KMLM vs QQQ

KMLM vs QQQ

Which is better, KMLM or QQQ?

Multi Alternative against Large Cap Growth.

QQQ has a lower expense ratio. QQQ led over 1Y, 3Y, 5Y and the full window.

Lower Fees: QQQHigher 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

MetricKMLMQQQ
Expense Ratio0.90%0.18%Best
AUM$423M$483.5B
Dividend Yield4.47%0.44%
Holdings32107
YTD Return+18.81%Best+16.87%
1Y Return+21.49%+22.98%Best
3Y Return (annualized)+0.61%+24.98%Best
5Y Return (annualized)+7.05%+14.39%Best
Volatility (annualized)12.9%Best19.9%
Max Drawdown-27.5%Best-35.1%
$10,000 over 5 years$14,058$19,586Best
Fund FamilyKraneSharesInvesco (US)
CategoryAlternativeEquity
StyleMulti AlternativeLarge Cap Growth
InceptionDec 1, 2020Mar 10, 1999

Not shown on this pair: Top 10 Weight.

Volatility and max drawdown are measured over the window both funds cover: Dec 2, 2020 to Sep 11, 2026 (5.8 years).

KMLM 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 5.8 years both funds cover.

KMLM vs QQQ Performance

KraneShares Mount Lucas Managed Futures Index Strategy ETF (KMLM) is an ETF from KraneShares and Invesco QQQ Trust, Series 1 (QQQ) is an ETF from Invesco (US). Over the past year KMLM returned +21.49% while QQQ returned +22.98%. Year to date, KMLM is up 18.81% versus a gain of 16.87% for QQQ.

Over three years, KMLM compounded at +0.61% per year against +24.98% for QQQ; over five years the annualized figures are +7.05% and +14.39% respectively. Across the full 6-year window we track, QQQ has the edge at +16.62% annualized vs +8.30%.

Past performance does not guarantee future results.

Risk: Volatility and Drawdowns

QQQ has been the more volatile fund, with annualized monthly volatility of 19.9% compared with 12.9% for KMLM. 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 -27.5% for KMLM and -35.1% 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 -0.44. They move together some of the time, and apart the rest.

Fees and Cost Over Time

KMLM charges 0.90% per year while QQQ charges 0.18%. On a $10,000 position that is $90 vs $18 annually, a gap of $72 per year that compounds over a long holding period. On income, KMLM currently yields 4.47% against 0.44% for QQQ.

You are not choosing between two funds in isolation.

Whichever of KMLM and QQQ you pick has to sit alongside everything else you own. Add the rest and see what the combination actually holds.

KMLMQQQ

Free for up to 10 holdings. No account needed.

Frequently Asked Questions

Which is cheaper, KMLM or QQQ?

KMLM has an expense ratio of 0.90% while QQQ charges 0.18%. QQQ is the cheaper option, by $72 a year on a $10,000 investment.

Which performed better, KMLM or QQQ?

Over the past year KMLM returned +21.49% vs +22.98% for QQQ, so QQQ leads on 1-year performance. Over the longest common window we track (6 years), KMLM annualized +8.30% vs +16.62% for QQQ. Past performance does not guarantee future results. This is information, not a recommendation.

Which is riskier, KMLM or QQQ?

QQQ has been the more volatile fund at 19.9% annualized versus 12.9% for KMLM. Worst drawdown: KMLM -27.5% vs QQQ -35.1%.

Should I hold both KMLM and QQQ?

KMLM and QQQ have a monthly-return correlation of -0.44, 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, KMLM or QQQ?

KMLM yields 4.47% while QQQ yields 0.44%, so KMLM currently pays the higher dividend yield.

Is QQQ better than KMLM?

QQQ has a lower expense ratio. QQQ led over 1Y, 3Y, 5Y and the full window. Which one suits a particular account depends on what it is for. This is information, not a recommendation.