FLAX vs QQQ

FLAX vs QQQ

Which is better, FLAX or QQQ?

Large Cap Blend against Large Cap Growth.

QQQ has a lower expense ratio. FLAX led over 1Y, QQQ over 3Y, 5Y and the full window.

Lower Fees: QQQHigher Returns: split

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

MetricFLAXQQQ
Expense Ratio0.19%0.18%Best
AUM$59M$483.5B
Dividend Yield2.01%0.44%
Holdings1,620107
YTD Return+20.58%Best+15.86%
1Y Return+33.03%Best+22.63%
3Y Return (annualized)+23.32%+24.15%Best
5Y Return (annualized)+8.23%+14.16%Best
Volatility (annualized)18.0%Best20.2%
Max Drawdown-42.5%-35.1%Best
$10,000 over 5 years$14,850$19,390Best
Fund FamilyFranklin Templeton Investments (US)Invesco (US)
CategoryEquityEquity
StyleLarge Cap BlendLarge Cap Growth
InceptionFeb 6, 2018Mar 10, 1999

Not shown on this pair: Top 10 Weight.

Volatility and max drawdown are measured over the window both funds cover: Feb 8, 2018 to Sep 10, 2026 (8.6 years).

FLAX 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 8.6 years both funds cover.

FLAX vs QQQ Performance

Franklin FTSE Asia ex Japan ETF (FLAX) is an ETF from Franklin Templeton Investments (US) and Invesco QQQ Trust, Series 1 (QQQ) is an ETF from Invesco (US). Over the past year FLAX returned +33.03% while QQQ returned +22.63%. Year to date, FLAX is up 20.58% versus a gain of 15.86% for QQQ.

Over three years, FLAX compounded at +23.32% per year against +24.15% for QQQ; over five years the annualized figures are +8.23% and +14.16% respectively. Across the full 9-year window we track, QQQ has the edge at +19.96% annualized vs +7.20%.

Past performance does not guarantee future results.

Risk: Volatility and Drawdowns

QQQ has been the more volatile fund, with annualized monthly volatility of 20.2% compared with 18.0% for FLAX. 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 -42.5% for FLAX 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 0.63. They move together some of the time, and apart the rest.

Fees and Cost Over Time

FLAX charges 0.19% per year while QQQ charges 0.18%. On a $10,000 position that is $19 vs $18 annually, a gap of $1 per year that compounds over a long holding period. On income, FLAX currently yields 2.01% against 0.44% for QQQ.

Holdings Overlap

QQQ already in FLAX0.3%

At least 0.3% of QQQ's money is in holdings FLAX also owns.

Stated as a floor: for FLAX, our book for it covers 94.7% of that fund, so a holding it does not list is one we cannot count as shared. The real figure is this or higher.

We cannot see either book well enough to say how much of this pair is duplicated.

1 positions in common, counted across the 1,143 positions we hold weights for in FLAX and 102 in QQQ, against full books of 1,620 and 107.

Top Shared Holdings

StockWeight in FLAXWeight in QQQDifference
PDD:IEPdd Holdings Inc0.49%0.27%0.22%

You are not choosing between two funds in isolation.

Whichever of FLAX and QQQ you pick has to sit alongside everything else you own. Add the rest and see what the combination actually holds.

FLAXQQQ

Free for up to 10 holdings. No account needed.

Frequently Asked Questions

Which is cheaper, FLAX or QQQ?

FLAX has an expense ratio of 0.19% while QQQ charges 0.18%. QQQ is the cheaper option, by $1 a year on a $10,000 investment.

Which performed better, FLAX or QQQ?

Over the past year FLAX returned +33.03% vs +22.63% for QQQ, so FLAX leads on 1-year performance. Over the longest common window we track (9 years), FLAX annualized +7.20% vs +19.96% for QQQ. Past performance does not guarantee future results. This is information, not a recommendation.

Which is riskier, FLAX or QQQ?

QQQ has been the more volatile fund at 20.2% annualized versus 18.0% for FLAX. Worst drawdown: FLAX -42.5% vs QQQ -35.1%.

Should I hold both FLAX and QQQ?

FLAX and QQQ have a monthly-return correlation of 0.63, so their returns are far enough apart for the mix to behave differently from either one alone. This is information, not a recommendation.

Which pays a higher dividend, FLAX or QQQ?

FLAX yields 2.01% while QQQ yields 0.44%, so FLAX currently pays the higher dividend yield.

Is QQQ better than FLAX?

QQQ has a lower expense ratio. FLAX led over 1Y, QQQ over 3Y, 5Y and the full window. Which one suits a particular account depends on what it is for. This is information, not a recommendation.