IBTK vs QQQ

IBTK vs QQQ

Which is better, IBTK or QQQ?

QQQ has been ahead.

IBTK has a lower expense ratio. QQQ led over 1Y, 3Y, 5Y and the full window.

Lower Fees: IBTKHigher Returns: QQQ

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

MetricIBTKQQQ
Expense Ratio0.07%Best0.18%
AUM$1.0B$483.5B
Dividend Yield3.79%0.44%
Holdings28107
YTD Return-1.44%+17.95%Best
1Y Return-0.57%+21.77%Best
3Y Return (annualized)+3.90%+25.63%Best
5Y Return (annualized)-1.28%+15.24%Best
Volatility (annualized)6.3%Best20.4%
Max Drawdown-23.1%Best-35.1%
$10,000 over 5 years$9,376$20,324Best
Fund FamilyiShares by BlackRock (US)Invesco (US)
CategoryFixed IncomeEquity
Style-Large Cap Growth
InceptionJul 14, 2020Mar 10, 1999

Not shown on this pair: Top 10 Weight.

Volatility and max drawdown are measured over the window both funds cover: Jul 20, 2020 to Sep 18, 2026 (6.2 years).

IBTK 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.

IBTK vs QQQ Performance

iShares iBonds Dec 2030 Term Treasury ETF (IBTK) is an ETF from iShares by BlackRock (US) and Invesco QQQ Trust, Series 1 (QQQ) is an ETF from Invesco (US). Over the past year IBTK returned -0.57% while QQQ returned +21.77%. Year to date, IBTK is down 1.44% versus a gain of 17.95% for QQQ.

Over three years, IBTK compounded at +3.90% per year against +25.63% for QQQ; over five years the annualized figures are -1.28% and +15.24% respectively. Across the full 6-year window we track, QQQ has the edge at +18.14% annualized vs -1.80%.

Past performance does not guarantee future results.

Risk: Volatility and Drawdowns

QQQ has been the more volatile fund, with annualized monthly volatility of 20.4% compared with 6.3% for IBTK. 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 -23.1% for IBTK 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 0.46. They move together some of the time, and apart the rest.

Fees and Cost Over Time

IBTK charges 0.07% per year while QQQ charges 0.18%. On a $10,000 position that is $7 vs $18 annually, a gap of $11 per year that compounds over a long holding period. On income, IBTK currently yields 3.79% against 0.44% for QQQ.

Holdings Overlap

We hold position weights for 23 holdings in IBTK and 102 in QQQ, totalling 80.9% and 99.9% of the two funds. The two books name no position in common, so there is no overlap percentage to show.

0 positions in common, counted across the 23 positions we hold weights for in IBTK and 102 in QQQ, against full books of 28 and 107.

You are not choosing between two funds in isolation.

Whichever of IBTK and QQQ you pick has to sit alongside everything else you own. Add the rest and see what the combination actually holds.

IBTKQQQ

Free for up to 10 holdings. No account needed.

Frequently Asked Questions

Which is cheaper, IBTK or QQQ?

IBTK has an expense ratio of 0.07% while QQQ charges 0.18%. IBTK is the cheaper option, by $11 a year on a $10,000 investment.

Which performed better, IBTK or QQQ?

Over the past year IBTK returned -0.57% vs +21.77% for QQQ, so QQQ leads on 1-year performance. Over the longest common window we track (6 years), IBTK annualized -1.80% vs +18.14% for QQQ. Past performance does not guarantee future results. This is information, not a recommendation.

Which is riskier, IBTK or QQQ?

QQQ has been the more volatile fund at 20.4% annualized versus 6.3% for IBTK. Worst drawdown: IBTK -23.1% vs QQQ -35.1%.

Should I hold both IBTK and QQQ?

IBTK and QQQ have a monthly-return correlation of 0.46, 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, IBTK or QQQ?

IBTK yields 3.79% while QQQ yields 0.44%, so IBTK currently pays the higher dividend yield.

Is QQQ better than IBTK?

IBTK has a lower expense ratio. QQQ led over 1Y, 3Y, 5Y and the full window. Which one suits a particular account depends on what it is for. This is information, not a recommendation.