ESGV vs QQQ

ESGV vs QQQ

Which is better, ESGV or QQQ?

Large Cap Blend against Large Cap Growth.

ESGV has a lower expense ratio. QQQ led over 1Y, 3Y, 5Y and the full window. The two have moved almost in lockstep, correlation 0.95. ESGV is less concentrated, with 40.3% of the fund in its ten largest positions against 46.5%.

Lower Fees: ESGVHigher Returns: QQQLess Concentrated: ESGV

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

MetricESGVQQQ
Expense Ratio0.09%Best0.18%
AUM$13.4B$483.5B
Dividend Yield0.85%0.44%
Holdings1,244107
YTD Return+10.35%+15.21%Best
1Y Return+13.79%+19.78%Best
3Y Return (annualized)+20.60%+24.58%Best
5Y Return (annualized)+10.93%+13.93%Best
Volatility (annualized)17.9%Best20.7%
Max Drawdown-33.7%Best-35.1%
$10,000 over 5 years$16,798$19,195Best
Top 10 Weight40.3%Best46.5%
Fund FamilyVanguard (US)Invesco (US)
CategoryEquityEquity
StyleLarge Cap BlendLarge Cap Growth
InceptionSep 18, 2018Mar 10, 1999

Volatility and max drawdown are measured over the window both funds cover: Sep 20, 2018 to Sep 16, 2026 (8 years).

ESGV 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 8 years both funds cover.

ESGV vs QQQ Performance

Vanguard ESG US Stock ETF (ESGV) is an ETF from Vanguard (US) and Invesco QQQ Trust, Series 1 (QQQ) is an ETF from Invesco (US). Over the past year ESGV returned +13.79% while QQQ returned +19.78%. Year to date, ESGV is up 10.35% versus a gain of 15.21% for QQQ.

Over three years, ESGV compounded at +20.60% per year against +24.58% for QQQ; over five years the annualized figures are +10.93% and +13.93% respectively. Across the full 8-year window we track, QQQ has the edge at +18.73% annualized vs +14.15%.

Past performance does not guarantee future results.

Risk: Volatility and Drawdowns

QQQ has been the more volatile fund, with annualized monthly volatility of 20.7% compared with 17.9% for ESGV. 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 -33.7% for ESGV 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 0.95. They move almost in lockstep, so holding both mostly duplicates the same exposure.

Fees and Cost Over Time

ESGV charges 0.09% per year while QQQ charges 0.18%. On a $10,000 position that is $9 vs $18 annually, a gap of $9 per year that compounds over a long holding period. On income, ESGV currently yields 0.85% against 0.44% for QQQ.

Holdings Overlap

ESGV already in QQQ54.1%
QQQ already in ESGV84.8%

54.1% of ESGV's money is in holdings QQQ also owns. 84.8% of QQQ's money is in holdings ESGV also owns.

Most of QQQ is already inside ESGV. Owning both mostly buys the same companies twice.

79 positions in common, counted across the 1,218 positions we hold weights for in ESGV and 102 in QQQ, against full books of 1,244 and 107.

What only one of them owns

Our book lists 17 positions for QQQ that do not appear in our book for ESGV (12.7% of the fund), and 844 for ESGV that do not appear in QQQ (41.9%).

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 ESGVWeight in QQQDifference
NVDANvidia Corp8.54%8.44%0.10%
AAPLApple, Inc7.91%7.27%0.64%
MSFTMicrosoft Corp6.27%5.76%0.51%
AMZNAmazon.Com Inc4.16%4.67%0.51%
GOOGAlphabet Inc3.29%3.13%0.16%
MUMicron Technology, Inc.1.77%4.43%2.66%
AVGOBroadcom Inc2.90%3.16%0.26%
METAMeta Platforms Inc2.14%2.78%0.64%
AMDAdvanced Micro Devices Inc1.26%3.45%2.19%
TSLATesla Inc1.75%2.56%0.81%

84.8% of QQQ is already inside ESGV.

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

ESGVQQQ

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Frequently Asked Questions

Which is cheaper, ESGV or QQQ?

ESGV has an expense ratio of 0.09% while QQQ charges 0.18%. ESGV is the cheaper option, by $9 a year on a $10,000 investment.

Which performed better, ESGV or QQQ?

Over the past year ESGV returned +13.79% vs +19.78% for QQQ, so QQQ leads on 1-year performance. Over the longest common window we track (8 years), ESGV annualized +14.15% vs +18.73% for QQQ. Past performance does not guarantee future results. This is information, not a recommendation.

Which is riskier, ESGV or QQQ?

QQQ has been the more volatile fund at 20.7% annualized versus 17.9% for ESGV. Worst drawdown: ESGV -33.7% vs QQQ -35.1%.

Should I hold both ESGV and QQQ?

ESGV and QQQ have a monthly-return correlation of 0.95, so they move almost identically. What is left to separate them is the fee and the index each one tracks. This is information, not a recommendation.

What is the holdings overlap between ESGV and QQQ?

84.8% of QQQ's money is in holdings ESGV also owns. 84.8% of QQQ's is in holdings ESGV also owns. They hold 79 positions in common, counted across the 1,218 positions we hold weights for in ESGV and 102 in QQQ.

Which pays a higher dividend, ESGV or QQQ?

ESGV yields 0.85% while QQQ yields 0.44%, so ESGV currently pays the higher dividend yield.

Is QQQ better than ESGV?

ESGV has a lower expense ratio. QQQ led over 1Y, 3Y, 5Y and the full window. The two have moved almost in lockstep, correlation 0.95. ESGV is less concentrated, with 40.3% 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.