DGT vs QQQ

DGT vs QQQ

Which is better, DGT or QQQ?

Large Cap Value against Large Cap Growth.

QQQ has a lower expense ratio. DGT led over 1Y, QQQ over 3Y, 5Y and the full window. DGT is less concentrated, with 12.0% of the fund in its ten largest positions against 46.5%.

Lower Fees: QQQHigher Returns: splitLess Concentrated: DGT

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

MetricDGTQQQ
Expense Ratio0.50%0.18%Best
AUM$639M$483.5B
Dividend Yield2.43%0.44%
Holdings177107
YTD Return+14.06%+15.18%Best
1Y Return+21.11%Best+19.65%
3Y Return (annualized)+21.41%+24.60%Best
5Y Return (annualized)+13.89%+13.94%Best
Volatility (annualized)15.5%Best22.2%
Max Drawdown-58.3%Best-77.4%
$10,000 over 5 years$19,161$19,204Best
Top 10 Weight12.0%Best46.5%
Fund FamilyState Street Investment ManagementInvesco (US)
CategoryEquityEquity
StyleLarge Cap ValueLarge Cap Growth
InceptionSep 25, 2000Mar 10, 1999

Volatility and max drawdown are measured over the window both funds cover: Sep 29, 2000 to Sep 15, 2026 (26 years).

DGT 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 26 years both funds cover.

DGT vs QQQ Performance

State Street SPDR Global Dow ETF (DGT) is an ETF from State Street Investment Management and Invesco QQQ Trust, Series 1 (QQQ) is an ETF from Invesco (US). Over the past year DGT returned +21.11% while QQQ returned +19.65%. Year to date, DGT is up 14.06% versus a gain of 15.18% for QQQ.

Over three years, DGT compounded at +21.41% per year against +24.60% for QQQ; over five years the annualized figures are +13.89% and +13.94% respectively. Across the full 26-year window we track, QQQ has the edge at +8.44% annualized vs +3.71%.

Past performance does not guarantee future results.

Risk: Volatility and Drawdowns

QQQ has been the more volatile fund, with annualized monthly volatility of 22.2% compared with 15.5% for DGT. 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 -58.3% for DGT and -77.4% 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 0.77. They usually move together, but the gap leaves some room for diversification.

Fees and Cost Over Time

DGT charges 0.50% per year while QQQ charges 0.18%. On a $10,000 position that is $50 vs $18 annually, a gap of $32 per year that compounds over a long holding period. On income, DGT currently yields 2.43% against 0.44% for QQQ.

Holdings Overlap

DGT already in QQQ19.3%
QQQ already in DGT64.1%

19.3% of DGT's money is in holdings QQQ also owns. 64.1% of QQQ's money is in holdings DGT also owns.

The two portfolios partly overlap.

29 positions in common, counted across the 158 positions we hold weights for in DGT and 102 in QQQ, against full books of 177 and 107.

What only one of them owns

Our book lists 68 positions for QQQ that do not appear in our book for DGT (34.2% of the fund), and 60 for DGT that do not appear in QQQ (38.5%).

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

StockWeight in DGTWeight in QQQDifference
NVDANvidia Corp0.68%8.44%7.76%
AAPLApple, Inc0.76%7.27%6.51%
MSFTMicrosoft Corp0.56%5.76%5.20%
AMZNAmazon.Com Inc0.61%4.67%4.06%
AMDAdvanced Micro Devices Inc1.60%3.45%1.85%
INTCIntel Corporation1.97%2.23%0.26%
GOOGLAlphabet Inc,class A0.43%3.36%2.93%
AVGOBroadcom Inc0.54%3.16%2.62%
GOOGAlphabet Inc0.34%3.13%2.79%
METAMeta Platforms Inc0.42%2.78%2.36%

64.1% of QQQ is already inside DGT.

You probably hold more than these two. Add the rest and see how much of the whole book is the same companies twice.

DGTQQQ

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Frequently Asked Questions

Which is cheaper, DGT or QQQ?

DGT has an expense ratio of 0.50% while QQQ charges 0.18%. QQQ is the cheaper option, by $32 a year on a $10,000 investment.

Which performed better, DGT or QQQ?

Over the past year DGT returned +21.11% vs +19.65% for QQQ, so DGT leads on 1-year performance. Over the longest common window we track (26 years), DGT annualized +3.71% vs +8.44% for QQQ. Past performance does not guarantee future results. This is information, not a recommendation.

Which is riskier, DGT or QQQ?

QQQ has been the more volatile fund at 22.2% annualized versus 15.5% for DGT. Worst drawdown: DGT -58.3% vs QQQ -77.4%.

Should I hold both DGT and QQQ?

DGT and QQQ have a monthly-return correlation of 0.77, 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 DGT and QQQ?

64.1% of QQQ's money is in holdings DGT also owns. 64.1% of QQQ's is in holdings DGT also owns. They hold 29 positions in common, counted across the 158 positions we hold weights for in DGT and 102 in QQQ.

Which pays a higher dividend, DGT or QQQ?

DGT yields 2.43% while QQQ yields 0.44%, so DGT currently pays the higher dividend yield.

Is QQQ better than DGT?

QQQ has a lower expense ratio. DGT led over 1Y, QQQ over 3Y, 5Y and the full window. DGT is less concentrated, with 12.0% 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.