MAGC vs QQQ

MAGC vs QQQ
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Quick Verdict

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

Lower Fees: QQQHigher Returns: QQQMore Diversified: QQQ

Side-by-Side Comparison

MetricMAGCQQQWinner
Expense Ratio0.60%0.18%
AUM$14M$496.3B
Dividend Yield4.71%0.44%
Holdings17108
YTD Return-19.32%+16.64%
1Y Return-22.41%+27.27%
3Y Return (annualized)-+25.96%
5Y Return (annualized)-+14.54%
Volatility (annualized)28.2%30.6%
Max Drawdown-44.3%-83.0%
Fund FamilyRoundhill InvestmentsInvesco (US)
CategoryEquityEquity
InceptionOct 3, 2024Mar 10, 1999

MAGC vs QQQ Performance

Roundhill China Magnificent Seven ETF (MAGC) is a ETF from Roundhill Investments and Invesco QQQ Trust, Series 1 (QQQ) is a ETF from Invesco (US). Over the past year MAGC returned -22.41% while QQQ returned +27.27%. Year to date, MAGC is down 19.32% versus a gain of 16.64% for QQQ.

Risk: Volatility and Drawdowns

QQQ has been the more volatile fund, with annualized monthly volatility of 30.6% compared with 28.2% for MAGC. 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 -44.3% for MAGC 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 -0.24. They move independently enough that combining them can meaningfully diversify a portfolio.

Fees and Cost Over Time

MAGC charges 0.60% per year while QQQ charges 0.18%. On a $10,000 position that is $60 vs $18 annually, a gap of $42 per year that compounds over a long holding period. On income, MAGC currently yields 4.71% against 0.44% for QQQ.

Holdings Overlap

0.3%overlap

MAGC and QQQ share 1 holdings out of 108 unique holdings combined, representing a 0.3% weight overlap.

Moderate overlap means holding both could provide meaningful diversification benefits.

Top Shared Holdings

StockWeight in MAGCWeight in QQQDifference
PDD:IE5.83%0.27%5.56%

Frequently Asked Questions

Which is cheaper, MAGC or QQQ?

MAGC has an expense ratio of 0.60% while QQQ charges 0.18%. QQQ is the cheaper option. On a $10,000 investment, that is $42 per year of difference.

Which performed better, MAGC or QQQ?

Over the past year MAGC returned -22.41% vs +27.27% for QQQ, so QQQ leads on 1-year performance. Over the longest common window we track (2 years), MAGC annualized -11.41% vs +13.03% for QQQ. Past performance does not guarantee future results.

Which is riskier, MAGC or QQQ?

QQQ has been the more volatile fund at 30.6% annualized versus 28.2% for MAGC. Worst drawdown: MAGC -44.3% vs QQQ -83.0%.

Should I hold both MAGC and QQQ?

MAGC and QQQ have a monthly-return correlation of -0.24, so combining them can provide real diversification depending on your allocation goals.

What is the holdings overlap between MAGC and QQQ?

MAGC and QQQ share 1 common holdings with a 0.3% weight overlap. Combined, they hold 108 unique securities.

Which pays a higher dividend, MAGC or QQQ?

MAGC yields 4.71% while QQQ yields 0.44%, so MAGC currently pays the higher dividend yield.

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