GRID vs QQQ
First Trust NASDAQ Clean Edge Smart Grid Infrastructure Index Fund vs Invesco QQQ Trust, Series 1
Which is better, GRID or QQQ?
Mid Cap Blend against Large Cap Growth.
QQQ has a lower expense ratio. GRID led over 1Y, QQQ over 3Y, 5Y and the full window. QQQ is less concentrated, with 46.5% of the fund in its ten largest positions against 59.8%.
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 | GRID | QQQ |
|---|---|---|
| Expense Ratio | 0.56% | 0.18%Best |
| AUM | $11.9B | $486.1B |
| Dividend Yield | 0.80% | 0.44% |
| Holdings | 255 | 107 |
| YTD Return | +15.40% | +17.54%Best |
| 1Y Return | +26.55%Best | +25.59% |
| 3Y Return (annualized) | +22.80% | +24.63%Best |
| 5Y Return (annualized) | +13.87% | +14.18%Best |
| Volatility (annualized) | 20.4% | 17.6%Best |
| Max Drawdown | -40.5% | -35.1%Best |
| $10,000 over 5 years | $19,145 | $19,407Best |
| Top 10 Weight | 59.8% | 46.5%Best |
| Fund Family | First Trust Portfolios (US) | Invesco (US) |
| Category | Equity | Equity |
| Style | Mid Cap Blend | Large Cap Growth |
| Inception | Nov 16, 2009 | Mar 10, 1999 |
Volatility and max drawdown are measured over the window both funds cover: Nov 17, 2009 to Sep 4, 2026 (16.8 years).
GRID 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 covers the 16.8 years both funds cover.
GRID vs QQQ Performance
First Trust NASDAQ Clean Edge Smart Grid Infrastructure Index Fund (GRID) 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 GRID returned +26.55% while QQQ returned +25.59%. Year to date, GRID is up 15.40% versus a gain of 17.54% for QQQ.
Over three years, GRID compounded at +22.80% per year against +24.63% for QQQ; over five years the annualized figures are +13.87% and +14.18% respectively. Across the full 17-year window we track, QQQ has the edge at +18.23% annualized vs +11.58%.
Past performance does not guarantee future results.
Risk: Volatility and Drawdowns
GRID has been the more volatile fund, with annualized monthly volatility of 20.4% compared with 17.6% 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 -40.5% for GRID 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 0.79. They usually move together, but the gap leaves some room for diversification.
Fees and Cost Over Time
GRID charges 0.56% per year while QQQ charges 0.18%. On a $10,000 position that is $56 vs $18 annually, a gap of $38 per year that compounds over a long holding period. On income, GRID currently yields 0.80% against 0.44% for QQQ.
Holdings Overlap
8.2% of GRID's money is in holdings QQQ also owns. 16.4% of QQQ's money is in holdings GRID also owns.
QQQ and GRID share little of their money.
8 positions in common, counted across the 119 positions we hold weights for in GRID and 102 in QQQ, against full books of 255 and 107.
What only one of them owns
Our book lists 88 positions for QQQ that do not appear in our book for GRID (81.2% of the fund), and 35 for GRID that do not appear in QQQ (36.5%).
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.
Top Shared Holdings
| Stock | Weight in GRID | Weight in QQQ | Difference |
|---|---|---|---|
| NVDANvidia Corp. | 2.14% | 8.44% | 6.30% |
| TSLATesla Motors Inc | 1.52% | 2.56% | 1.04% |
| CSCOCisco Systems Inc. - Ordinary Shares | 1.78% | 2.10% | 0.32% |
| TXNTexas Instrument Inc | 0.94% | 1.12% | 0.18% |
| ADIAnalog Devices, Inc. | 0.68% | 0.81% | 0.13% |
| QCOMQualcomm Inc. | 0.61% | 0.73% | 0.12% |
| HONHoneywell International Inc. | 0.31% | 0.35% | 0.04% |
| NXPINxp Semiconductors Nv Sedol B505Pn7 | 0.19% | 0.26% | 0.07% |
You are not choosing between two funds in isolation.
Whichever of GRID 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, GRID or QQQ?
GRID has an expense ratio of 0.56% while QQQ charges 0.18%. QQQ is the cheaper option, by $38 a year on a $10,000 investment.
Which performed better, GRID or QQQ?
Over the past year GRID returned +26.55% vs +25.59% for QQQ, so GRID leads on 1-year performance. Over the longest common window we track (17 years), GRID annualized +11.58% vs +18.23% for QQQ. Past performance does not guarantee future results. This is information, not a recommendation.
Which is riskier, GRID or QQQ?
GRID has been the more volatile fund at 20.4% annualized versus 17.6% for QQQ. Worst drawdown: GRID -40.5% vs QQQ -35.1%.
Should I hold both GRID and QQQ?
GRID and QQQ have a monthly-return correlation of 0.79, 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 GRID and QQQ?
16.4% of QQQ's money is in holdings GRID also owns. 16.4% of QQQ's is in holdings GRID also owns. They hold 8 positions in common, counted across the 119 positions we hold weights for in GRID and 102 in QQQ.
Which pays a higher dividend, GRID or QQQ?
GRID yields 0.80% while QQQ yields 0.44%, so GRID currently pays the higher dividend yield.
Is QQQ better than GRID?
QQQ has a lower expense ratio. GRID led over 1Y, QQQ over 3Y, 5Y and the full window. QQQ is less concentrated, with 46.5% of the fund in its ten largest positions against 59.8%. Which one suits a particular account depends on what it is for. This is information, not a recommendation.