DIM vs QQQ

DIM vs QQQ

Which is better, DIM or QQQ?

Mid Cap Growth against Large Cap Growth.

QQQ has a lower expense ratio. QQQ led over 1Y, 3Y, 5Y and the full window. DIM is less concentrated, with 8.6% of the fund in its ten largest positions against 46.5%.

Lower Fees: QQQHigher Returns: QQQLess Concentrated: DIM

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

MetricDIMQQQ
Expense Ratio0.58%0.18%Best
AUM$167M$486.1B
Dividend Yield2.97%0.44%
Holdings608107
YTD Return+12.97%+17.44%Best
1Y Return+18.91%+24.69%Best
3Y Return (annualized)+19.54%+24.76%Best
5Y Return (annualized)+9.07%+14.22%Best
Volatility (annualized)17.6%Best18.6%
Max Drawdown-64.7%-53.5%Best
$10,000 over 5 years$15,436$19,441Best
Top 10 Weight8.6%Best46.5%
Fund FamilyWisdomTree InvestmentsInvesco (US)
CategoryEquityEquity
StyleMid Cap GrowthLarge Cap Growth
InceptionJun 16, 2006Mar 10, 1999

Volatility and max drawdown are measured over the window both funds cover: Jun 16, 2006 to Sep 8, 2026 (20.2 years).

DIM 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 is available from the range buttons; it is not the opening view here because over the whole period one of these two funds moves so much further than the other that its line would sit flat on the axis.

DIM vs QQQ Performance

WisdomTree International MidCap Dividend Fund (DIM) is an ETF from WisdomTree Investments and Invesco QQQ Trust, Series 1 (QQQ) is an ETF from Invesco (US). Over the past year DIM returned +18.91% while QQQ returned +24.69%. Year to date, DIM is up 12.97% versus a gain of 17.44% for QQQ.

Over three years, DIM compounded at +19.54% per year against +24.76% for QQQ; over five years the annualized figures are +9.07% and +14.22% respectively. Across the full 20-year window we track, QQQ has the edge at +15.77% annualized vs +3.95%.

Past performance does not guarantee future results.

Risk: Volatility and Drawdowns

QQQ has been the more volatile fund, with annualized monthly volatility of 18.6% compared with 17.6% for DIM. 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 -64.7% for DIM and -53.5% 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 0.72. They usually move together, but the gap leaves some room for diversification.

Fees and Cost Over Time

DIM charges 0.58% per year while QQQ charges 0.18%. On a $10,000 position that is $58 vs $18 annually, a gap of $40 per year that compounds over a long holding period. On income, DIM currently yields 2.97% against 0.44% for QQQ.

Holdings Overlap

We hold position weights for 589 holdings in DIM and 102 in QQQ, totalling 97.4% and 99.9% of the two funds. The two books name no position in common, so there is no overlap percentage to show.

0 positions in common, counted across the 589 positions we hold weights for in DIM and 102 in QQQ, against full books of 608 and 107.

What only one of them owns

Our book lists 94 positions for QQQ that do not appear in our book for DIM (96.8% of the fund), and 10 for DIM that do not appear in QQQ (3.1%).

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.

You are not choosing between two funds in isolation.

Whichever of DIM and QQQ you pick has to sit alongside everything else you own. Add the rest and see what the combination actually holds.

DIMQQQ

Free for up to 10 holdings. No account needed.

Frequently Asked Questions

Which is cheaper, DIM or QQQ?

DIM has an expense ratio of 0.58% while QQQ charges 0.18%. QQQ is the cheaper option, by $40 a year on a $10,000 investment.

Which performed better, DIM or QQQ?

Over the past year DIM returned +18.91% vs +24.69% for QQQ, so QQQ leads on 1-year performance. Over the longest common window we track (20 years), DIM annualized +3.95% vs +15.77% for QQQ. Past performance does not guarantee future results. This is information, not a recommendation.

Which is riskier, DIM or QQQ?

QQQ has been the more volatile fund at 18.6% annualized versus 17.6% for DIM. Worst drawdown: DIM -64.7% vs QQQ -53.5%.

Should I hold both DIM and QQQ?

DIM and QQQ have a monthly-return correlation of 0.72, so their returns are far enough apart for the mix to behave differently from either one alone. This is information, not a recommendation.

Which pays a higher dividend, DIM or QQQ?

DIM yields 2.97% while QQQ yields 0.44%, so DIM currently pays the higher dividend yield.

Is QQQ better than DIM?

QQQ has a lower expense ratio. QQQ led over 1Y, 3Y, 5Y and the full window. DIM is less concentrated, with 8.6% 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.