FXN vs QQQ
First Trust Energy AlphaDEX Fund vs Invesco QQQ Trust, Series 1
Which is better, FXN or QQQ?
Mid Cap Value against Large Cap Growth.
QQQ has a lower expense ratio. FXN led over 1Y and 5Y, QQQ over 3Y and the full window. FXN is less concentrated, with 44.4% 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 | FXN | QQQ |
|---|---|---|
| Expense Ratio | 0.63% | 0.18%Best |
| AUM | $407M | $483.5B |
| Dividend Yield | 1.51% | 0.44% |
| Holdings | 80 | 107 |
| YTD Return | +45.49%Best | +15.18% |
| 1Y Return | +55.46%Best | +19.65% |
| 3Y Return (annualized) | +13.58% | +24.60%Best |
| 5Y Return (annualized) | +19.99%Best | +13.94% |
| Volatility (annualized) | 34.8% | 18.9%Best |
| Max Drawdown | -88.6% | -53.5%Best |
| $10,000 over 5 years | $24,873Best | $19,204 |
| Top 10 Weight | 44.4%Best | 46.5% |
| Fund Family | First Trust Portfolios (US) | Invesco (US) |
| Category | Equity | Equity |
| Style | Mid Cap Value | 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 15, 2026 (19.4 years).
FXN 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 is available from the range buttons; it is not the opening view here because over the whole period one of these two funds moves so much further than the other that its line would sit flat on the axis.
FXN vs QQQ Performance
First Trust Energy AlphaDEX Fund (FXN) 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 FXN returned +55.46% while QQQ returned +19.65%. Year to date, FXN is up 45.49% versus a gain of 15.18% for QQQ.
Over three years, FXN compounded at +13.58% per year against +24.60% for QQQ; over five years the annualized figures are +19.99% and +13.94% respectively. Across the full 19-year window we track, QQQ has the edge at +15.31% annualized vs +1.72%.
Past performance does not guarantee future results.
Risk: Volatility and Drawdowns
FXN has been the more volatile fund, with annualized monthly volatility of 34.8% 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 -88.6% for FXN 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 0.49. They move together some of the time, and apart the rest.
Fees and Cost Over Time
FXN charges 0.63% per year while QQQ charges 0.18%. On a $10,000 position that is $63 vs $18 annually, a gap of $45 per year that compounds over a long holding period. On income, FXN currently yields 1.51% against 0.44% for QQQ.
Holdings Overlap
3.3% of FXN's money is in holdings QQQ also owns. 0.5% of QQQ's money is in holdings FXN also owns.
FXN and QQQ share little of their money.
2 positions in common, counted across the 39 positions we hold weights for in FXN and 102 in QQQ, against full books of 80 and 107.
What only one of them owns
Our book lists 94 positions for QQQ that do not appear in our book for FXN (97.0% of the fund), and 36 for FXN that do not appear in QQQ (94.8%).
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.
You are not choosing between two funds in isolation.
Whichever of FXN and QQQ you pick has to sit alongside everything else you own. Add the rest and see what the combination actually holds.
Free for up to 10 holdings. No account needed.
Frequently Asked Questions
Which is cheaper, FXN or QQQ?
FXN has an expense ratio of 0.63% while QQQ charges 0.18%. QQQ is the cheaper option, by $45 a year on a $10,000 investment.
Which performed better, FXN or QQQ?
Over the past year FXN returned +55.46% vs +19.65% for QQQ, so FXN leads on 1-year performance. Over the longest common window we track (19 years), FXN annualized +1.72% vs +15.31% for QQQ. Past performance does not guarantee future results. This is information, not a recommendation.
Which is riskier, FXN or QQQ?
FXN has been the more volatile fund at 34.8% annualized versus 18.9% for QQQ. Worst drawdown: FXN -88.6% vs QQQ -53.5%.
Should I hold both FXN and QQQ?
FXN and QQQ have a monthly-return correlation of 0.49, 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 FXN and QQQ?
3.3% of FXN's money is in holdings QQQ also owns. 0.5% of QQQ's is in holdings FXN also owns. They hold 2 positions in common, counted across the 39 positions we hold weights for in FXN and 102 in QQQ.
Which pays a higher dividend, FXN or QQQ?
FXN yields 1.51% while QQQ yields 0.44%, so FXN currently pays the higher dividend yield.
Is QQQ better than FXN?
QQQ has a lower expense ratio. FXN led over 1Y and 5Y, QQQ over 3Y and the full window. FXN is less concentrated, with 44.4% 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.