FTQI vs QQQ
First Trust Nasdaq BuyWrite Income ETF vs Invesco QQQ Trust, Series 1
Which is better, FTQI or QQQ?
Long-Short Strategy against Large Cap Growth.
QQQ has a lower expense ratio. QQQ led over 1Y, 3Y, 5Y and the full window. FTQI is less concentrated, with 40.4% 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 | FTQI | QQQ |
|---|---|---|
| Expense Ratio | 0.75% | 0.18%Best |
| AUM | $958M | $483.5B |
| Dividend Yield | 11.26% | 0.44% |
| Holdings | 183 | 107 |
| YTD Return | +14.80% | +16.87%Best |
| 1Y Return | +20.21% | +22.98%Best |
| 3Y Return (annualized) | +16.93% | +24.98%Best |
| 5Y Return (annualized) | +11.90% | +14.39%Best |
| Volatility (annualized) | 9.9%Best | 18.2% |
| Max Drawdown | -20.4%Best | -35.1% |
| $10,000 over 5 years | $17,545 | $19,586Best |
| Top 10 Weight | 40.4%Best | 46.5% |
| Fund Family | First Trust Portfolios (US) | Invesco (US) |
| Category | Alternative | Equity |
| Style | Long-Short Strategy | Large Cap Growth |
| Inception | Jan 6, 2014 | Mar 10, 1999 |
Volatility and max drawdown are measured over the window both funds cover: Jan 7, 2014 to Sep 11, 2026 (12.7 years).
FTQI 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 12.7 years both funds cover.
FTQI vs QQQ Performance
First Trust Nasdaq BuyWrite Income ETF (FTQI) 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 FTQI returned +20.21% while QQQ returned +22.98%. Year to date, FTQI is up 14.80% versus a gain of 16.87% for QQQ.
Over three years, FTQI compounded at +16.93% per year against +24.98% for QQQ; over five years the annualized figures are +11.90% and +14.39% respectively. Across the full 13-year window we track, QQQ has the edge at +18.36% annualized vs +5.18%.
Past performance does not guarantee future results.
Risk: Volatility and Drawdowns
QQQ has been the more volatile fund, with annualized monthly volatility of 18.2% compared with 9.9% for FTQI. 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 -20.4% for FTQI 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 0.77. They usually move together, but the gap leaves some room for diversification.
Fees and Cost Over Time
FTQI charges 0.75% per year while QQQ charges 0.18%. On a $10,000 position that is $75 vs $18 annually, a gap of $57 per year that compounds over a long holding period. On income, FTQI currently yields 11.26% against 0.44% for QQQ.
Holdings Overlap
57.0% of FTQI's money is in holdings QQQ also owns. 61.5% of QQQ's money is in holdings FTQI also owns.
The two portfolios partly overlap.
26 positions in common, counted across the 176 positions we hold weights for in FTQI and 102 in QQQ, against full books of 183 and 107.
What only one of them owns
Our book lists 69 positions for QQQ that do not appear in our book for FTQI (35.6% of the fund), and 133 for FTQI that do not appear in QQQ (33.3%).
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 FTQI | Weight in QQQ | Difference |
|---|---|---|---|
| AAPLApple, Inc | 8.39% | 7.27% | 1.12% |
| NVDANvidia Corp. | 5.83% | 8.44% | 2.61% |
| AMZNAmazon.Com Inc | 4.42% | 4.67% | 0.25% |
| AMDAdvanced Micro Devices Inc. | 4.48% | 3.45% | 1.03% |
| MUMicron Technology, Inc. | 2.12% | 4.43% | 2.31% |
| METAMeta Platforms, Inc. | 2.90% | 2.78% | 0.12% |
| CSCOCisco Systems Inc. - Ordinary Shares | 3.43% | 2.10% | 1.33% |
| GOOGLAlphabet A Usd 0.001 | 2.13% | 3.36% | 1.23% |
| WMTWalmart, Inc. | 3.00% | 2.41% | 0.59% |
| AVGOBroadcom Inc | 2.23% | 3.16% | 0.93% |
61.5% of QQQ is already inside FTQI.
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, FTQI or QQQ?
FTQI has an expense ratio of 0.75% while QQQ charges 0.18%. QQQ is the cheaper option, by $57 a year on a $10,000 investment.
Which performed better, FTQI or QQQ?
Over the past year FTQI returned +20.21% vs +22.98% for QQQ, so QQQ leads on 1-year performance. Over the longest common window we track (13 years), FTQI annualized +5.18% vs +18.36% for QQQ. Past performance does not guarantee future results. This is information, not a recommendation.
Which is riskier, FTQI or QQQ?
QQQ has been the more volatile fund at 18.2% annualized versus 9.9% for FTQI. Worst drawdown: FTQI -20.4% vs QQQ -35.1%.
Should I hold both FTQI and QQQ?
FTQI and QQQ have a monthly-return correlation of 0.77, 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 FTQI and QQQ?
61.5% of QQQ's money is in holdings FTQI also owns. 61.5% of QQQ's is in holdings FTQI also owns. They hold 26 positions in common, counted across the 176 positions we hold weights for in FTQI and 102 in QQQ.
Which pays a higher dividend, FTQI or QQQ?
FTQI yields 11.26% while QQQ yields 0.44%, so FTQI currently pays the higher dividend yield.
Is QQQ better than FTQI?
QQQ has a lower expense ratio. QQQ led over 1Y, 3Y, 5Y and the full window. FTQI is less concentrated, with 40.4% 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.