FTWO vs QQQ

FTWO vs QQQ
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Quick Verdict

QQQ has a lower expense ratio. FTWO delivered stronger 1-year returns. QQQ offers more diversification with 108 holdings.

Lower Fees: QQQHigher Returns: FTWOMore Diversified: QQQ

Side-by-Side Comparison

MetricFTWOQQQWinner
Expense Ratio0.49%0.18%
AUM$76M$496.3B
Dividend Yield0.94%0.44%
Holdings54108
YTD Return+13.71%+16.23%
1Y Return+30.67%+26.23%
3Y Return (annualized)+24.77%+25.75%
5Y Return (annualized)-+14.78%
Volatility (annualized)17.1%30.6%
Max Drawdown-18.2%-83.0%
Fund FamilyStrive Asset ManagementInvesco (US)
CategoryEquityEquity
InceptionAug 31, 2023Mar 10, 1999

FTWO vs QQQ Performance

Strive Natural Resources and Security ETF (FTWO) is a ETF from Strive Asset Management and Invesco QQQ Trust, Series 1 (QQQ) is a ETF from Invesco (US). Over the past year FTWO returned +30.67% while QQQ returned +26.23%. Year to date, FTWO is up 13.71% versus a gain of 16.23% for QQQ.

Over three years, FTWO compounded at +24.77% per year against +25.75% for QQQ. Across the full 3-year window we track, FTWO has the edge at +24.77% annualized vs +13.02%. 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 17.1% for FTWO. 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 -18.2% for FTWO 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 0.29. They move independently enough that combining them can meaningfully diversify a portfolio.

Fees and Cost Over Time

FTWO charges 0.49% per year while QQQ charges 0.18%. On a $10,000 position that is $49 vs $18 annually, a gap of $31 per year that compounds over a long holding period. On income, FTWO currently yields 0.94% against 0.44% for QQQ.

Holdings Overlap

0.6%overlap

FTWO and QQQ share 2 holdings out of 151 unique holdings combined, representing a 0.6% weight overlap.

Moderate overlap means holding both could provide meaningful diversification benefits.

Top Shared Holdings

StockWeight in FTWOWeight in QQQDifference
CEG7.74%0.42%7.32%
RKLB0.75%0.19%0.56%

Frequently Asked Questions

Which is cheaper, FTWO or QQQ?

FTWO has an expense ratio of 0.49% while QQQ charges 0.18%. QQQ is the cheaper option. On a $10,000 investment, that is $31 per year of difference.

Which performed better, FTWO or QQQ?

Over the past year FTWO returned +30.67% vs +26.23% for QQQ, so FTWO leads on 1-year performance. Over the longest common window we track (3 years), FTWO annualized +24.77% vs +13.02% for QQQ. Past performance does not guarantee future results.

Which is riskier, FTWO or QQQ?

QQQ has been the more volatile fund at 30.6% annualized versus 17.1% for FTWO. Worst drawdown: FTWO -18.2% vs QQQ -83.0%.

Should I hold both FTWO and QQQ?

FTWO and QQQ have a monthly-return correlation of 0.29, so combining them can provide real diversification depending on your allocation goals.

What is the holdings overlap between FTWO and QQQ?

FTWO and QQQ share 2 common holdings with a 0.6% weight overlap. Combined, they hold 151 unique securities.

Which pays a higher dividend, FTWO or QQQ?

FTWO yields 0.94% while QQQ yields 0.44%, so FTWO currently pays the higher dividend yield.

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