KCAI vs QQQ
KraneShares China Alpha Index ETF vs Invesco QQQ Trust, Series 1
Which is better, KCAI or QQQ?
Large Cap Blend against Large Cap Growth.
QQQ has a lower expense ratio. KCAI led over 1Y, QQQ over the full window. KCAI is less concentrated, with 31.6% of the fund in its ten largest positions against 46.9%.
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 | KCAI | QQQ |
|---|---|---|
| Expense Ratio | 0.79% | 0.18%Best |
| AUM | $3M | $437.3B |
| Dividend Yield | 33.16% | 0.43% |
| Holdings | 40 | 208 |
| Volatility (annualized) | 41.7% | 18.2%Best |
| Max Drawdown | -55.5% | -22.8%Best |
| $10,000 over 2.2 years | $8,251 | $15,404Best |
| Top 10 Weight | 31.6%Best | 46.9% |
| Fund Family | KraneShares | Invesco (US) |
| Category | Equity | Equity |
| Style | Large Cap Blend | Large Cap Growth |
| Inception | Aug 28, 2024 | Mar 10, 1999 |
Not shown on this pair: YTD Return, 1Y Return, 3Y Return (annualized), 5Y Return (annualized).
The two price series end 16 days apart, so a return over any period would be measuring two different stretches of market. Those rows are withheld. KCAI has data through Oct 26, 2026 and QQQ through Nov 11, 2026.
Volatility and max drawdown, and the $10,000 over 2.2 years row, are measured over the window both funds cover: Aug 28, 2024 to Oct 26, 2026 (2.2 years).
Risk: Volatility and Drawdowns
KCAI has been the more volatile fund, with annualized monthly volatility of 41.7% compared with 18.2% 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 -55.5% for KCAI and -22.8% 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 0.32. They move together some of the time, and apart the rest.
Fees and Cost Over Time
KCAI charges 0.79% per year while QQQ charges 0.18%. On a $10,000 position that is $79 vs $18 annually, a gap of $61 per year that compounds over a long holding period. On income, KCAI currently yields 33.16% against 0.43% for QQQ.
Holdings Overlap
We hold position weights for 38 holdings in KCAI and 101 in QQQ, totalling 99.9% and 99.7% 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 38 positions we hold weights for in KCAI and 101 in QQQ, against full books of 40 and 208.
What only one of them owns
Our book lists 94 positions for QQQ that do not appear in our book for KCAI (97.2% of the fund), and 0 for KCAI that do not appear in QQQ (0.0%).
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.
You are not choosing between two funds in isolation.
Whichever of KCAI 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, KCAI or QQQ?
KCAI has an expense ratio of 0.79% while QQQ charges 0.18%. QQQ is the cheaper option, by $61 a year on a $10,000 investment.
Which is riskier, KCAI or QQQ?
KCAI has been the more volatile fund at 41.7% annualized versus 18.2% for QQQ. Worst drawdown: KCAI -55.5% vs QQQ -22.8%.
Should I hold both KCAI and QQQ?
KCAI and QQQ have a monthly-return correlation of 0.32, 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, KCAI or QQQ?
KCAI yields 33.16% while QQQ yields 0.43%, so KCAI currently pays the higher dividend yield.
Is QQQ better than KCAI?
QQQ has a lower expense ratio. KCAI led over 1Y, QQQ over the full window. KCAI is less concentrated, with 31.6% of the fund in its ten largest positions against 46.9%. Which one suits a particular account depends on what it is for. This is information, not a recommendation.