FDIV vs QQQ

FDIV vs QQQ
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Quick Verdict

QQQ has a lower expense ratio. QQQ delivered stronger 1-year returns. FDIV offers more diversification with 113 holdings.

Lower Fees: QQQHigher Returns: QQQMore Diversified: FDIV

Side-by-Side Comparison

MetricFDIVQQQWinner
Expense Ratio0.35%0.18%
AUM$59M$496.3B
Dividend Yield2.38%0.44%
Holdings113108
YTD Return+6.05%+17.07%
1Y Return+7.25%+26.39%
3Y Return (annualized)+7.71%+26.08%
5Y Return (annualized)-+15.18%
Volatility (annualized)12.0%30.6%
Max Drawdown-18.6%-83.0%
Fund FamilyMarketDesk IndicesInvesco (US)
CategoryEquityEquity
InceptionSep 19, 2023Mar 10, 1999

FDIV vs QQQ Performance

MarketDesk Focused US Dividend ETF (FDIV) is a ETF from MarketDesk Indices and Invesco QQQ Trust, Series 1 (QQQ) is a ETF from Invesco (US). Over the past year FDIV returned +7.25% while QQQ returned +26.39%. Year to date, FDIV is up 6.05% versus a gain of 17.07% for QQQ.

Over three years, FDIV compounded at +7.71% per year against +26.08% for QQQ. Across the full 3-year window we track, QQQ has the edge at +13.05% annualized vs +7.71%. 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 12.0% for FDIV. 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 -18.6% for FDIV 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 0.36. They move independently enough that combining them can meaningfully diversify a portfolio.

Fees and Cost Over Time

FDIV charges 0.35% per year while QQQ charges 0.18%. On a $10,000 position that is $35 vs $18 annually, a gap of $17 per year that compounds over a long holding period. On income, FDIV currently yields 2.38% against 0.44% for QQQ.

Holdings Overlap

19.2%overlap

FDIV and QQQ share 21 holdings out of 192 unique holdings combined, representing a 19.2% weight overlap.

Moderate overlap means holding both could provide meaningful diversification benefits.

Top Shared Holdings

StockWeight in FDIVWeight in QQQDifference
NVDA3.60%8.44%4.84%
AVGO3.09%3.16%0.07%
META3.15%2.78%0.37%
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LRCXProProPro
KLACProProPro
MRVLProProPro
TMUSProProPro
INTUProProPro
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Frequently Asked Questions

Which is cheaper, FDIV or QQQ?

FDIV has an expense ratio of 0.35% while QQQ charges 0.18%. QQQ is the cheaper option. On a $10,000 investment, that is $17 per year of difference.

Which performed better, FDIV or QQQ?

Over the past year FDIV returned +7.25% vs +26.39% for QQQ, so QQQ leads on 1-year performance. Over the longest common window we track (3 years), FDIV annualized +7.71% vs +13.05% for QQQ. Past performance does not guarantee future results.

Which is riskier, FDIV or QQQ?

QQQ has been the more volatile fund at 30.6% annualized versus 12.0% for FDIV. Worst drawdown: FDIV -18.6% vs QQQ -83.0%.

Should I hold both FDIV and QQQ?

FDIV and QQQ have a monthly-return correlation of 0.36, so combining them can provide real diversification depending on your allocation goals.

What is the holdings overlap between FDIV and QQQ?

FDIV and QQQ share 21 common holdings with a 19.2% weight overlap. Combined, they hold 192 unique securities.

Which pays a higher dividend, FDIV or QQQ?

FDIV yields 2.38% while QQQ yields 0.44%, so FDIV currently pays the higher dividend yield.

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