IUS vs QQQ
Invesco RAFI Strategic US ETF vs Invesco QQQ Trust, Series 1
Quick Verdict
QQQ has a lower expense ratio. IUS delivered stronger 1-year returns. IUS offers more diversification with 541 holdings.
Side-by-Side Comparison
| Metric | IUS | QQQ | Winner |
|---|---|---|---|
| Expense Ratio | 0.19% | 0.18% | |
| AUM | $973M | $496.3B | |
| Dividend Yield | 1.25% | 0.44% | |
| Holdings | 541 | 108 | |
| YTD Return | +22.55% | +15.47% | |
| 1Y Return | +32.36% | +24.44% | |
| 3Y Return (annualized) | +22.41% | +25.47% | |
| 5Y Return (annualized) | +14.98% | +14.22% | |
| Volatility (annualized) | 16.7% | 30.6% | |
| Max Drawdown | -35.2% | -83.0% | |
| Fund Family | Invesco (US) | Invesco (US) | |
| Category | Equity | Equity | |
| Inception | Sep 12, 2018 | Mar 10, 1999 |
IUS vs QQQ Performance
Invesco RAFI Strategic US ETF (IUS) is a ETF from Invesco (US) and Invesco QQQ Trust, Series 1 (QQQ) is a ETF from Invesco (US). Over the past year IUS returned +32.36% while QQQ returned +24.44%. Year to date, IUS is up 22.55% versus a gain of 15.47% for QQQ.
Over three years, IUS compounded at +22.41% per year against +25.47% for QQQ; over five years the annualized figures are +14.98% and +14.22% respectively. Across the full 8-year window we track, IUS has the edge at +15.24% annualized vs +12.99%. 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 16.7% for IUS. 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 -35.2% for IUS 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 0.80. They usually move together, but the gap leaves some room for diversification.
Fees and Cost Over Time
IUS charges 0.19% per year while QQQ charges 0.18%. On a $10,000 position that is $19 vs $18 annually, a gap of $1 per year that compounds over a long holding period. On income, IUS currently yields 1.25% against 0.44% for QQQ.
Holdings Overlap
IUS and QQQ share 74 holdings out of 529 unique holdings combined, representing a 31.5% weight overlap.
Moderate overlap means holding both could provide meaningful diversification benefits.
Frequently Asked Questions
Which is cheaper, IUS or QQQ?
IUS has an expense ratio of 0.19% while QQQ charges 0.18%. QQQ is the cheaper option. On a $10,000 investment, that is $1 per year of difference.
Which performed better, IUS or QQQ?
Over the past year IUS returned +32.36% vs +24.44% for QQQ, so IUS leads on 1-year performance. Over the longest common window we track (8 years), IUS annualized +15.24% vs +12.99% for QQQ. Past performance does not guarantee future results.
Which is riskier, IUS or QQQ?
QQQ has been the more volatile fund at 30.6% annualized versus 16.7% for IUS. Worst drawdown: IUS -35.2% vs QQQ -83.0%.
Should I hold both IUS and QQQ?
IUS and QQQ have a monthly-return correlation of 0.80, so combining them can provide real diversification depending on your allocation goals.
What is the holdings overlap between IUS and QQQ?
IUS and QQQ share 74 common holdings with a 31.5% weight overlap. Combined, they hold 529 unique securities.
Which pays a higher dividend, IUS or QQQ?
IUS yields 1.25% while QQQ yields 0.44%, so IUS currently pays the higher dividend yield.
Popular ETF Comparisons
Get Full ETF Analytics
Access complete holdings data, overlap analysis, screener tools, and more with FundXLS.