GDL vs QQQ
The GDL Fund vs Invesco QQQ Trust, Series 1
Quick Verdict
QQQ has a lower expense ratio. QQQ delivered stronger 1-year returns. GDL offers more diversification with 129 holdings.
Side-by-Side Comparison
| Metric | GDL | QQQ | Winner |
|---|---|---|---|
| Expense Ratio | 2.70% | 0.18% | |
| AUM | $119M | $496.3B | |
| Dividend Yield | 4.50% | 0.44% | |
| Holdings | 129 | 108 | |
| YTD Return | +3.39% | +16.64% | |
| 1Y Return | +5.78% | +27.27% | |
| 3Y Return (annualized) | +8.28% | +25.96% | |
| 5Y Return (annualized) | +4.60% | +14.54% | |
| Volatility (annualized) | 8.5% | 30.6% | |
| Max Drawdown | -72.5% | -83.0% | |
| Fund Family | Gabelli Funds | Invesco (US) | |
| Category | Equity | Equity | |
| Inception | Jan 25, 2007 | Mar 10, 1999 |
GDL vs QQQ Performance
The GDL Fund (GDL) is a ETF from Gabelli Funds and Invesco QQQ Trust, Series 1 (QQQ) is a ETF from Invesco (US). Over the past year GDL returned +5.78% while QQQ returned +27.27%. Year to date, GDL is up 3.39% versus a gain of 16.64% for QQQ.
Over three years, GDL compounded at +8.28% per year against +25.96% for QQQ; over five years the annualized figures are +4.60% and +14.54% respectively. Across the full 20-year window we track, QQQ has the edge at +13.03% annualized vs -2.75%. 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 8.5% for GDL. 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 -72.5% for GDL 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 0.55. They move independently enough that combining them can meaningfully diversify a portfolio.
Fees and Cost Over Time
GDL charges 2.70% per year while QQQ charges 0.18%. On a $10,000 position that is $270 vs $18 annually, a gap of $252 per year that compounds over a long holding period. On income, GDL currently yields 4.50% against 0.44% for QQQ.
Holdings Overlap
GDL and QQQ share 1 holdings out of 216 unique holdings combined, representing a 0.3% weight overlap.
Moderate overlap means holding both could provide meaningful diversification benefits.
Top Shared Holdings
| Stock | Weight in GDL | Weight in QQQ | Difference |
|---|---|---|---|
| WBD | 3.07% | 0.29% | 2.78% |
Frequently Asked Questions
Which is cheaper, GDL or QQQ?
GDL has an expense ratio of 2.70% while QQQ charges 0.18%. QQQ is the cheaper option. On a $10,000 investment, that is $252 per year of difference.
Which performed better, GDL or QQQ?
Over the past year GDL returned +5.78% vs +27.27% for QQQ, so QQQ leads on 1-year performance. Over the longest common window we track (20 years), GDL annualized -2.75% vs +13.03% for QQQ. Past performance does not guarantee future results.
Which is riskier, GDL or QQQ?
QQQ has been the more volatile fund at 30.6% annualized versus 8.5% for GDL. Worst drawdown: GDL -72.5% vs QQQ -83.0%.
Should I hold both GDL and QQQ?
GDL and QQQ have a monthly-return correlation of 0.55, so combining them can provide real diversification depending on your allocation goals.
What is the holdings overlap between GDL and QQQ?
GDL and QQQ share 1 common holdings with a 0.3% weight overlap. Combined, they hold 216 unique securities.
Which pays a higher dividend, GDL or QQQ?
GDL yields 4.50% while QQQ yields 0.44%, so GDL 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.