Cap Growth |
| Inception | Nov 2, 2020 | Mar 10, 1999 |
Volatility and max drawdown are measured over the window both funds cover: Nov 3, 2020 to Nov 11, 2026 (6 years).
DEMZ 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 6 years both funds cover.
DEMZ vs QQQ Performance
Democratic Large Cap Core ETF (DEMZ) is an ETF from DEMZ and Invesco QQQ Trust, Series 1 (QQQ) is an ETF from Invesco (US). Over the past year DEMZ returned +14.45% while QQQ returned +11.59%. Year to date, DEMZ is up 13.68% versus a gain of 12.98% for QQQ.
Over three years, DEMZ compounded at +21.94% per year against +23.05% for QQQ; over five years the annualized figures are +11.62% and +12.74% respectively. Across the full 6-year window we track, QQQ has the edge at +17.19% annualized vs +16.35%.
Past performance does not guarantee future results.
Risk: Volatility and Drawdowns
QQQ has been the more volatile fund, with annualized monthly volatility of 19.9% compared with 15.9% for DEMZ. 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 -27.2% for DEMZ and -35.1% 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 0.88. They usually move together, but the gap leaves some room for diversification.
Fees and Cost Over Time
DEMZ charges 0.45% per year while QQQ charges 0.18%. On a $10,000 position that is $45 vs $18 annually, a gap of $27 per year that compounds over a long holding period. On income, DEMZ currently yields 0.86% against 0.43% for QQQ.
Holdings Overlap
52.0% of DEMZ's money is in holdings QQQ also owns. 40.2% of QQQ's money is in holdings DEMZ also owns.
The two portfolios partly overlap.
17 positions in common, counted across the 42 positions we hold weights for in DEMZ and 101 in QQQ, against full books of 86 and 208.
What only one of them owns
Our book lists 77 positions for QQQ that do not appear in our book for DEMZ (57.0% of the fund), and 25 for DEMZ that do not appear in QQQ (47.5%).
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 DEMZ | Weight in QQQ | Difference |
|---|---|---|---|
| NVDANvidia Corp | 4.75% | 8.05% | 3.30% |
| AAPLApple Inc | 4.87% | 7.68% | 2.81% |
| MSFTMicrosoft Corp | 5.20% | 6.16% | 0.96% |
| GOOGLAlphabet Inc | 4.82% | 3.15% | 1.67% |
| AMDAdvanced Micro Devices Inc | 3.96% | 3.90% | 0.06% |
| METAMeta Platforms Inc | 3.88% | 3.37% | 0.51% |
| LRCXLam Research Corp | 4.69% | 1.47% | 3.22% |
| COSTCostco Wholesale Corp. | 4.20% | 1.84% | 2.36% |
| KLACKla Corp. | 3.96% | 0.97% | 2.99% |
| ADPAutomatic Data Processing, Inc. | 2.52% | 0.48% | 2.04% |
52.0% of DEMZ is already inside QQQ.
You probably hold more than these two. Add the rest and see how much of the whole book is the same companies twice.
Free for up to 10 holdings. No account needed.
Frequently Asked Questions
Which is cheaper, DEMZ or QQQ?
DEMZ has an expense ratio of 0.45% while QQQ charges 0.18%. QQQ is the cheaper option, by $27 a year on a $10,000 investment.
Which performed better, DEMZ or QQQ?
Over the past year DEMZ returned +14.45% vs +11.59% for QQQ, so DEMZ leads on 1-year performance. Over the longest common window we track (6 years), DEMZ annualized +16.35% vs +17.19% for QQQ. Past performance does not guarantee future results. This is information, not a recommendation.
Which is riskier, DEMZ or QQQ?
QQQ has been the more volatile fund at 19.9% annualized versus 15.9% for DEMZ. Worst drawdown: DEMZ -27.2% vs QQQ -35.1%.
Should I hold both DEMZ and QQQ?
DEMZ and QQQ have a monthly-return correlation of 0.88, 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 DEMZ and QQQ?
52.0% of DEMZ's money is in holdings QQQ also owns. 40.2% of QQQ's is in holdings DEMZ also owns. They hold 17 positions in common, counted across the 42 positions we hold weights for in DEMZ and 101 in QQQ.
Which pays a higher dividend, DEMZ or QQQ?
DEMZ yields 0.86% while QQQ yields 0.43%, so DEMZ currently pays the higher dividend yield.
Is QQQ better than DEMZ?
QQQ has a lower expense ratio. DEMZ led over 1Y, QQQ over 3Y, 5Y and the full window. DEMZ is less concentrated, with 45.1% of the fund in its ten largest positions against 46.9%. Which one suits a particular account depends on what it is for. This is information, not a recommendation.