IETC vs QQQ

IETC vs QQQ

Which is better, IETC or QQQ?

Each has led over a different period.

IETC led over 3Y, QQQ over 1Y and 5Y. The two have moved almost in lockstep, correlation 0.96. QQQ is less concentrated, with 46.5% of the fund in its ten largest positions against 49.4%.

Lower Fees: TiedHigher Returns: splitLess Concentrated: 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

MetricIETCQQQ
Expense Ratio0.18%Tie0.18%Tie
AUM$686M$483.5B
Dividend Yield0.38%0.44%
Holdings106107
YTD Return+6.37%+15.18%Best
1Y Return+4.53%+19.65%Best
3Y Return (annualized)+25.17%Best+24.60%
5Y Return (annualized)+13.43%+13.94%Best
Volatility (annualized)21.5%20.2%Best
Max Drawdown-38.5%-35.1%Best
$10,000 over 5 years$18,778$19,204Best
Top 10 Weight49.4%46.5%Best
Fund FamilyiShares by BlackRock (US)Invesco (US)
CategoryEquityEquity
StyleLarge Cap GrowthLarge Cap Growth
InceptionMar 21, 2018Mar 10, 1999

Volatility and max drawdown are measured over the window both funds cover: Mar 23, 2018 to Sep 15, 2026 (8.5 years).

IETC 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 8.5 years both funds cover.

IETC vs QQQ Performance

iShares US Tech Independence Focused ETF (IETC) 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 IETC returned +4.53% while QQQ returned +19.65%. Year to date, IETC is up 6.37% versus a gain of 15.18% for QQQ.

Over three years, IETC compounded at +25.17% per year against +24.60% for QQQ; over five years the annualized figures are +13.43% and +13.94% respectively. Across the full 9-year window we track, IETC has the edge at +19.68% annualized vs +19.68%.

Past performance does not guarantee future results.

Risk: Volatility and Drawdowns

IETC has been the more volatile fund, with annualized monthly volatility of 21.5% compared with 20.2% 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 -38.5% for IETC 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 0.96. They move almost in lockstep, so holding both mostly duplicates the same exposure.

Fees and Cost Over Time

IETC charges 0.18% per year while QQQ charges 0.18%. On a $10,000 position that is $18 vs $18 annually. On income, IETC currently yields 0.38% against 0.44% for QQQ.

Holdings Overlap

IETC already in QQQ73.6%
QQQ already in IETC69.5%

73.6% of IETC's money is in holdings QQQ also owns. 69.5% of QQQ's money is in holdings IETC also owns.

Most of IETC is already inside QQQ. Owning both mostly buys the same companies twice.

38 positions in common, counted across the 109 positions we hold weights for in IETC and 102 in QQQ, against full books of 106 and 107.

What only one of them owns

Our book lists 58 positions for QQQ that do not appear in our book for IETC (28.0% of the fund), and 62 for IETC that do not appear in QQQ (25.7%).

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

StockWeight in IETCWeight in QQQDifference
NVDANvidia Corp13.74%8.44%5.30%
AVGOBroadcom Inc8.06%3.16%4.90%
AAPLApple, Inc3.69%7.27%3.58%
MUMicron Technology, Inc.5.34%4.43%0.91%
AMDAdvanced Micro Devices Inc4.84%3.45%1.39%
MSFTMicrosoft Corp1.94%5.76%3.82%
AMZNAmazon.Com Inc2.87%4.67%1.80%
GOOGLAlphabet Inc,class A2.94%3.36%0.42%
GOOGAlphabet Inc2.43%3.13%0.70%
METAMeta Platforms Inc2.03%2.78%0.75%

73.6% of IETC is already inside QQQ.

You probably hold more than these two. Add the rest and see how much of the whole book is the same companies twice.

IETCQQQ

Free for up to 10 holdings. No account needed.

Frequently Asked Questions

Which is cheaper, IETC or QQQ?

IETC has an expense ratio of 0.18% while QQQ charges 0.18%. At the precision these are quoted to, they cost the same.

Which performed better, IETC or QQQ?

Over the past year IETC returned +4.53% vs +19.65% for QQQ, so QQQ leads on 1-year performance. Over the longest common window we track (9 years), IETC annualized +19.68% vs +19.68% for QQQ. Past performance does not guarantee future results. This is information, not a recommendation.

Which is riskier, IETC or QQQ?

IETC has been the more volatile fund at 21.5% annualized versus 20.2% for QQQ. Worst drawdown: IETC -38.5% vs QQQ -35.1%.

Should I hold both IETC and QQQ?

IETC and QQQ have a monthly-return correlation of 0.96, so they move almost identically. What is left to separate them is the fee and the index each one tracks. This is information, not a recommendation.

What is the holdings overlap between IETC and QQQ?

73.6% of IETC's money is in holdings QQQ also owns. 69.5% of QQQ's is in holdings IETC also owns. They hold 38 positions in common, counted across the 109 positions we hold weights for in IETC and 102 in QQQ.

Which pays a higher dividend, IETC or QQQ?

IETC yields 0.38% while QQQ yields 0.44%, so QQQ currently pays the higher dividend yield.

Is QQQ better than IETC?

IETC led over 3Y, QQQ over 1Y and 5Y. The two have moved almost in lockstep, correlation 0.96. QQQ is less concentrated, with 46.5% of the fund in its ten largest positions against 49.4%. Which one suits a particular account depends on what it is for. This is information, not a recommendation.