LOUP vs QQQ

LOUP vs QQQ
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Quick Verdict

QQQ has a lower expense ratio. LOUP delivered stronger 1-year returns. QQQ offers more diversification with 108 holdings.

Lower Fees: QQQHigher Returns: LOUPMore Diversified: QQQ

Side-by-Side Comparison

MetricLOUPQQQWinner
Expense Ratio0.70%0.18%
AUM$227M$496.3B
Dividend Yield0.00%0.44%
Holdings32108
YTD Return+17.86%+16.64%
1Y Return+47.25%+27.27%
3Y Return (annualized)+36.19%+25.96%
5Y Return (annualized)+12.48%+14.54%
Volatility (annualized)31.3%30.6%
Max Drawdown-58.7%-83.0%
Fund FamilyInnovator ETFs TrustInvesco (US)
CategoryEquityEquity
InceptionJul 24, 2018Mar 10, 1999

LOUP vs QQQ Performance

Innovator Deepwater Frontier Tech ETF (LOUP) is a ETF from Innovator ETFs Trust and Invesco QQQ Trust, Series 1 (QQQ) is a ETF from Invesco (US). Over the past year LOUP returned +47.25% while QQQ returned +27.27%. Year to date, LOUP is up 17.86% versus a gain of 16.64% for QQQ.

Over three years, LOUP compounded at +36.19% per year against +25.96% for QQQ; over five years the annualized figures are +12.48% and +14.54% respectively. Across the full 8-year window we track, LOUP has the edge at +17.33% annualized vs +13.03%. Past performance does not guarantee future results.

Risk: Volatility and Drawdowns

LOUP has been the more volatile fund, with annualized monthly volatility of 31.3% compared with 30.6% 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 -58.7% for LOUP 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 0.87. They usually move together, but the gap leaves some room for diversification.

Fees and Cost Over Time

LOUP charges 0.70% per year while QQQ charges 0.18%. On a $10,000 position that is $70 vs $18 annually, a gap of $52 per year that compounds over a long holding period. On income, LOUP currently yields 0.00% against 0.44% for QQQ.

Holdings Overlap

6.0%overlap

LOUP and QQQ share 10 holdings out of 122 unique holdings combined, representing a 6.0% weight overlap.

Moderate overlap means holding both could provide meaningful diversification benefits.

Top Shared Holdings

StockWeight in LOUPWeight in QQQDifference
MRVL4.29%0.81%3.48%
SHOP:CA3.93%0.77%3.16%
LRCX3.00%1.69%1.31%
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Frequently Asked Questions

Which is cheaper, LOUP or QQQ?

LOUP has an expense ratio of 0.70% while QQQ charges 0.18%. QQQ is the cheaper option. On a $10,000 investment, that is $52 per year of difference.

Which performed better, LOUP or QQQ?

Over the past year LOUP returned +47.25% vs +27.27% for QQQ, so LOUP leads on 1-year performance. Over the longest common window we track (8 years), LOUP annualized +17.33% vs +13.03% for QQQ. Past performance does not guarantee future results.

Which is riskier, LOUP or QQQ?

LOUP has been the more volatile fund at 31.3% annualized versus 30.6% for QQQ. Worst drawdown: LOUP -58.7% vs QQQ -83.0%.

Should I hold both LOUP and QQQ?

LOUP and QQQ have a monthly-return correlation of 0.87, so combining them can provide real diversification depending on your allocation goals.

What is the holdings overlap between LOUP and QQQ?

LOUP and QQQ share 10 common holdings with a 6.0% weight overlap. Combined, they hold 122 unique securities.

Which pays a higher dividend, LOUP or QQQ?

LOUP yields 0.00% while QQQ yields 0.44%, so QQQ currently pays the higher dividend yield.

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