KNG vs QQQ

KNG vs QQQ

Which is better, KNG or QQQ?

Large Cap Value against Large Cap Growth.

QQQ has a lower expense ratio. QQQ led over 1Y, 3Y, 5Y and the full window. KNG is less concentrated, with 16.2% of the fund in its ten largest positions against 46.5%.

Lower Fees: QQQHigher Returns: QQQLess Concentrated: KNG

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

MetricKNGQQQ
Expense Ratio0.74%0.18%Best
AUM$3.4B$483.5B
Dividend Yield8.23%0.44%
Holdings139107
YTD Return+2.86%+15.86%Best
1Y Return+5.35%+22.63%Best
3Y Return (annualized)+6.18%+24.15%Best
5Y Return (annualized)+4.57%+14.16%Best
Volatility (annualized)15.5%Best20.2%
Max Drawdown-35.1%Tie-35.1%Tie
$10,000 over 5 years$12,504$19,390Best
Top 10 Weight16.2%Best46.5%
Fund FamilyFirst Trust Portfolios (US)Invesco (US)
CategoryEquityEquity
StyleLarge Cap ValueLarge Cap Growth
InceptionMar 26, 2018Mar 10, 1999

Volatility and max drawdown are measured over the window both funds cover: Mar 27, 2018 to Sep 10, 2026 (8.5 years).

KNG 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 8.5 years both funds cover.

KNG vs QQQ Performance

FT Vest S&P 500 Dividend Aristocrats Target Income ETF (KNG) is an ETF from First Trust Portfolios (US) and Invesco QQQ Trust, Series 1 (QQQ) is an ETF from Invesco (US). Over the past year KNG returned +5.35% while QQQ returned +22.63%. Year to date, KNG is up 2.86% versus a gain of 15.86% for QQQ.

Over three years, KNG compounded at +6.18% per year against +24.15% for QQQ; over five years the annualized figures are +4.57% and +14.16% respectively. Across the full 9-year window we track, QQQ has the edge at +19.78% annualized vs +6.77%.

Past performance does not guarantee future results.

Risk: Volatility and Drawdowns

QQQ has been the more volatile fund, with annualized monthly volatility of 20.2% compared with 15.5% for KNG. 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 -35.1% for KNG 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 0.65. They move together some of the time, and apart the rest.

Fees and Cost Over Time

KNG charges 0.74% per year while QQQ charges 0.18%. On a $10,000 position that is $74 vs $18 annually, a gap of $56 per year that compounds over a long holding period. On income, KNG currently yields 8.23% against 0.44% for QQQ.

Holdings Overlap

KNG already in QQQ10.4%
QQQ already in KNG5.5%

10.4% of KNG's money is in holdings QQQ also owns. 5.5% of QQQ's money is in holdings KNG also owns.

KNG and QQQ share little of their money.

7 positions in common, counted across the 69 positions we hold weights for in KNG and 102 in QQQ, against full books of 139 and 107.

What only one of them owns

Our book lists 88 positions for QQQ that do not appear in our book for KNG (91.6% of the fund), and 61 for KNG that do not appear in QQQ (88.8%).

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.

Top Shared Holdings

StockWeight in KNGWeight in QQQDifference
WMTWalmart, Inc.1.45%2.41%0.96%
LINLinde Plc Ordinary Shares1.36%1.00%0.36%
PEPPepsico Inc.1.44%0.83%0.61%
ADPAutomatic Data Processing, Inc.1.56%0.47%1.09%
ROPRoper Technologies Inc.1.65%0.17%1.48%
FASTFastenal Co.1.55%0.25%1.30%
CTASCintas Corp.1.41%0.35%1.06%

You are not choosing between two funds in isolation.

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

KNGQQQ

Free for up to 10 holdings. No account needed.

Frequently Asked Questions

Which is cheaper, KNG or QQQ?

KNG has an expense ratio of 0.74% while QQQ charges 0.18%. QQQ is the cheaper option, by $56 a year on a $10,000 investment.

Which performed better, KNG or QQQ?

Over the past year KNG returned +5.35% vs +22.63% for QQQ, so QQQ leads on 1-year performance. Over the longest common window we track (9 years), KNG annualized +6.77% vs +19.78% for QQQ. Past performance does not guarantee future results. This is information, not a recommendation.

Which is riskier, KNG or QQQ?

QQQ has been the more volatile fund at 20.2% annualized versus 15.5% for KNG. Worst drawdown: KNG -35.1% vs QQQ -35.1%.

Should I hold both KNG and QQQ?

KNG and QQQ have a monthly-return correlation of 0.65, so their returns are far enough apart for the mix to behave differently from either one alone. This is information, not a recommendation.

What is the holdings overlap between KNG and QQQ?

10.4% of KNG's money is in holdings QQQ also owns. 5.5% of QQQ's is in holdings KNG also owns. They hold 7 positions in common, counted across the 69 positions we hold weights for in KNG and 102 in QQQ.

Which pays a higher dividend, KNG or QQQ?

KNG yields 8.23% while QQQ yields 0.44%, so KNG currently pays the higher dividend yield.

Is QQQ better than KNG?

QQQ has a lower expense ratio. QQQ led over 1Y, 3Y, 5Y and the full window. KNG is less concentrated, with 16.2% of the fund in its ten largest positions against 46.5%. Which one suits a particular account depends on what it is for. This is information, not a recommendation.