INCE vs QQQ
Franklin Income Equity Focus ETF vs Invesco QQQ Trust, Series 1
Which is better, INCE or QQQ?
Large Cap Value against Large Cap Growth.
QQQ has a lower expense ratio. INCE led over 1Y, QQQ over 3Y, 5Y and the full window.
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 | INCE | QQQ |
|---|---|---|
| Expense Ratio | 0.29% | 0.18%Best |
| AUM | $360M | $437.3B |
| Dividend Yield | 4.98% | 0.43% |
| Holdings | 498 | 208 |
| YTD Return | +14.74%Best | +7.37% |
| 1Y Return | +21.09%Best | +7.77% |
| 3Y Return (annualized) | +17.26% | +21.44%Best |
| 5Y Return (annualized) | +10.02% | +11.19%Best |
| Volatility (annualized) | 13.8%Best | 19.2% |
| Max Drawdown | -34.1%Best | -35.1% |
| $10,000 over 5 years | $16,120 | $16,995Best |
| Fund Family | Franklin Templeton Investments (US) | Invesco (US) |
| Category | Equity | Equity |
| Style | Large Cap Value | Large Cap Growth |
| Inception | Sep 20, 2016 | Mar 10, 1999 |
Not shown on this pair: Top 10 Weight.
Volatility and max drawdown are measured over the window both funds cover: Sep 22, 2016 to Nov 6, 2026 (10.1 years).
INCE 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 10.1 years both funds cover.
INCE vs QQQ Performance
Franklin Income Equity Focus ETF (INCE) is an ETF from Franklin Templeton Investments (US) and Invesco QQQ Trust, Series 1 (QQQ) is an ETF from Invesco (US). Over the past year INCE returned +21.09% while QQQ returned +7.77%. Year to date, INCE is up 14.74% versus a gain of 7.37% for QQQ.
Over three years, INCE compounded at +17.26% per year against +21.44% for QQQ; over five years the annualized figures are +10.02% and +11.19% respectively. Across the full 10-year window we track, QQQ has the edge at +18.75% annualized vs +12.09%.
Past performance does not guarantee future results.
Risk: Volatility and Drawdowns
QQQ has been the more volatile fund, with annualized monthly volatility of 19.2% compared with 13.8% for INCE. 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 -34.1% for INCE 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 0.71. They usually move together, but the gap leaves some room for diversification.
Fees and Cost Over Time
INCE charges 0.29% per year while QQQ charges 0.18%. On a $10,000 position that is $29 vs $18 annually, a gap of $11 per year that compounds over a long holding period. On income, INCE currently yields 4.98% against 0.43% for QQQ.
Holdings Overlap
At least 20.9% of QQQ's money is in holdings INCE also owns.
Stated as a floor: for INCE, our book for it covers 57.2% of that fund, so a holding it does not list is one we cannot count as shared. The real figure is this or higher.
QQQ and INCE share little of their money.
8 positions in common, counted across the 256 positions we hold weights for in INCE and 101 in QQQ, against full books of 498 and 208.
Top Shared Holdings
| Stock | Weight in INCE | Weight in QQQ | Difference |
|---|---|---|---|
| MSFTMicrosoft Corp | 0.23% | 6.16% | 5.93% |
| MUMicron Technology, Inc. | 0.20% | 4.47% | 4.27% |
| AMZNAmazon.Com Inc | 0.18% | 4.23% | 4.05% |
| INTCIntel Corp. | 0.39% | 2.13% | 1.74% |
| CSCOCisco Systems Inc. - Ordinary Shares | 0.46% | 1.84% | 1.38% |
| PEPPepsico Inc | 1.13% | 0.74% | 0.39% |
| TXNTexas Instrument Inc | 0.53% | 1.08% | 0.55% |
| XELXcel Energy Inc. | 0.30% | 0.20% | 0.10% |
20.9% of QQQ is already inside INCE.
You probably hold more than these two. Add the rest and see how much of the whole book is the same companies twice.
Free for up to 10 holdings. No account needed.
Frequently Asked Questions
Which is cheaper, INCE or QQQ?
INCE has an expense ratio of 0.29% while QQQ charges 0.18%. QQQ is the cheaper option, by $11 a year on a $10,000 investment.
Which performed better, INCE or QQQ?
Over the past year INCE returned +21.09% vs +7.77% for QQQ, so INCE leads on 1-year performance. Over the longest common window we track (10 years), INCE annualized +12.09% vs +18.75% for QQQ. Past performance does not guarantee future results. This is information, not a recommendation.
Which is riskier, INCE or QQQ?
QQQ has been the more volatile fund at 19.2% annualized versus 13.8% for INCE. Worst drawdown: INCE -34.1% vs QQQ -35.1%.
Should I hold both INCE and QQQ?
INCE and QQQ have a monthly-return correlation of 0.71, 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 INCE and QQQ?
At least 20.9% of QQQ's money is in holdings INCE also owns. Our book for INCE is partial, so the real figure is this or higher. They hold 8 positions in common, counted across the 256 positions we hold weights for in INCE and 101 in QQQ.
Which pays a higher dividend, INCE or QQQ?
INCE yields 4.98% while QQQ yields 0.43%, so INCE currently pays the higher dividend yield.
Is QQQ better than INCE?
QQQ has a lower expense ratio. INCE led over 1Y, QQQ over 3Y, 5Y and the full window. Which one suits a particular account depends on what it is for. This is information, not a recommendation.