LKOR vs QQQ

LKOR vs QQQ

Which is better, LKOR or QQQ?

Long Term Mid Quality against Large Cap Growth.

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

Lower Fees: LKORHigher 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

MetricLKORQQQ
Expense Ratio0.15%Best0.18%
AUM$34M$483.5B
Dividend Yield5.90%0.44%
Holdings832107
YTD Return-6.99%+15.86%Best
1Y Return-8.38%+22.63%Best
3Y Return (annualized)+2.49%+24.15%Best
5Y Return (annualized)-4.28%+14.16%Best
Volatility (annualized)27.8%18.9%Best
Max Drawdown-42.4%-35.1%Best
$10,000 over 5 years$8,036$19,390Best
Fund FamilyNorthern Trust Asset ManagementInvesco (US)
CategoryFixed IncomeEquity
StyleLong Term Mid QualityLarge Cap Growth
InceptionSep 23, 2015Mar 10, 1999

Not shown on this pair: Top 10 Weight.

Volatility and max drawdown are measured over the window both funds cover: Sep 24, 2015 to Sep 10, 2026 (11 years).

LKOR 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 is available from the range buttons; it is not the opening view here because over the whole period one of these two funds moves so much further than the other that its line would sit flat on the axis.

LKOR vs QQQ Performance

Northern Trust Credit-Scored US Long Corporate Bond ETF (LKOR) is an ETF from Northern Trust Asset Management and Invesco QQQ Trust, Series 1 (QQQ) is an ETF from Invesco (US). Over the past year LKOR returned -8.38% while QQQ returned +22.63%. Year to date, LKOR is down 6.99% versus a gain of 15.86% for QQQ.

Over three years, LKOR compounded at +2.49% per year against +24.15% for QQQ; over five years the annualized figures are -4.28% and +14.16% respectively. Across the full 11-year window we track, QQQ has the edge at +19.50% annualized vs +1.99%.

Past performance does not guarantee future results.

Risk: Volatility and Drawdowns

LKOR has been the more volatile fund, with annualized monthly volatility of 27.8% compared with 18.9% 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 -42.4% for LKOR 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 0.13. They move largely independently of each other.

Fees and Cost Over Time

LKOR 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, LKOR currently yields 5.90% against 0.44% for QQQ.

Holdings Overlap

QQQ already in LKOR1.7%

At least 1.7% of QQQ's money is in holdings LKOR also owns.

Stated as a floor: for LKOR, our book for it covers 85.7% of that fund, so a holding it does not list is one we cannot count as shared. The real figure is this or higher.

QQQ and LKOR share little of their money.

1 positions in common, counted across the 772 positions we hold weights for in LKOR and 102 in QQQ, against full books of 832 and 107.

Top Shared Holdings

StockWeight in LKORWeight in QQQDifference
LRCXLam Research Corp 3.125 06/15/20600.03%1.69%1.66%

You are not choosing between two funds in isolation.

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

LKORQQQ

Free for up to 10 holdings. No account needed.

Frequently Asked Questions

Which is cheaper, LKOR or QQQ?

LKOR has an expense ratio of 0.15% while QQQ charges 0.18%. LKOR is the cheaper option, by $3 a year on a $10,000 investment.

Which performed better, LKOR or QQQ?

Over the past year LKOR returned -8.38% vs +22.63% for QQQ, so QQQ leads on 1-year performance. Over the longest common window we track (11 years), LKOR annualized +1.99% vs +19.50% for QQQ. Past performance does not guarantee future results. This is information, not a recommendation.

Which is riskier, LKOR or QQQ?

LKOR has been the more volatile fund at 27.8% annualized versus 18.9% for QQQ. Worst drawdown: LKOR -42.4% vs QQQ -35.1%.

Should I hold both LKOR and QQQ?

LKOR and QQQ have a monthly-return correlation of 0.13, 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 LKOR and QQQ?

At least 1.7% of QQQ's money is in holdings LKOR also owns. Our book for LKOR is partial, so the real figure is this or higher. They hold 1 positions in common, counted across the 772 positions we hold weights for in LKOR and 102 in QQQ.

Which pays a higher dividend, LKOR or QQQ?

LKOR yields 5.90% while QQQ yields 0.44%, so LKOR currently pays the higher dividend yield.

Is QQQ better than LKOR?

LKOR 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.