GBTC vs QQQ
Grayscale Bitcoin Trust ETF vs Invesco QQQ Trust, Series 1
Which is better, GBTC or QQQ?
Single Currency against Large Cap Growth.
QQQ has a lower expense ratio. GBTC led over 3Y and the full window, QQQ over 1Y and 5Y.
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 | GBTC | QQQ |
|---|---|---|
| Expense Ratio | 1.50% | 0.18%Best |
| AUM | $10.6B | $498.6B |
| Dividend Yield | 0.00% | 0.42% |
| Holdings | 1 | 321 |
| YTD Return | -7.17% | +22.67%Best |
| 1Y Return | -31.41% | +24.33%Best |
| 3Y Return (annualized) | +49.15%Best | +29.05% |
| 5Y Return (annualized) | +10.73% | +17.00%Best |
| Volatility (annualized) | 116.7% | 18.8%Best |
| Max Drawdown | -89.9% | -35.1%Best |
| $10,000 over 5 years | $16,647 | $21,924Best |
| Fund Family | Grayscale | Invesco (US) |
| Category | Alternative | Equity |
| Style | Single Currency | Large Cap Growth |
| Inception | Sep 25, 2013 | Mar 10, 1999 |
Not shown on this pair: Top 10 Weight.
Volatility and max drawdown are measured over the window both funds cover: May 4, 2015 to Oct 2, 2026 (11.4 years).
GBTC 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.
GBTC vs QQQ Performance
Grayscale Bitcoin Trust ETF (GBTC) is an ETF from Grayscale and Invesco QQQ Trust, Series 1 (QQQ) is an ETF from Invesco (US). Over the past year GBTC returned -31.41% while QQQ returned +24.33%. Year to date, GBTC is down 7.17% versus a gain of 22.67% for QQQ.
Over three years, GBTC compounded at +49.15% per year against +29.05% for QQQ; over five years the annualized figures are +10.73% and +17.00% respectively. Across the full 11-year window we track, GBTC has the edge at +56.05% annualized vs +18.73%.
Past performance does not guarantee future results.
Risk: Volatility and Drawdowns
GBTC has been the more volatile fund, with annualized monthly volatility of 116.7% compared with 18.8% 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 -89.9% for GBTC 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 0.24. They move largely independently of each other.
Fees and Cost Over Time
GBTC 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, GBTC currently yields 0.00% against 0.42% for QQQ.
You are not choosing between two funds in isolation.
Whichever of GBTC 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, GBTC or QQQ?
GBTC has an expense ratio of 1.50% while QQQ charges 0.18%. QQQ is the cheaper option, by $132 a year on a $10,000 investment.
Which performed better, GBTC or QQQ?
Over the past year GBTC returned -31.41% vs +24.33% for QQQ, so QQQ leads on 1-year performance. Over the longest common window we track (11 years), GBTC annualized +56.05% vs +18.73% for QQQ. Past performance does not guarantee future results. This is information, not a recommendation.
Which is riskier, GBTC or QQQ?
GBTC has been the more volatile fund at 116.7% annualized versus 18.8% for QQQ. Worst drawdown: GBTC -89.9% vs QQQ -35.1%.
Should I hold both GBTC and QQQ?
GBTC and QQQ have a monthly-return correlation of 0.24, so their returns are far enough apart for the mix to behave differently from either one alone. This is information, not a recommendation.
Which pays a higher dividend, GBTC or QQQ?
GBTC yields 0.00% while QQQ yields 0.42%, so QQQ currently pays the higher dividend yield.
Is QQQ better than GBTC?
QQQ has a lower expense ratio. GBTC led over 3Y and the full window, QQQ over 1Y and 5Y. Which one suits a particular account depends on what it is for. This is information, not a recommendation.