IPAY vs QQQ

IPAY vs QQQ

Which is better, IPAY or QQQ?

Mid Cap Growth against Large Cap Growth.

QQQ has a lower expense ratio. QQQ led over 1Y, 3Y, 5Y and the full window. QQQ is less concentrated, with 46.5% of the fund in its ten largest positions against 55.6%.

Lower Fees: QQQHigher Returns: QQQLess 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

MetricIPAYQQQ
Expense Ratio0.75%0.18%Best
AUM$187M$486.1B
Dividend Yield0.82%0.44%
Holdings86107
YTD Return-0.32%+17.54%Best
1Y Return-13.03%+25.59%Best
3Y Return (annualized)+7.37%+24.63%Best
5Y Return (annualized)-6.21%+14.18%Best
Volatility (annualized)23.2%18.9%Best
Max Drawdown-51.8%-35.1%Best
$10,000 over 5 years$7,257$19,407Best
Top 10 Weight55.6%46.5%Best
Fund FamilyAmplify ETFsInvesco (US)
CategoryEquityEquity
StyleMid Cap GrowthLarge Cap Growth
InceptionJul 15, 2015Mar 10, 1999

Volatility and max drawdown are measured over the window both funds cover: Jul 16, 2015 to Sep 4, 2026 (11.1 years).

IPAY 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 11.1 years both funds cover.

IPAY vs QQQ Performance

Amplify Digital Payments ETF (IPAY) is an ETF from Amplify ETFs and Invesco QQQ Trust, Series 1 (QQQ) is an ETF from Invesco (US). Over the past year IPAY returned -13.03% while QQQ returned +25.59%. Year to date, IPAY is down 0.32% versus a gain of 17.54% for QQQ.

Over three years, IPAY compounded at +7.37% per year against +24.63% for QQQ; over five years the annualized figures are -6.21% and +14.18% respectively. Across the full 11-year window we track, QQQ has the edge at +18.52% annualized vs +6.78%.

Past performance does not guarantee future results.

Risk: Volatility and Drawdowns

IPAY has been the more volatile fund, with annualized monthly volatility of 23.2% compared with 18.9% 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 -51.8% for IPAY 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 0.73. They usually move together, but the gap leaves some room for diversification.

Fees and Cost Over Time

IPAY charges 0.75% per year while QQQ charges 0.18%. On a $10,000 position that is $75 vs $18 annually, a gap of $57 per year that compounds over a long holding period. On income, IPAY currently yields 0.82% against 0.44% for QQQ.

Holdings Overlap

IPAY already in QQQ7.0%
QQQ already in IPAY0.2%

7.0% of IPAY's money is in holdings QQQ also owns. 0.2% of QQQ's money is in holdings IPAY also owns.

IPAY and QQQ share little of their money.

1 positions in common, counted across the 41 positions we hold weights for in IPAY and 102 in QQQ, against full books of 86 and 107.

What only one of them owns

Our book lists 95 positions for QQQ that do not appear in our book for IPAY (97.3% of the fund), and 26 for IPAY that do not appear in QQQ (76.4%).

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 IPAYWeight in QQQDifference
PYPLPaypay Holdings, Inc.7.04%0.22%6.82%

You are not choosing between two funds in isolation.

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

IPAYQQQ

Free for up to 10 holdings. No account needed.

Frequently Asked Questions

Which is cheaper, IPAY or QQQ?

IPAY has an expense ratio of 0.75% while QQQ charges 0.18%. QQQ is the cheaper option, by $57 a year on a $10,000 investment.

Which performed better, IPAY or QQQ?

Over the past year IPAY returned -13.03% vs +25.59% for QQQ, so QQQ leads on 1-year performance. Over the longest common window we track (11 years), IPAY annualized +6.78% vs +18.52% for QQQ. Past performance does not guarantee future results. This is information, not a recommendation.

Which is riskier, IPAY or QQQ?

IPAY has been the more volatile fund at 23.2% annualized versus 18.9% for QQQ. Worst drawdown: IPAY -51.8% vs QQQ -35.1%.

Should I hold both IPAY and QQQ?

IPAY and QQQ have a monthly-return correlation of 0.73, 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 IPAY and QQQ?

7.0% of IPAY's money is in holdings QQQ also owns. 0.2% of QQQ's is in holdings IPAY also owns. They hold 1 positions in common, counted across the 41 positions we hold weights for in IPAY and 102 in QQQ.

Which pays a higher dividend, IPAY or QQQ?

IPAY yields 0.82% while QQQ yields 0.44%, so IPAY currently pays the higher dividend yield.

Is QQQ better than IPAY?

QQQ has a lower expense ratio. QQQ led over 1Y, 3Y, 5Y and the full window. QQQ is less concentrated, with 46.5% of the fund in its ten largest positions against 55.6%. Which one suits a particular account depends on what it is for. This is information, not a recommendation.