HEQQ vs QQQ
JPMorgan Nasdaq Hedged Equity Laddered Overlay ETF vs Invesco QQQ Trust, Series 1
Quick Verdict
QQQ has a lower expense ratio. QQQ delivered stronger 1-year returns.
Side-by-Side Comparison
| Metric | HEQQ | QQQ | Winner |
|---|---|---|---|
| Expense Ratio | 0.50% | 0.18% | |
| AUM | $31M | $496.3B | |
| Dividend Yield | 0.22% | 0.44% | |
| Holdings | 108 | 108 | |
| YTD Return | +4.40% | +16.64% | |
| 1Y Return | +11.46% | +27.27% | |
| 3Y Return (annualized) | - | +25.96% | |
| 5Y Return (annualized) | - | +14.54% | |
| Volatility (annualized) | 8.6% | 30.6% | |
| Max Drawdown | -7.6% | -83.0% | |
| Fund Family | J.P. Morgan Asset Management | Invesco (US) | |
| Category | Equity | Equity | |
| Inception | Mar 26, 2025 | Mar 10, 1999 |
HEQQ vs QQQ Performance
JPMorgan Nasdaq Hedged Equity Laddered Overlay ETF (HEQQ) is a ETF from J.P. Morgan Asset Management and Invesco QQQ Trust, Series 1 (QQQ) is a ETF from Invesco (US). Over the past year HEQQ returned +11.46% while QQQ returned +27.27%. Year to date, HEQQ is up 4.40% versus a gain of 16.64% for QQQ.
Risk: Volatility and Drawdowns
QQQ has been the more volatile fund, with annualized monthly volatility of 30.6% compared with 8.6% for HEQQ. 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 -7.6% for HEQQ 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 0.91. They move almost in lockstep, so holding both mostly duplicates the same exposure.
Fees and Cost Over Time
HEQQ charges 0.50% per year while QQQ charges 0.18%. On a $10,000 position that is $50 vs $18 annually, a gap of $32 per year that compounds over a long holding period. On income, HEQQ currently yields 0.22% against 0.44% for QQQ.
Holdings Overlap
HEQQ and QQQ share 36 holdings out of 164 unique holdings combined, representing a 65.3% weight overlap.
High overlap means holding both may not provide much additional diversification.
Frequently Asked Questions
Which is cheaper, HEQQ or QQQ?
HEQQ has an expense ratio of 0.50% while QQQ charges 0.18%. QQQ is the cheaper option. On a $10,000 investment, that is $32 per year of difference.
Which performed better, HEQQ or QQQ?
Over the past year HEQQ returned +11.46% vs +27.27% for QQQ, so QQQ leads on 1-year performance. Over the longest common window we track (1 years), HEQQ annualized +15.57% vs +13.03% for QQQ. Past performance does not guarantee future results.
Which is riskier, HEQQ or QQQ?
QQQ has been the more volatile fund at 30.6% annualized versus 8.6% for HEQQ. Worst drawdown: HEQQ -7.6% vs QQQ -83.0%.
Should I hold both HEQQ and QQQ?
HEQQ and QQQ have a monthly-return correlation of 0.91, so they move almost identically. Holding both adds little diversification - most investors pick one, usually on fees or the specific index tracked.
What is the holdings overlap between HEQQ and QQQ?
HEQQ and QQQ share 36 common holdings with a 65.3% weight overlap. Combined, they hold 164 unique securities.
Which pays a higher dividend, HEQQ or QQQ?
HEQQ yields 0.22% while QQQ yields 0.44%, so QQQ 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.