GAB vs QQQ
Gabelli Equity Trust vs Invesco QQQ Trust, Series 1
Quick Verdict
QQQ has a lower expense ratio. QQQ delivered stronger 1-year returns. GAB offers more diversification with 682 holdings.
Side-by-Side Comparison
| Metric | GAB | QQQ | Winner |
|---|---|---|---|
| Expense Ratio | 1.50% | 0.18% | |
| AUM | $2.4B | $496.3B | |
| Dividend Yield | 10.21% | 0.44% | |
| Holdings | 682 | 108 | |
| YTD Return | -2.96% | +16.23% | |
| 1Y Return | +3.74% | +26.23% | |
| 3Y Return (annualized) | +13.06% | +25.75% | |
| 5Y Return (annualized) | +6.89% | +14.78% | |
| Volatility (annualized) | 20.1% | 30.6% | |
| Max Drawdown | -83.0% | -83.0% | |
| Fund Family | Gabelli Funds | Invesco (US) | |
| Category | Equity | Equity | |
| Inception | Aug 21, 1986 | Mar 10, 1999 |
GAB vs QQQ Performance
Gabelli Equity Trust (GAB) is a ETF from Gabelli Funds and Invesco QQQ Trust, Series 1 (QQQ) is a ETF from Invesco (US). Over the past year GAB returned +3.74% while QQQ returned +26.23%. Year to date, GAB is down 2.96% versus a gain of 16.23% for QQQ.
Over three years, GAB compounded at +13.06% per year against +25.75% for QQQ; over five years the annualized figures are +6.89% and +14.78% respectively. Across the full 27-year window we track, QQQ has the edge at +13.02% annualized vs +0.46%. 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 20.1% for GAB. 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 -83.0% for GAB 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 0.47. They move independently enough that combining them can meaningfully diversify a portfolio.
Fees and Cost Over Time
GAB charges 1.50% per year while QQQ charges 0.18%. On a $10,000 position that is $150 vs $18 annually, a gap of $132 per year that compounds over a long holding period. On income, GAB currently yields 10.21% against 0.44% for QQQ.
Holdings Overlap
GAB and QQQ share 46 holdings out of 711 unique holdings combined, representing a 9.5% weight overlap.
Moderate overlap means holding both could provide meaningful diversification benefits.
Frequently Asked Questions
Which is cheaper, GAB or QQQ?
GAB has an expense ratio of 1.50% while QQQ charges 0.18%. QQQ is the cheaper option. On a $10,000 investment, that is $132 per year of difference.
Which performed better, GAB or QQQ?
Over the past year GAB returned +3.74% vs +26.23% for QQQ, so QQQ leads on 1-year performance. Over the longest common window we track (27 years), GAB annualized +0.46% vs +13.02% for QQQ. Past performance does not guarantee future results.
Which is riskier, GAB or QQQ?
QQQ has been the more volatile fund at 30.6% annualized versus 20.1% for GAB. Worst drawdown: GAB -83.0% vs QQQ -83.0%.
Should I hold both GAB and QQQ?
GAB and QQQ have a monthly-return correlation of 0.47, so combining them can provide real diversification depending on your allocation goals.
What is the holdings overlap between GAB and QQQ?
GAB and QQQ share 46 common holdings with a 9.5% weight overlap. Combined, they hold 711 unique securities.
Which pays a higher dividend, GAB or QQQ?
GAB yields 10.21% while QQQ yields 0.44%, so GAB currently pays the higher dividend yield.
Popular ETF Comparisons
Get Full ETF Analytics
Access complete holdings data, overlap analysis, screener tools, and more with FundXLS.