ITOT vs QQQ

ITOT vs QQQ

Which is better, ITOT or QQQ?

Large Cap Blend against Large Cap Growth.

ITOT has a lower expense ratio. QQQ led over 1Y, 3Y, 5Y and the full window. The two have moved almost in lockstep, correlation 0.90.

Lower Fees: ITOTHigher Returns: 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

MetricITOTQQQ
Expense Ratio0.03%Best0.18%
AUM$95.7B$483.5B
Dividend Yield0.98%0.44%
Holdings2,502107
YTD Return+11.04%+15.21%Best
1Y Return+15.35%+19.78%Best
3Y Return (annualized)+20.46%+24.58%Best
5Y Return (annualized)+11.52%+13.93%Best
Volatility (annualized)15.0%Best18.3%
Max Drawdown-56.3%-53.5%Best
$10,000 over 5 years$17,249$19,195Best
Fund FamilyiShares by BlackRock (US)Invesco (US)
CategoryEquityEquity
StyleLarge Cap BlendLarge Cap Growth
InceptionJan 20, 2004Mar 10, 1999

Not shown on this pair: Top 10 Weight.

Volatility and max drawdown are measured over the window both funds cover: Jan 23, 2004 to Sep 16, 2026 (22.6 years).

ITOT 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 22.6 years both funds cover.

ITOT vs QQQ Performance

iShares Core S&P Total US Stock Market ETF (ITOT) 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 ITOT returned +15.35% while QQQ returned +19.78%. Year to date, ITOT is up 11.04% versus a gain of 15.21% for QQQ.

Over three years, ITOT compounded at +20.46% per year against +24.58% for QQQ; over five years the annualized figures are +11.52% and +13.93% respectively. Across the full 23-year window we track, QQQ has the edge at +13.92% annualized vs +9.05%.

Past performance does not guarantee future results.

Risk: Volatility and Drawdowns

QQQ has been the more volatile fund, with annualized monthly volatility of 18.3% compared with 15.0% for ITOT. 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 -56.3% for ITOT 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 0.90. They move almost in lockstep, so holding both mostly duplicates the same exposure.

Fees and Cost Over Time

ITOT charges 0.03% per year while QQQ charges 0.18%. On a $10,000 position that is $3 vs $18 annually, a gap of $15 per year that compounds over a long holding period. On income, ITOT currently yields 0.98% against 0.44% for QQQ.

Holdings Overlap

QQQ already in ITOT95.8%

At least 95.8% of QQQ's money is in holdings ITOT also owns.

Stated as a floor: for ITOT, our book for it covers 94.2% of that fund, so a holding it does not list is one we cannot count as shared. The real figure is this or higher.

Most of QQQ is already inside ITOT. Owning both mostly buys the same companies twice.

90 positions in common, counted across the 1,631 positions we hold weights for in ITOT and 102 in QQQ, against full books of 2,502 and 107.

Top Shared Holdings

StockWeight in ITOTWeight in QQQDifference
NVDANvidia Corp6.45%8.44%1.99%
AAPLApple, Inc6.25%7.27%1.02%
MSFTMicrosoft Corp3.91%5.76%1.85%
AMZNAmazon.Com Inc3.26%4.67%1.41%
GOOGLAlphabet Inc,class A2.92%3.36%0.44%
MUMicron Technology, Inc.1.51%4.43%2.92%
AVGOBroadcom Inc2.41%3.16%0.75%
GOOGAlphabet Inc2.35%3.13%0.78%
AMDAdvanced Micro Devices Inc1.23%3.45%2.22%
METAMeta Platforms Inc1.80%2.78%0.98%

95.8% of QQQ is already inside ITOT.

You probably hold more than these two. Add the rest and see how much of the whole book is the same companies twice.

ITOTQQQ

Free for up to 10 holdings. No account needed.

Frequently Asked Questions

Which is cheaper, ITOT or QQQ?

ITOT has an expense ratio of 0.03% while QQQ charges 0.18%. ITOT is the cheaper option, by $15 a year on a $10,000 investment.

Which performed better, ITOT or QQQ?

Over the past year ITOT returned +15.35% vs +19.78% for QQQ, so QQQ leads on 1-year performance. Over the longest common window we track (23 years), ITOT annualized +9.05% vs +13.92% for QQQ. Past performance does not guarantee future results. This is information, not a recommendation.

Which is riskier, ITOT or QQQ?

QQQ has been the more volatile fund at 18.3% annualized versus 15.0% for ITOT. Worst drawdown: ITOT -56.3% vs QQQ -53.5%.

Should I hold both ITOT and QQQ?

ITOT and QQQ have a monthly-return correlation of 0.90, so they move almost identically. What is left to separate them is the fee and the index each one tracks. This is information, not a recommendation.

What is the holdings overlap between ITOT and QQQ?

At least 95.8% of QQQ's money is in holdings ITOT also owns. Our book for ITOT is partial, so the real figure is this or higher. They hold 90 positions in common, counted across the 1,631 positions we hold weights for in ITOT and 102 in QQQ.

Which pays a higher dividend, ITOT or QQQ?

ITOT yields 0.98% while QQQ yields 0.44%, so ITOT currently pays the higher dividend yield.

Is QQQ better than ITOT?

ITOT has a lower expense ratio. QQQ led over 1Y, 3Y, 5Y and the full window. The two have moved almost in lockstep, correlation 0.90. Which one suits a particular account depends on what it is for. This is information, not a recommendation.