EKG vs QQQ

EKG vs QQQ
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Quick Verdict

QQQ has a lower expense ratio. EKG delivered stronger 1-year returns. QQQ offers more diversification with 108 holdings.

Lower Fees: QQQHigher Returns: EKGMore Diversified: QQQ

Side-by-Side Comparison

MetricEKGQQQWinner
Expense Ratio0.65%0.18%
AUM$4M$496.3B
Dividend Yield0.00%0.44%
Holdings39108
YTD Return+17.66%+16.64%
1Y Return+28.35%+27.27%
3Y Return (annualized)+12.43%+25.96%
5Y Return (annualized)-+14.54%
Volatility (annualized)26.8%30.6%
Max Drawdown-43.8%-83.0%
Fund FamilyFirst Trust Portfolios (US)Invesco (US)
CategoryEquityEquity
InceptionMar 22, 2022Mar 10, 1999

EKG vs QQQ Performance

First Trust Nasdaq Lux Digital Health Solutions ETF (EKG) is a ETF from First Trust Portfolios (US) and Invesco QQQ Trust, Series 1 (QQQ) is a ETF from Invesco (US). Over the past year EKG returned +28.35% while QQQ returned +27.27%. Year to date, EKG is up 17.66% versus a gain of 16.64% for QQQ.

Over three years, EKG compounded at +12.43% per year against +25.96% for QQQ. Across the full 4-year window we track, QQQ has the edge at +13.03% annualized vs +2.70%. 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 26.8% for EKG. 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 -43.8% for EKG 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 0.67. They move independently enough that combining them can meaningfully diversify a portfolio.

Fees and Cost Over Time

EKG charges 0.65% per year while QQQ charges 0.18%. On a $10,000 position that is $65 vs $18 annually, a gap of $47 per year that compounds over a long holding period. On income, EKG currently yields 0.00% against 0.44% for QQQ.

Holdings Overlap

0.7%overlap

EKG and QQQ share 2 holdings out of 138 unique holdings combined, representing a 0.7% weight overlap.

Moderate overlap means holding both could provide meaningful diversification benefits.

Top Shared Holdings

StockWeight in EKGWeight in QQQDifference
DXCM8.03%0.14%7.89%
ISRG5.32%0.58%4.74%

Frequently Asked Questions

Which is cheaper, EKG or QQQ?

EKG has an expense ratio of 0.65% while QQQ charges 0.18%. QQQ is the cheaper option. On a $10,000 investment, that is $47 per year of difference.

Which performed better, EKG or QQQ?

Over the past year EKG returned +28.35% vs +27.27% for QQQ, so EKG leads on 1-year performance. Over the longest common window we track (4 years), EKG annualized +2.70% vs +13.03% for QQQ. Past performance does not guarantee future results.

Which is riskier, EKG or QQQ?

QQQ has been the more volatile fund at 30.6% annualized versus 26.8% for EKG. Worst drawdown: EKG -43.8% vs QQQ -83.0%.

Should I hold both EKG and QQQ?

EKG and QQQ have a monthly-return correlation of 0.67, so combining them can provide real diversification depending on your allocation goals.

What is the holdings overlap between EKG and QQQ?

EKG and QQQ share 2 common holdings with a 0.7% weight overlap. Combined, they hold 138 unique securities.

Which pays a higher dividend, EKG or QQQ?

EKG yields 0.00% while QQQ yields 0.44%, so QQQ currently pays the higher dividend yield.

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