FCFY vs QQQ
First Trust S&P 500 Diversified Free Cash Flow ETF vs Invesco QQQ Trust, Series 1
Which is better, FCFY or QQQ?
Large Cap Blend against Large Cap Growth.
QQQ has a lower expense ratio. QQQ led over 1Y, 3Y and the full window. FCFY is less concentrated, with 29.5% of the fund in its ten largest positions against 46.5%.
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
| Metric | FCFY | QQQ |
|---|---|---|
| Expense Ratio | 0.60% | 0.18%Best |
| AUM | $2M | $483.5B |
| Dividend Yield | 1.33% | 0.44% |
| Holdings | 101 | 107 |
| YTD Return | +10.81% | +16.87%Best |
| 1Y Return | +13.31% | +22.98%Best |
| 3Y Return (annualized) | +16.67% | +24.98%Best |
| 5Y Return (annualized) | - | +14.39% |
| Volatility (annualized) | 15.1%Best | 17.5% |
| Max Drawdown | -21.4%Best | -22.8% |
| $10,000 over 3 years | $15,869 | $19,909Best |
| Top 10 Weight | 29.5%Best | 46.5% |
| Fund Family | First Trust Portfolios (US) | Invesco (US) |
| Category | Equity | Equity |
| Style | Large Cap Blend | Large Cap Growth |
| Inception | Aug 23, 2023 | Mar 10, 1999 |
Volatility and max drawdown, and the $10,000 over 3 years row, are measured over the window both funds cover: Aug 24, 2023 to Sep 11, 2026 (3 years).
FCFY 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 3 years both funds cover.
FCFY vs QQQ Performance
First Trust S&P 500 Diversified Free Cash Flow ETF (FCFY) is an ETF from First Trust Portfolios (US) and Invesco QQQ Trust, Series 1 (QQQ) is an ETF from Invesco (US). Over the past year FCFY returned +13.31% while QQQ returned +22.98%. Year to date, FCFY is up 10.81% versus a gain of 16.87% for QQQ.
Over three years, FCFY compounded at +16.67% per year against +24.98% for QQQ.
Past performance does not guarantee future results.
Risk: Volatility and Drawdowns
QQQ has been the more volatile fund, with annualized monthly volatility of 17.5% compared with 15.1% for FCFY. 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 -21.4% for FCFY and -22.8% 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 0.62. They move together some of the time, and apart the rest.
Fees and Cost Over Time
FCFY 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, FCFY currently yields 1.33% against 0.44% for QQQ.
Holdings Overlap
15.9% of FCFY's money is in holdings QQQ also owns. 4.6% of QQQ's money is in holdings FCFY also owns.
FCFY and QQQ share little of their money.
13 positions in common, counted across the 100 positions we hold weights for in FCFY and 102 in QQQ, against full books of 101 and 107.
What only one of them owns
Our book lists 82 positions for QQQ that do not appear in our book for FCFY (92.4% of the fund), and 85 for FCFY that do not appear in QQQ (83.3%).
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
| Stock | Weight in FCFY | Weight in QQQ | Difference |
|---|---|---|---|
| QCOMQualcomm Inc. | 2.45% | 0.73% | 1.72% |
| CMCSAComcast Corp. Class A | 2.49% | 0.39% | 2.10% |
| ADBEAdobe Inc | 2.38% | 0.46% | 1.92% |
| WDAYWorkday, Inc., Class A | 2.61% | 0.15% | 2.46% |
| BKNGBooking Holdings, Inc. | 0.80% | 0.70% | 0.10% |
| ABNBAirbnb Inc | 0.87% | 0.28% | 0.59% |
| ADPAutomatic Data Processing, Inc. | 0.64% | 0.47% | 0.17% |
| CEGConstellation Energy Corp | 0.59% | 0.42% | 0.17% |
| PYPLPaypal Holdings Inc | 0.75% | 0.22% | 0.53% |
| KHCKraft Heinz Co. | 0.83% | 0.13% | 0.70% |
You are not choosing between two funds in isolation.
Whichever of FCFY and QQQ you pick has to sit alongside everything else you own. Add the rest and see what the combination actually holds.
Free for up to 10 holdings. No account needed.
Frequently Asked Questions
Which is cheaper, FCFY or QQQ?
FCFY has an expense ratio of 0.60% while QQQ charges 0.18%. QQQ is the cheaper option, by $42 a year on a $10,000 investment.
Which performed better, FCFY or QQQ?
Over the past year FCFY returned +13.31% vs +22.98% for QQQ, so QQQ leads on 1-year performance. Past performance does not guarantee future results. This is information, not a recommendation.
Which is riskier, FCFY or QQQ?
QQQ has been the more volatile fund at 17.5% annualized versus 15.1% for FCFY. Worst drawdown: FCFY -21.4% vs QQQ -22.8%.
Should I hold both FCFY and QQQ?
FCFY and QQQ have a monthly-return correlation of 0.62, 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 FCFY and QQQ?
15.9% of FCFY's money is in holdings QQQ also owns. 4.6% of QQQ's is in holdings FCFY also owns. They hold 13 positions in common, counted across the 100 positions we hold weights for in FCFY and 102 in QQQ.
Which pays a higher dividend, FCFY or QQQ?
FCFY yields 1.33% while QQQ yields 0.44%, so FCFY currently pays the higher dividend yield.
Is QQQ better than FCFY?
QQQ has a lower expense ratio. QQQ led over 1Y, 3Y and the full window. FCFY is less concentrated, with 29.5% 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.