FDLO vs QQQ
Fidelity Low Volatility Factor ETF vs Invesco QQQ Trust, Series 1
Which is better, FDLO or QQQ?
Large Cap Blend against Large Cap Growth.
FDLO has a lower expense ratio. QQQ led over 1Y, 3Y, 5Y and the full window. FDLO is less concentrated, with 38.8% 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 | FDLO | QQQ |
|---|---|---|
| Expense Ratio | 0.15%Best | 0.18% |
| AUM | $1.4B | $486.1B |
| Dividend Yield | 1.37% | 0.44% |
| Holdings | 129 | 107 |
| YTD Return | +9.31% | +17.54%Best |
| 1Y Return | +12.45% | +25.59%Best |
| 3Y Return (annualized) | +14.40% | +24.63%Best |
| 5Y Return (annualized) | +9.37% | +14.18%Best |
| Volatility (annualized) | 13.3%Best | 19.0% |
| Max Drawdown | -34.7%Best | -35.1% |
| $10,000 over 5 years | $15,649 | $19,407Best |
| Top 10 Weight | 38.8%Best | 46.5% |
| Fund Family | Fidelity Investments (US) | Invesco (US) |
| Category | Equity | Equity |
| Style | Large Cap Blend | Large Cap Growth |
| Inception | Sep 12, 2016 | Mar 10, 1999 |
Volatility and max drawdown are measured over the window both funds cover: Sep 15, 2016 to Sep 4, 2026 (10 years).
FDLO 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 10 years both funds cover.
FDLO vs QQQ Performance
Fidelity Low Volatility Factor ETF (FDLO) is an ETF from Fidelity Investments (US) and Invesco QQQ Trust, Series 1 (QQQ) is an ETF from Invesco (US). Over the past year FDLO returned +12.45% while QQQ returned +25.59%. Year to date, FDLO is up 9.31% versus a gain of 17.54% for QQQ.
Over three years, FDLO compounded at +14.40% per year against +24.63% for QQQ; over five years the annualized figures are +9.37% and +14.18% respectively. Across the full 10-year window we track, QQQ has the edge at +20.30% annualized vs +12.09%.
Past performance does not guarantee future results.
Risk: Volatility and Drawdowns
QQQ has been the more volatile fund, with annualized monthly volatility of 19.0% compared with 13.3% for FDLO. 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 -34.7% for FDLO 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 0.79. They usually move together, but the gap leaves some room for diversification.
Fees and Cost Over Time
FDLO charges 0.15% per year while QQQ charges 0.18%. On a $10,000 position that is $15 vs $18 annually, a gap of $3 per year that compounds over a long holding period. On income, FDLO currently yields 1.37% against 0.44% for QQQ.
Holdings Overlap
44.6% of FDLO's money is in holdings QQQ also owns. 38.9% of QQQ's money is in holdings FDLO also owns.
The two portfolios partly overlap.
27 positions in common, counted across the 125 positions we hold weights for in FDLO and 102 in QQQ, against full books of 129 and 107.
What only one of them owns
Measured across the 125 and 102 positions we hold weights for.
QQQ holds 69 positions FDLO does not, 58.7% of the fund.
Largest: NVDA 8.44%, MU 4.43%, AMD 3.45%, GOOG 3.13%, META 2.78%
Top Shared Holdings
| Stock | Weight in FDLO | Weight in QQQ | Difference |
|---|---|---|---|
| AAPLApple, Inc | 7.91% | 7.27% | 0.64% |
| MSFTMicrosoft Corp 4.100 Feb 06 37 | 6.67% | 5.76% | 0.91% |
| GOOGLAlphabet Inc.Class A | 6.10% | 3.36% | 2.74% |
| AMZNAmazon.Com Inc | 4.40% | 4.67% | 0.27% |
| AVGOBroadcom Inc | 4.32% | 3.16% | 1.16% |
| CSCOCisco Systems Inc. - Ordinary Shares | 2.24% | 2.10% | 0.14% |
| WMTWalmart, Inc. | 0.88% | 2.41% | 1.53% |
| TXNTexas Instrument Inc | 1.67% | 1.12% | 0.55% |
| ADIAnalog Devices, Inc. | 1.50% | 0.81% | 0.69% |
| AMGNAmgen Inc. | 0.78% | 0.97% | 0.19% |
44.6% of FDLO is already inside QQQ.
You probably hold more than these two. Add the rest and see how much of the whole book is the same companies twice.
Free for up to 10 holdings. No account needed.
Frequently Asked Questions
Which is cheaper, FDLO or QQQ?
FDLO has an expense ratio of 0.15% while QQQ charges 0.18%. FDLO is the cheaper option, by $3 a year on a $10,000 investment.
Which performed better, FDLO or QQQ?
Over the past year FDLO returned +12.45% vs +25.59% for QQQ, so QQQ leads on 1-year performance. Over the longest common window we track (10 years), FDLO annualized +12.09% vs +20.30% for QQQ. Past performance does not guarantee future results. This is information, not a recommendation.
Which is riskier, FDLO or QQQ?
QQQ has been the more volatile fund at 19.0% annualized versus 13.3% for FDLO. Worst drawdown: FDLO -34.7% vs QQQ -35.1%.
Should I hold both FDLO and QQQ?
FDLO and QQQ have a monthly-return correlation of 0.79, 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 FDLO and QQQ?
44.6% of FDLO's money is in holdings QQQ also owns. 38.9% of QQQ's is in holdings FDLO also owns. They hold 27 positions in common, counted across the 125 positions we hold weights for in FDLO and 102 in QQQ.
Which pays a higher dividend, FDLO or QQQ?
FDLO yields 1.37% while QQQ yields 0.44%, so FDLO currently pays the higher dividend yield.
Is QQQ better than FDLO?
FDLO has a lower expense ratio. QQQ led over 1Y, 3Y, 5Y and the full window. FDLO is less concentrated, with 38.8% 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.