ISMD vs QQQ
Inspire Small/Mid Cap ETF vs Invesco QQQ Trust, Series 1
Which is better, ISMD 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. ISMD is less concentrated, with 8.5% of the fund in its ten largest positions against 47.2%.
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 | ISMD | QQQ |
|---|---|---|
| Expense Ratio | 0.53% | 0.18%Best |
| AUM | $318M | $498.6B |
| Dividend Yield | 1.13% | 0.42% |
| Holdings | 598 | 321 |
| YTD Return | +21.17% | +21.44%Best |
| 1Y Return | +21.88% | +23.58%Best |
| 3Y Return (annualized) | +17.52% | +27.86%Best |
| 5Y Return (annualized) | +8.45% | +16.25%Best |
| Volatility (annualized) | 21.0% | 19.3%Best |
| Max Drawdown | -45.5% | -35.1%Best |
| $10,000 over 5 years | $15,002 | $21,231Best |
| Top 10 Weight | 8.5%Best | 47.2% |
| Fund Family | Inspire ETFs | Invesco (US) |
| Category | Equity | Equity |
| Style | Mid Cap Growth | Large Cap Growth |
| Inception | Feb 27, 2017 | Mar 10, 1999 |
Volatility and max drawdown are measured over the window both funds cover: Feb 28, 2017 to Oct 1, 2026 (9.6 years).
ISMD 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 9.6 years both funds cover.
ISMD vs QQQ Performance
Inspire Small/Mid Cap ETF (ISMD) is an ETF from Inspire ETFs and Invesco QQQ Trust, Series 1 (QQQ) is an ETF from Invesco (US). Over the past year ISMD returned +21.88% while QQQ returned +23.58%. Year to date, ISMD is up 21.17% versus a gain of 21.44% for QQQ.
Over three years, ISMD compounded at +17.52% per year against +27.86% for QQQ; over five years the annualized figures are +8.45% and +16.25% respectively. Across the full 10-year window we track, QQQ has the edge at +20.34% annualized vs +8.52%.
Past performance does not guarantee future results.
Risk: Volatility and Drawdowns
ISMD has been the more volatile fund, with annualized monthly volatility of 21.0% compared with 19.3% 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 -45.5% for ISMD 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 0.68. They move together some of the time, and apart the rest.
Fees and Cost Over Time
ISMD charges 0.53% per year while QQQ charges 0.18%. On a $10,000 position that is $53 vs $18 annually, a gap of $35 per year that compounds over a long holding period. On income, ISMD currently yields 1.13% against 0.42% for QQQ.
Holdings Overlap
8.1% of ISMD's money is in holdings QQQ also owns. 3.5% of QQQ's money is in holdings ISMD also owns.
ISMD and QQQ share little of their money.
16 positions in common, counted across the 298 positions we hold weights for in ISMD and 102 in QQQ, against full books of 598 and 321.
What only one of them owns
Our book lists 80 positions for QQQ that do not appear in our book for ISMD (94.3% of the fund), and 128 for ISMD that do not appear in QQQ (57.3%).
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
| Stock | Weight in ISMD | Weight in QQQ | Difference |
|---|---|---|---|
| WBDWarner Bros. Discovery, Inc | 1.04% | 0.31% | 0.73% |
| BKRBaker Hughes Co | 0.67% | 0.26% | 0.41% |
| KDPKeurig Dr Pepper Inc (kdp Us) | 0.66% | 0.19% | 0.47% |
| LITELumentum Holdings Inc | 0.51% | 0.32% | 0.19% |
| XELXcel Energy Inc. | 0.62% | 0.21% | 0.41% |
| FASTFastenal Co. | 0.55% | 0.25% | 0.30% |
| TTWOTake-Two Interactive Software, Inc. | 0.60% | 0.18% | 0.42% |
| IDXXIdexx Labs | 0.53% | 0.18% | 0.35% |
| TERTeradyne Inc - Common | 0.45% | 0.26% | 0.19% |
| MPWRMonolithic Power Systems Inc | 0.41% | 0.27% | 0.14% |
You are not choosing between two funds in isolation.
Whichever of ISMD and QQQ you pick has to sit alongside everything else you own. Add the rest and see what the combination actually holds.
Free for up to 10 holdings. No account needed.
Frequently Asked Questions
Which is cheaper, ISMD or QQQ?
ISMD has an expense ratio of 0.53% while QQQ charges 0.18%. QQQ is the cheaper option, by $35 a year on a $10,000 investment.
Which performed better, ISMD or QQQ?
Over the past year ISMD returned +21.88% vs +23.58% for QQQ, so QQQ leads on 1-year performance. Over the longest common window we track (10 years), ISMD annualized +8.52% vs +20.34% for QQQ. Past performance does not guarantee future results. This is information, not a recommendation.
Which is riskier, ISMD or QQQ?
ISMD has been the more volatile fund at 21.0% annualized versus 19.3% for QQQ. Worst drawdown: ISMD -45.5% vs QQQ -35.1%.
Should I hold both ISMD and QQQ?
ISMD and QQQ have a monthly-return correlation of 0.68, 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 ISMD and QQQ?
8.1% of ISMD's money is in holdings QQQ also owns. 3.5% of QQQ's is in holdings ISMD also owns. They hold 16 positions in common, counted across the 298 positions we hold weights for in ISMD and 102 in QQQ.
Which pays a higher dividend, ISMD or QQQ?
ISMD yields 1.13% while QQQ yields 0.42%, so ISMD currently pays the higher dividend yield.
Is QQQ better than ISMD?
QQQ has a lower expense ratio. QQQ led over 1Y, 3Y, 5Y and the full window. ISMD is less concentrated, with 8.5% of the fund in its ten largest positions against 47.2%. Which one suits a particular account depends on what it is for. This is information, not a recommendation.