JCTR vs QQQ

Quick Verdict

JCTR has a lower expense ratio. QQQ delivered stronger 1-year returns. JCTR offers more diversification with 405 holdings.

Lower Fees: JCTRHigher Returns: QQQMore Diversified: JCTR

Side-by-Side Comparison

MetricJCTRQQQWinner
Expense Ratio0.15%0.18%
AUM$7M$455.8B
Dividend Yield0.94%0.41%
Holdings405108
YTD Return+13.48%+18.20%
1Y Return+17.99%+27.63%
3Y Return (annualized)+22.23%+25.54%
5Y Return (annualized)-+15.12%
Volatility (annualized)15.5%30.6%
Max Drawdown-24.8%-83.0%
Fund FamilyJ.P. Morgan Asset ManagementInvesco (US)
CategoryEquityEquity
InceptionDec 9, 2020Mar 10, 1999

JCTR vs QQQ Performance

JPMorgan Carbon Transition US Equity ETF (JCTR) is a ETF from J.P. Morgan Asset Management and Invesco QQQ Trust, Series 1 (QQQ) is a ETF from Invesco (US). Over the past year JCTR returned +17.99% while QQQ returned +27.63%. Year to date, JCTR is up 13.48% versus a gain of 18.20% for QQQ.

Over three years, JCTR compounded at +22.23% per year against +25.54% for QQQ. Across the full 5-year window we track, JCTR has the edge at +14.78% annualized vs +13.11%. 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 15.5% for JCTR. 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 -24.8% for JCTR 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 0.92. They move almost in lockstep, so holding both mostly duplicates the same exposure.

Fees and Cost Over Time

JCTR charges 0.15% per year while QQQ charges 0.18%. On a $10,000 position that is $15 vs $18 annually, a gap of $3 per year that compounds over a long holding period. On income, JCTR currently yields 0.94% against 0.41% for QQQ.

Frequently Asked Questions

Which is cheaper, JCTR or QQQ?

JCTR has an expense ratio of 0.15% while QQQ charges 0.18%. JCTR is the cheaper option. On a $10,000 investment, that is $3 per year of difference.

Which performed better, JCTR or QQQ?

Over the past year JCTR returned +17.99% vs +27.63% for QQQ, so QQQ leads on 1-year performance. Over the longest common window we track (5 years), JCTR annualized +14.78% vs +13.11% for QQQ. Past performance does not guarantee future results.

Which is riskier, JCTR or QQQ?

QQQ has been the more volatile fund at 30.6% annualized versus 15.5% for JCTR. Worst drawdown: JCTR -24.8% vs QQQ -83.0%.

Should I hold both JCTR and QQQ?

JCTR and QQQ have a monthly-return correlation of 0.92, so they move almost identically. Holding both adds little diversification - most investors pick one, usually on fees or the specific index tracked.

Which pays a higher dividend, JCTR or QQQ?

JCTR yields 0.94% while QQQ yields 0.41%, so JCTR currently pays the higher dividend yield.

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