FXL vs QQQ
First Trust Technology AlphaDEX Fund vs Invesco QQQ Trust, Series 1
Which is better, FXL or QQQ?
Mid Cap Growth against Large Cap Growth.
QQQ has a lower expense ratio. FXL led over 1Y, QQQ over 3Y, 5Y and the full window. The two have moved almost in lockstep, correlation 0.92. FXL is less concentrated, with 18.0% 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 | FXL | QQQ |
|---|---|---|
| Expense Ratio | 0.60% | 0.18%Best |
| AUM | $2.8B | $486.1B |
| Dividend Yield | 0.00% | 0.44% |
| Holdings | 222 | 107 |
| YTD Return | +27.19%Best | +17.54% |
| 1Y Return | +34.53%Best | +25.59% |
| 3Y Return (annualized) | +22.60% | +24.63%Best |
| 5Y Return (annualized) | +10.99% | +14.18%Best |
| Volatility (annualized) | 21.9% | 18.9%Best |
| Max Drawdown | -61.4% | -53.5%Best |
| $10,000 over 5 years | $16,843 | $19,407Best |
| Top 10 Weight | 18.0%Best | 46.5% |
| Fund Family | First Trust Portfolios (US) | Invesco (US) |
| Category | Equity | Equity |
| Style | Mid Cap Growth | Large Cap Growth |
| Inception | May 8, 2007 | Mar 10, 1999 |
Volatility and max drawdown are measured over the window both funds cover: May 10, 2007 to Sep 4, 2026 (19.3 years).
FXL 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 19.3 years both funds cover.
FXL vs QQQ Performance
First Trust Technology AlphaDEX Fund (FXL) 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 FXL returned +34.53% while QQQ returned +25.59%. Year to date, FXL is up 27.19% versus a gain of 17.54% for QQQ.
Over three years, FXL compounded at +22.60% per year against +24.63% for QQQ; over five years the annualized figures are +10.99% and +14.18% respectively. Across the full 19-year window we track, QQQ has the edge at +15.46% annualized vs +13.38%.
Past performance does not guarantee future results.
Risk: Volatility and Drawdowns
FXL has been the more volatile fund, with annualized monthly volatility of 21.9% compared with 18.9% for QQQ. 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 -61.4% for FXL and -53.5% 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 0.92. They move almost in lockstep, so holding both mostly duplicates the same exposure.
Fees and Cost Over Time
FXL charges 0.60% per year while QQQ charges 0.18%. On a $10,000 position that is $60 vs $18 annually, a gap of $42 per year that compounds over a long holding period. On income, FXL currently yields 0.00% against 0.44% for QQQ.
Holdings Overlap
30.2% of FXL's money is in holdings QQQ also owns. 55.2% of QQQ's money is in holdings FXL also owns.
The two portfolios partly overlap.
32 positions in common, counted across the 110 positions we hold weights for in FXL and 102 in QQQ, against full books of 222 and 107.
What only one of them owns
Our book lists 64 positions for QQQ that do not appear in our book for FXL (42.4% of the fund), and 75 for FXL that do not appear in QQQ (66.5%).
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 FXL | Weight in QQQ | Difference |
|---|---|---|---|
| NVDANvidia Corp. | 0.69% | 8.44% | 7.75% |
| AAPLApple, Inc | 0.34% | 7.27% | 6.93% |
| MSFTMicrosoft Corp 4.100 Feb 06 37 | 0.82% | 5.76% | 4.94% |
| MUMicron Technology, Inc. | 1.21% | 4.43% | 3.22% |
| AMDAdvanced Micro Devices Inc | 1.30% | 3.45% | 2.15% |
| GOOGLAlphabet Inc.Class A | 0.95% | 3.36% | 2.41% |
| AVGOBroadcom Inc | 0.69% | 3.16% | 2.47% |
| METAMeta Platform Inc | 0.66% | 2.78% | 2.12% |
| LRCXLam Research Corp 3.125 06/15/2060 | 1.11% | 1.69% | 0.58% |
| PANWPalo Alto Networks, Inc | 1.33% | 1.30% | 0.03% |
55.2% of QQQ is already inside FXL.
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, FXL or QQQ?
FXL has an expense ratio of 0.60% while QQQ charges 0.18%. QQQ is the cheaper option, by $42 a year on a $10,000 investment.
Which performed better, FXL or QQQ?
Over the past year FXL returned +34.53% vs +25.59% for QQQ, so FXL leads on 1-year performance. Over the longest common window we track (19 years), FXL annualized +13.38% vs +15.46% for QQQ. Past performance does not guarantee future results. This is information, not a recommendation.
Which is riskier, FXL or QQQ?
FXL has been the more volatile fund at 21.9% annualized versus 18.9% for QQQ. Worst drawdown: FXL -61.4% vs QQQ -53.5%.
Should I hold both FXL and QQQ?
FXL and QQQ have a monthly-return correlation of 0.92, so they move almost identically. What is left to separate them is the fee and the index each one tracks. This is information, not a recommendation.
What is the holdings overlap between FXL and QQQ?
55.2% of QQQ's money is in holdings FXL also owns. 55.2% of QQQ's is in holdings FXL also owns. They hold 32 positions in common, counted across the 110 positions we hold weights for in FXL and 102 in QQQ.
Which pays a higher dividend, FXL or QQQ?
FXL yields 0.00% while QQQ yields 0.44%, so QQQ currently pays the higher dividend yield.
Is QQQ better than FXL?
QQQ has a lower expense ratio. FXL led over 1Y, QQQ over 3Y, 5Y and the full window. The two have moved almost in lockstep, correlation 0.92. FXL is less concentrated, with 18.0% 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.