LQAI vs QQQ

LQAI vs QQQ

Which is better, LQAI or QQQ?

Large Cap Blend against Large Cap Growth.

QQQ has a lower expense ratio. QQQ led over 1Y and the full window. The two have moved almost in lockstep, correlation 0.92. LQAI is less concentrated, with 44.9% of the fund in its ten largest positions against 46.5%.

Lower Fees: QQQHigher Returns: QQQLess Concentrated: LQAI

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

MetricLQAIQQQ
Expense Ratio0.75%0.18%Best
AUM$2M$483.5B
Dividend Yield0.92%0.44%
Holdings101107
YTD Return+18.05%Best+17.21%
1Y Return+17.73%+22.10%Best
3Y Return (annualized)-+25.27%
5Y Return (annualized)-+14.60%
Volatility (annualized)15.1%Best16.8%
Max Drawdown-21.2%Best-22.8%
$10,000 over 2.9 years$18,853$19,723Best
Top 10 Weight44.9%Best46.5%
Fund FamilyQRAFT AI ETFsInvesco (US)
CategoryEquityEquity
StyleLarge Cap BlendLarge Cap Growth
InceptionNov 7, 2023Mar 10, 1999

Volatility and max drawdown, and the $10,000 over 2.9 years row, are measured over the window both funds cover: Nov 7, 2023 to Sep 17, 2026 (2.9 years).

LQAI 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 2.9 years both funds cover.

LQAI vs QQQ Performance

LG QRAFT AI-Powered US Large Cap Core ETF (LQAI) is an ETF from QRAFT AI ETFs and Invesco QQQ Trust, Series 1 (QQQ) is an ETF from Invesco (US). Over the past year LQAI returned +17.73% while QQQ returned +22.10%. Year to date, LQAI is up 18.05% versus a gain of 17.21% for QQQ.

Past performance does not guarantee future results.

Risk: Volatility and Drawdowns

QQQ has been the more volatile fund, with annualized monthly volatility of 16.8% compared with 15.1% for LQAI. 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 -21.2% for LQAI 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 0.92. They move almost in lockstep, so holding both mostly duplicates the same exposure.

Fees and Cost Over Time

LQAI charges 0.75% per year while QQQ charges 0.18%. On a $10,000 position that is $75 vs $18 annually, a gap of $57 per year that compounds over a long holding period. On income, LQAI currently yields 0.92% against 0.44% for QQQ.

Holdings Overlap

LQAI already in QQQ51.7%
QQQ already in LQAI60.6%

51.7% of LQAI's money is in holdings QQQ also owns. 60.6% of QQQ's money is in holdings LQAI also owns.

The two portfolios partly overlap.

32 positions in common, counted across the 99 positions we hold weights for in LQAI and 102 in QQQ, against full books of 101 and 107.

What only one of them owns

Our book lists 64 positions for QQQ that do not appear in our book for LQAI (36.9% of the fund), and 59 for LQAI that do not appear in QQQ (38.3%).

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 LQAIWeight in QQQDifference
NVDANvidia Corp5.45%8.44%2.99%
AAPLApple, Inc3.87%7.27%3.40%
MSFTMicrosoft Corp5.35%5.76%0.41%
MUMicron Technology, Inc.6.19%4.43%1.76%
AMZNAmazon.Com Inc5.26%4.67%0.59%
AMDAdvanced Micro Devices Inc4.54%3.45%1.09%
TSLATesla Inc4.05%2.56%1.49%
METAMeta Platforms Inc3.32%2.78%0.54%
SNDKSandisk Corp/De3.67%0.88%2.79%
GOOGLAlphabet Inc,class A0.50%3.36%2.86%

60.6% of QQQ is already inside LQAI.

You probably hold more than these two. Add the rest and see how much of the whole book is the same companies twice.

LQAIQQQ

Free for up to 10 holdings. No account needed.

Frequently Asked Questions

Which is cheaper, LQAI or QQQ?

LQAI has an expense ratio of 0.75% while QQQ charges 0.18%. QQQ is the cheaper option, by $57 a year on a $10,000 investment.

Which performed better, LQAI or QQQ?

Over the past year LQAI returned +17.73% vs +22.10% for QQQ, so QQQ leads on 1-year performance. Past performance does not guarantee future results. This is information, not a recommendation.

Which is riskier, LQAI or QQQ?

QQQ has been the more volatile fund at 16.8% annualized versus 15.1% for LQAI. Worst drawdown: LQAI -21.2% vs QQQ -22.8%.

Should I hold both LQAI and QQQ?

LQAI and QQQ have a monthly-return correlation of 0.92, so they move almost identically. What is left to separate them is the fee and the index each one tracks. This is information, not a recommendation.

What is the holdings overlap between LQAI and QQQ?

60.6% of QQQ's money is in holdings LQAI also owns. 60.6% of QQQ's is in holdings LQAI also owns. They hold 32 positions in common, counted across the 99 positions we hold weights for in LQAI and 102 in QQQ.

Which pays a higher dividend, LQAI or QQQ?

LQAI yields 0.92% while QQQ yields 0.44%, so LQAI currently pays the higher dividend yield.

Is QQQ better than LQAI?

QQQ has a lower expense ratio. QQQ led over 1Y and the full window. The two have moved almost in lockstep, correlation 0.92. LQAI is less concentrated, with 44.9% 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.