GOVI vs QQQ

GOVI vs QQQ
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Quick Verdict

GOVI has a lower expense ratio. QQQ delivered stronger 1-year returns. QQQ offers more diversification with 108 holdings.

Lower Fees: GOVIHigher Returns: QQQMore Diversified: QQQ

Side-by-Side Comparison

MetricGOVIQQQWinner
Expense Ratio0.15%0.18%
AUM$1.2B$496.3B
Dividend Yield3.94%0.44%
Holdings31108
YTD Return-1.94%+16.64%
1Y Return+0.62%+27.27%
3Y Return (annualized)+2.15%+25.96%
5Y Return (annualized)-3.95%+14.54%
Volatility (annualized)8.7%30.6%
Max Drawdown-33.1%-83.0%
Fund FamilyInvesco (US)Invesco (US)
CategoryFixed IncomeEquity
InceptionOct 11, 2007Mar 10, 1999

GOVI vs QQQ Performance

Invesco Equal Weight 0-30 Year Treasury ETF (GOVI) is a ETF from Invesco (US) and Invesco QQQ Trust, Series 1 (QQQ) is a ETF from Invesco (US). Over the past year GOVI returned +0.62% while QQQ returned +27.27%. Year to date, GOVI is down 1.94% versus a gain of 16.64% for QQQ.

Over three years, GOVI compounded at +2.15% per year against +25.96% for QQQ; over five years the annualized figures are -3.95% and +14.54% respectively. Across the full 19-year window we track, QQQ has the edge at +13.03% annualized vs +1.04%. 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 8.7% for GOVI. 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 -33.1% for GOVI 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 -0.04. They move independently enough that combining them can meaningfully diversify a portfolio.

Fees and Cost Over Time

GOVI charges 0.15% per year while QQQ charges 0.18%. On a $10,000 position that is $15 vs $18 annually, a gap of $3 per year that compounds over a long holding period. On income, GOVI currently yields 3.94% against 0.44% for QQQ.

Holdings Overlap

0.0%overlap

GOVI and QQQ share 0 holdings out of 132 unique holdings combined, representing a 0.0% weight overlap.

Moderate overlap means holding both could provide meaningful diversification benefits.

Frequently Asked Questions

Which is cheaper, GOVI or QQQ?

GOVI has an expense ratio of 0.15% while QQQ charges 0.18%. GOVI is the cheaper option. On a $10,000 investment, that is $3 per year of difference.

Which performed better, GOVI or QQQ?

Over the past year GOVI returned +0.62% vs +27.27% for QQQ, so QQQ leads on 1-year performance. Over the longest common window we track (19 years), GOVI annualized +1.04% vs +13.03% for QQQ. Past performance does not guarantee future results.

Which is riskier, GOVI or QQQ?

QQQ has been the more volatile fund at 30.6% annualized versus 8.7% for GOVI. Worst drawdown: GOVI -33.1% vs QQQ -83.0%.

Should I hold both GOVI and QQQ?

GOVI and QQQ have a monthly-return correlation of -0.04, so combining them can provide real diversification depending on your allocation goals.

What is the holdings overlap between GOVI and QQQ?

GOVI and QQQ share 0 common holdings with a 0.0% weight overlap. Combined, they hold 132 unique securities.

Which pays a higher dividend, GOVI or QQQ?

GOVI yields 3.94% while QQQ yields 0.44%, so GOVI currently pays the higher dividend yield.

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