LQPE vs SPY

LQPE vs SPY
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Quick Verdict

SPY has a lower expense ratio. SPY delivered stronger 1-year returns. SPY offers more diversification with 505 holdings.

Lower Fees: SPYHigher Returns: SPYMore Diversified: SPY

Side-by-Side Comparison

MetricLQPESPYWinner
Expense Ratio1.25%0.09%
AUM$13M$821.1B
Dividend Yield0.27%1.01%
Holdings262505
YTD Return-2.63%+12.68%
1Y Return+0.06%+21.82%
3Y Return (annualized)-+21.98%
5Y Return (annualized)-+12.89%
Volatility (annualized)11.1%15.3%
Max Drawdown-18.9%-56.5%
Fund FamilyAlpha QuestState Street Investment Management
CategoryEquityEquity
InceptionJan 27, 2025Jan 22, 1993

LQPE vs SPY Performance

PEO AlphaQuest Thematic PE ETF (LQPE) is a ETF from Alpha Quest and State Street SPDR S&P 500 ETF Trust (SPY) is a ETF from State Street Investment Management. Over the past year LQPE returned +0.06% while SPY returned +21.82%. Year to date, LQPE is down 2.63% versus a gain of 12.68% for SPY.

Risk: Volatility and Drawdowns

SPY has been the more volatile fund, with annualized monthly volatility of 15.3% compared with 11.1% for LQPE. 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 -18.9% for LQPE and -56.5% for SPY. 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 0.54. They move independently enough that combining them can meaningfully diversify a portfolio.

Fees and Cost Over Time

LQPE charges 1.25% per year while SPY charges 0.09%. On a $10,000 position that is $125 vs $9 annually, a gap of $116 per year that compounds over a long holding period. On income, LQPE currently yields 0.27% against 1.01% for SPY.

Holdings Overlap

4.4%overlap

LQPE and SPY share 40 holdings out of 657 unique holdings combined, representing a 4.4% weight overlap.

Moderate overlap means holding both could provide meaningful diversification benefits.

Top Shared Holdings

StockWeight in LQPEWeight in SPYDifference
ADBE2.71%0.16%2.55%
CVS2.60%0.20%2.40%
IDXX2.65%0.07%2.58%
CIProProPro
VProProPro
FICOProProPro
VRSNProProPro
MAProProPro
ITWProProPro
HUMProProPro
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Frequently Asked Questions

Which is cheaper, LQPE or SPY?

LQPE has an expense ratio of 1.25% while SPY charges 0.09%. SPY is the cheaper option. On a $10,000 investment, that is $116 per year of difference.

Which performed better, LQPE or SPY?

Over the past year LQPE returned +0.06% vs +21.82% for SPY, so SPY leads on 1-year performance. Over the longest common window we track (1 years), LQPE annualized -7.28% vs +8.81% for SPY. Past performance does not guarantee future results.

Which is riskier, LQPE or SPY?

SPY has been the more volatile fund at 15.3% annualized versus 11.1% for LQPE. Worst drawdown: LQPE -18.9% vs SPY -56.5%.

Should I hold both LQPE and SPY?

LQPE and SPY have a monthly-return correlation of 0.54, so combining them can provide real diversification depending on your allocation goals.

What is the holdings overlap between LQPE and SPY?

LQPE and SPY share 40 common holdings with a 4.4% weight overlap. Combined, they hold 657 unique securities.

Which pays a higher dividend, LQPE or SPY?

LQPE yields 0.27% while SPY yields 1.01%, so SPY currently pays the higher dividend yield.

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