LVHD vs QQQ

LVHD vs QQQ

Which is better, LVHD 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. LVHD is less concentrated, with 24.9% of the fund in its ten largest positions against 46.5%.

Lower Fees: QQQHigher Returns: QQQLess Concentrated: LVHD

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

MetricLVHDQQQ
Expense Ratio0.27%0.18%Best
AUM$620M$483.5B
Dividend Yield3.38%0.44%
Holdings117107
YTD Return+10.74%+16.87%Best
1Y Return+9.54%+22.98%Best
3Y Return (annualized)+11.48%+24.98%Best
5Y Return (annualized)+7.07%+14.39%Best
Volatility (annualized)13.5%Best18.8%
Max Drawdown-37.3%-35.1%Best
$10,000 over 5 years$14,071$19,586Best
Top 10 Weight24.9%Best46.5%
Fund FamilyFranklin Templeton Investments (US)Invesco (US)
CategoryEquityEquity
StyleLarge Cap ValueLarge Cap Growth
InceptionDec 28, 2015Mar 10, 1999

Volatility and max drawdown are measured over the window both funds cover: Dec 29, 2015 to Sep 11, 2026 (10.7 years).

LVHD 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 10.7 years both funds cover.

LVHD vs QQQ Performance

Franklin U.S. Low Volatility High Dividend Index ETF (LVHD) is an ETF from Franklin Templeton Investments (US) and Invesco QQQ Trust, Series 1 (QQQ) is an ETF from Invesco (US). Over the past year LVHD returned +9.54% while QQQ returned +22.98%. Year to date, LVHD is up 10.74% versus a gain of 16.87% for QQQ.

Over three years, LVHD compounded at +11.48% per year against +24.98% for QQQ; over five years the annualized figures are +7.07% and +14.39% respectively. Across the full 11-year window we track, QQQ has the edge at +19.04% annualized vs +7.17%.

Past performance does not guarantee future results.

Risk: Volatility and Drawdowns

QQQ has been the more volatile fund, with annualized monthly volatility of 18.8% compared with 13.5% for LVHD. 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 -37.3% for LVHD 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 0.52. They move together some of the time, and apart the rest.

Fees and Cost Over Time

LVHD charges 0.27% per year while QQQ charges 0.18%. On a $10,000 position that is $27 vs $18 annually, a gap of $9 per year that compounds over a long holding period. On income, LVHD currently yields 3.38% against 0.44% for QQQ.

Holdings Overlap

LVHD already in QQQ15.7%
QQQ already in LVHD3.0%

15.7% of LVHD's money is in holdings QQQ also owns. 3.0% of QQQ's money is in holdings LVHD also owns.

LVHD and QQQ share little of their money.

9 positions in common, counted across the 114 positions we hold weights for in LVHD and 102 in QQQ, against full books of 117 and 107.

What only one of them owns

Measured across the 114 and 102 positions we hold weights for.

QQQ holds 86 positions LVHD does not, 94.1% of the fund.

Largest: NVDA 8.44%, AAPL 7.27%, MSFT 5.76%, AMZN 4.67%, MU 4.43%

Top Shared Holdings

StockWeight in LVHDWeight in QQQDifference
PEPPepsico Inc.2.10%0.83%1.27%
MDLZMondelez International Inc. Class A2.05%0.35%1.70%
ADPAutomatic Data Processing, Inc.1.91%0.47%1.44%
EXCExelon Corp.1.96%0.21%1.75%
KDPKeurig Dr Pepper Inc.1.80%0.18%1.62%
AEPAmerican Electric Power Co. Inc.1.63%0.30%1.33%
PAYXPaychex, Inc.1.63%0.19%1.44%
XELXcel Energy Inc.1.55%0.21%1.34%
FANGDiamondback Energy Inc.1.09%0.23%0.86%

You are not choosing between two funds in isolation.

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

LVHDQQQ

Free for up to 10 holdings. No account needed.

Frequently Asked Questions

Which is cheaper, LVHD or QQQ?

LVHD has an expense ratio of 0.27% while QQQ charges 0.18%. QQQ is the cheaper option, by $9 a year on a $10,000 investment.

Which performed better, LVHD or QQQ?

Over the past year LVHD returned +9.54% vs +22.98% for QQQ, so QQQ leads on 1-year performance. Over the longest common window we track (11 years), LVHD annualized +7.17% vs +19.04% for QQQ. Past performance does not guarantee future results. This is information, not a recommendation.

Which is riskier, LVHD or QQQ?

QQQ has been the more volatile fund at 18.8% annualized versus 13.5% for LVHD. Worst drawdown: LVHD -37.3% vs QQQ -35.1%.

Should I hold both LVHD and QQQ?

LVHD and QQQ have a monthly-return correlation of 0.52, 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 LVHD and QQQ?

15.7% of LVHD's money is in holdings QQQ also owns. 3.0% of QQQ's is in holdings LVHD also owns. They hold 9 positions in common, counted across the 114 positions we hold weights for in LVHD and 102 in QQQ.

Which pays a higher dividend, LVHD or QQQ?

LVHD yields 3.38% while QQQ yields 0.44%, so LVHD currently pays the higher dividend yield.

Is QQQ better than LVHD?

QQQ has a lower expense ratio. QQQ led over 1Y, 3Y, 5Y and the full window. LVHD is less concentrated, with 24.9% 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.