FPAS vs QQQ

Quick Verdict

FPAS has a lower expense ratio. QQQ delivered stronger 1-year returns. QQQ offers more diversification with 103 holdings.

Lower Fees: FPASHigher Returns: QQQMore Diversified: QQQ

Side-by-Side Comparison

MetricFPASQQQWinner
Expense Ratio0.10%0.18%
AUM$11M$455.8B
Dividend Yield4.77%0.41%
Holdings5108
YTD Return-2.17%+17.46%
1Y Return-0.31%+26.02%
3Y Return (annualized)-+25.51%
5Y Return (annualized)-+15.12%
Volatility (annualized)3.0%30.6%
Max Drawdown-3.7%-83.0%
Fund FamilyFPA Investors FirstInvesco (US)
CategoryFixed IncomeEquity
InceptionOct 31, 2024Mar 10, 1999

FPAS vs QQQ Performance

FPA Short Duration Government ETF (FPAS) is a ETF from FPA Investors First and Invesco QQQ Trust, Series 1 (QQQ) is a ETF from Invesco (US). Over the past year FPAS returned -0.31% while QQQ returned +26.02%. Year to date, FPAS is down 2.17% versus a gain of 17.46% for QQQ.

Risk: Volatility and Drawdowns

QQQ has been the more volatile fund, with annualized monthly volatility of 30.6% compared with 3.0% for FPAS. 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 -3.7% for FPAS 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 -0.20. They move independently enough that combining them can meaningfully diversify a portfolio.

Fees and Cost Over Time

FPAS charges 0.10% per year while QQQ charges 0.18%. On a $10,000 position that is $10 vs $18 annually, a gap of $8 per year that compounds over a long holding period. On income, FPAS currently yields 4.77% against 0.41% for QQQ.

Frequently Asked Questions

Which is cheaper, FPAS or QQQ?

FPAS has an expense ratio of 0.10% while QQQ charges 0.18%. FPAS is the cheaper option. On a $10,000 investment, that is $8 per year of difference.

Which performed better, FPAS or QQQ?

Over the past year FPAS returned -0.31% vs +26.02% for QQQ, so QQQ leads on 1-year performance. Over the longest common window we track (2 years), FPAS annualized +2.51% vs +13.08% for QQQ. Past performance does not guarantee future results.

Which is riskier, FPAS or QQQ?

QQQ has been the more volatile fund at 30.6% annualized versus 3.0% for FPAS. Worst drawdown: FPAS -3.7% vs QQQ -83.0%.

Should I hold both FPAS and QQQ?

FPAS and QQQ have a monthly-return correlation of -0.20, so combining them can provide real diversification depending on your allocation goals.

Which pays a higher dividend, FPAS or QQQ?

FPAS yields 4.77% while QQQ yields 0.41%, so FPAS currently pays the higher dividend yield.

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