IQRA vs QQQ

IQRA vs QQQ
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Quick Verdict

QQQ has a lower expense ratio. QQQ delivered stronger 1-year returns. QQQ offers more diversification with 108 holdings.

Lower Fees: QQQHigher Returns: QQQMore Diversified: QQQ

Side-by-Side Comparison

MetricIQRAQQQWinner
Expense Ratio0.65%0.18%
AUM$7M$496.3B
Dividend Yield2.65%0.44%
Holdings107108
YTD Return+9.31%+16.64%
1Y Return+12.26%+27.27%
3Y Return (annualized)+12.51%+25.96%
5Y Return (annualized)-+14.54%
Volatility (annualized)13.6%30.6%
Max Drawdown-15.7%-83.0%
Fund FamilyIndexIQ TrustInvesco (US)
CategoryEquityEquity
InceptionMay 10, 2023Mar 10, 1999

IQRA vs QQQ Performance

NYLI CBRE Real Assets ETF (IQRA) is a ETF from IndexIQ Trust and Invesco QQQ Trust, Series 1 (QQQ) is a ETF from Invesco (US). Over the past year IQRA returned +12.26% while QQQ returned +27.27%. Year to date, IQRA is up 9.31% versus a gain of 16.64% for QQQ.

Over three years, IQRA compounded at +12.51% per year against +25.96% for QQQ. Across the full 3-year window we track, QQQ has the edge at +13.03% annualized vs +9.16%. Past performance does not guarantee future results.

Risk: Volatility and Drawdowns

QQQ has been the more volatile fund, with annualized monthly volatility of 30.6% compared with 13.6% for IQRA. 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 -15.7% for IQRA 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 0.39. They move independently enough that combining them can meaningfully diversify a portfolio.

Fees and Cost Over Time

IQRA charges 0.65% per year while QQQ charges 0.18%. On a $10,000 position that is $65 vs $18 annually, a gap of $47 per year that compounds over a long holding period. On income, IQRA currently yields 2.65% against 0.44% for QQQ.

Holdings Overlap

0.7%overlap

IQRA and QQQ share 3 holdings out of 201 unique holdings combined, representing a 0.7% weight overlap.

Moderate overlap means holding both could provide meaningful diversification benefits.

Top Shared Holdings

StockWeight in IQRAWeight in QQQDifference
XEL3.01%0.21%2.80%
FER:AS0.92%0.21%0.71%
CEG0.23%0.42%0.19%

Frequently Asked Questions

Which is cheaper, IQRA or QQQ?

IQRA has an expense ratio of 0.65% while QQQ charges 0.18%. QQQ is the cheaper option. On a $10,000 investment, that is $47 per year of difference.

Which performed better, IQRA or QQQ?

Over the past year IQRA returned +12.26% vs +27.27% for QQQ, so QQQ leads on 1-year performance. Over the longest common window we track (3 years), IQRA annualized +9.16% vs +13.03% for QQQ. Past performance does not guarantee future results.

Which is riskier, IQRA or QQQ?

QQQ has been the more volatile fund at 30.6% annualized versus 13.6% for IQRA. Worst drawdown: IQRA -15.7% vs QQQ -83.0%.

Should I hold both IQRA and QQQ?

IQRA and QQQ have a monthly-return correlation of 0.39, so combining them can provide real diversification depending on your allocation goals.

What is the holdings overlap between IQRA and QQQ?

IQRA and QQQ share 3 common holdings with a 0.7% weight overlap. Combined, they hold 201 unique securities.

Which pays a higher dividend, IQRA or QQQ?

IQRA yields 2.65% while QQQ yields 0.44%, so IQRA currently pays the higher dividend yield.

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