EMOT vs QQQ
First Trust S&P 500 Economic Moat ETF vs Invesco QQQ Trust, Series 1
Quick Verdict
QQQ has a lower expense ratio. QQQ delivered stronger 1-year returns. QQQ offers more diversification with 108 holdings.
Side-by-Side Comparison
| Metric | EMOT | QQQ | Winner |
|---|---|---|---|
| Expense Ratio | 0.60% | 0.18% | |
| AUM | $3M | $496.3B | |
| Dividend Yield | 1.07% | 0.44% | |
| Holdings | 51 | 108 | |
| YTD Return | +14.28% | +16.64% | |
| 1Y Return | +17.97% | +27.27% | |
| 3Y Return (annualized) | - | +25.96% | |
| 5Y Return (annualized) | - | +14.54% | |
| Volatility (annualized) | 11.3% | 30.6% | |
| Max Drawdown | -16.4% | -83.0% | |
| Fund Family | First Trust Portfolios (US) | Invesco (US) | |
| Category | Equity | Equity | |
| Inception | Jun 26, 2024 | Mar 10, 1999 |
EMOT vs QQQ Performance
First Trust S&P 500 Economic Moat ETF (EMOT) 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 EMOT returned +17.97% while QQQ returned +27.27%. Year to date, EMOT is up 14.28% versus a gain of 16.64% for QQQ.
Risk: Volatility and Drawdowns
QQQ has been the more volatile fund, with annualized monthly volatility of 30.6% compared with 11.3% for EMOT. 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 -16.4% for EMOT 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 0.68. They move independently enough that combining them can meaningfully diversify a portfolio.
Fees and Cost Over Time
EMOT charges 0.60% per year while QQQ charges 0.18%. On a $10,000 position that is $60 vs $18 annually, a gap of $42 per year that compounds over a long holding period. On income, EMOT currently yields 1.07% against 0.44% for QQQ.
Holdings Overlap
EMOT and QQQ share 23 holdings out of 129 unique holdings combined, representing a 27.3% weight overlap.
Moderate overlap means holding both could provide meaningful diversification benefits.
Frequently Asked Questions
Which is cheaper, EMOT or QQQ?
EMOT has an expense ratio of 0.60% while QQQ charges 0.18%. QQQ is the cheaper option. On a $10,000 investment, that is $42 per year of difference.
Which performed better, EMOT or QQQ?
Over the past year EMOT returned +17.97% vs +27.27% for QQQ, so QQQ leads on 1-year performance. Over the longest common window we track (2 years), EMOT annualized +15.99% vs +13.03% for QQQ. Past performance does not guarantee future results.
Which is riskier, EMOT or QQQ?
QQQ has been the more volatile fund at 30.6% annualized versus 11.3% for EMOT. Worst drawdown: EMOT -16.4% vs QQQ -83.0%.
Should I hold both EMOT and QQQ?
EMOT and QQQ have a monthly-return correlation of 0.68, so combining them can provide real diversification depending on your allocation goals.
What is the holdings overlap between EMOT and QQQ?
EMOT and QQQ share 23 common holdings with a 27.3% weight overlap. Combined, they hold 129 unique securities.
Which pays a higher dividend, EMOT or QQQ?
EMOT yields 1.07% while QQQ yields 0.44%, so EMOT currently pays the higher dividend yield.
Popular ETF Comparisons
Get Full ETF Analytics
Access complete holdings data, overlap analysis, screener tools, and more with FundXLS.