ITB vs QQQ
iShares US Home Construction ETF vs Invesco QQQ Trust, Series 1
Which is better, ITB or QQQ?
Mid Cap Blend 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 67.8%.
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 | ITB | QQQ |
|---|---|---|
| Expense Ratio | 0.37% | 0.18%Best |
| AUM | $2.4B | $486.1B |
| Dividend Yield | 0.67% | 0.44% |
| Holdings | 47 | 107 |
| YTD Return | -3.49% | +17.54%Best |
| 1Y Return | -17.35% | +25.59%Best |
| 3Y Return (annualized) | +5.04% | +24.63%Best |
| 5Y Return (annualized) | +6.34% | +14.18%Best |
| Volatility (annualized) | 31.0% | 18.6%Best |
| Max Drawdown | -87.1% | -53.5%Best |
| $10,000 over 5 years | $13,598 | $19,407Best |
| Top 10 Weight | 67.8% | 46.5%Best |
| Fund Family | iShares by BlackRock (US) | Invesco (US) |
| Category | Equity | Equity |
| Style | Mid Cap Blend | Large Cap Growth |
| Inception | May 1, 2006 | Mar 10, 1999 |
Volatility and max drawdown are measured over the window both funds cover: May 5, 2006 to Sep 4, 2026 (20.3 years).
ITB 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 20.3 years both funds cover.
ITB vs QQQ Performance
iShares US Home Construction ETF (ITB) 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 ITB returned -17.35% while QQQ returned +25.59%. Year to date, ITB is down 3.49% versus a gain of 17.54% for QQQ.
Over three years, ITB compounded at +5.04% per year against +24.63% for QQQ; over five years the annualized figures are +6.34% and +14.18% respectively. Across the full 20-year window we track, QQQ has the edge at +15.15% annualized vs +3.37%.
Past performance does not guarantee future results.
Risk: Volatility and Drawdowns
ITB has been the more volatile fund, with annualized monthly volatility of 31.0% compared with 18.6% 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 -87.1% for ITB and -53.5% 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 0.55. They move together some of the time, and apart the rest.
Fees and Cost Over Time
ITB charges 0.37% per year while QQQ charges 0.18%. On a $10,000 position that is $37 vs $18 annually, a gap of $19 per year that compounds over a long holding period. On income, ITB currently yields 0.67% against 0.44% for QQQ.
Holdings Overlap
We hold position weights for 44 holdings in ITB and 102 in QQQ, totalling 100.1% and 99.9% of the two funds. The two books name no position in common, so there is no overlap percentage to show.
0 positions in common, counted across the 44 positions we hold weights for in ITB and 102 in QQQ, against full books of 47 and 107.
What only one of them owns
Measured across the 44 and 102 positions we hold weights for.
QQQ holds 96 positions ITB does not, 97.5% of the fund.
Largest: NVDA 8.44%, AAPL 7.27%, MSFT 5.76%, AMZN 4.67%, MU 4.43%
You are not choosing between two funds in isolation.
Whichever of ITB 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, ITB or QQQ?
ITB has an expense ratio of 0.37% while QQQ charges 0.18%. QQQ is the cheaper option, by $19 a year on a $10,000 investment.
Which performed better, ITB or QQQ?
Over the past year ITB returned -17.35% vs +25.59% for QQQ, so QQQ leads on 1-year performance. Over the longest common window we track (20 years), ITB annualized +3.37% vs +15.15% for QQQ. Past performance does not guarantee future results. This is information, not a recommendation.
Which is riskier, ITB or QQQ?
ITB has been the more volatile fund at 31.0% annualized versus 18.6% for QQQ. Worst drawdown: ITB -87.1% vs QQQ -53.5%.
Should I hold both ITB and QQQ?
ITB and QQQ have a monthly-return correlation of 0.55, so their returns are far enough apart for the mix to behave differently from either one alone. This is information, not a recommendation.
Which pays a higher dividend, ITB or QQQ?
ITB yields 0.67% while QQQ yields 0.44%, so ITB currently pays the higher dividend yield.
Is QQQ better than ITB?
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 67.8%. Which one suits a particular account depends on what it is for. This is information, not a recommendation.