MCH vs QQQ
Matthews China Active ETF vs Invesco QQQ Trust, Series 1
Which is better, MCH or QQQ?
Large Cap Value against Large Cap Growth.
QQQ has a lower expense ratio. QQQ led over 1Y, 3Y and the full window. MCH is less concentrated, with 44.4% of the fund in its ten largest positions against 46.5%.
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
| Metric | MCH | QQQ |
|---|---|---|
| Expense Ratio | 0.79% | 0.18%Best |
| AUM | $22M | $483.5B |
| Dividend Yield | 1.72% | 0.44% |
| Holdings | 57 | 107 |
| YTD Return | -4.87% | +17.95%Best |
| 1Y Return | -4.76% | +21.77%Best |
| 3Y Return (annualized) | +11.64% | +25.63%Best |
| 5Y Return (annualized) | - | +15.24% |
| Volatility (annualized) | 30.3% | 19.0%Best |
| Max Drawdown | -40.5% | -22.8%Best |
| $10,000 over 4.2 years | $11,686 | $25,899Best |
| Top 10 Weight | 44.4%Best | 46.5% |
| Fund Family | Matthews Asia Funds | Invesco (US) |
| Category | Equity | Equity |
| Style | Large Cap Value | Large Cap Growth |
| Inception | Jul 13, 2022 | Mar 10, 1999 |
Volatility and max drawdown, and the $10,000 over 4.2 years row, are measured over the window both funds cover: Jul 14, 2022 to Sep 18, 2026 (4.2 years).
MCH 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 4.2 years both funds cover.
MCH vs QQQ Performance
Matthews China Active ETF (MCH) is an ETF from Matthews Asia Funds and Invesco QQQ Trust, Series 1 (QQQ) is an ETF from Invesco (US). Over the past year MCH returned -4.76% while QQQ returned +21.77%. Year to date, MCH is down 4.87% versus a gain of 17.95% for QQQ.
Over three years, MCH compounded at +11.64% per year against +25.63% for QQQ. Across the full 4-year window we track, QQQ has the edge at +25.43% annualized vs +3.78%.
Past performance does not guarantee future results.
Risk: Volatility and Drawdowns
MCH has been the more volatile fund, with annualized monthly volatility of 30.3% compared with 19.0% 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 -40.5% for MCH 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 0.31. They move together some of the time, and apart the rest.
Fees and Cost Over Time
MCH charges 0.79% per year while QQQ charges 0.18%. On a $10,000 position that is $79 vs $18 annually, a gap of $61 per year that compounds over a long holding period. On income, MCH currently yields 1.72% against 0.44% for QQQ.
Holdings Overlap
2.0% of MCH's money is in holdings QQQ also owns. 0.3% of QQQ's money is in holdings MCH also owns.
MCH and QQQ share little of their money.
1 positions in common, counted across the 54 positions we hold weights for in MCH and 102 in QQQ, against full books of 57 and 107.
What only one of them owns
Our book lists 96 positions for QQQ that do not appear in our book for MCH (97.5% of the fund), and 2 for MCH that do not appear in QQQ (1.0%).
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
| Stock | Weight in MCH | Weight in QQQ | Difference |
|---|---|---|---|
| PDD:IEPdd Holdings Inc. | 1.98% | 0.27% | 1.71% |
You are not choosing between two funds in isolation.
Whichever of MCH and QQQ you pick has to sit alongside everything else you own. Add the rest and see what the combination actually holds.
Free for up to 10 holdings. No account needed.
Frequently Asked Questions
Which is cheaper, MCH or QQQ?
MCH has an expense ratio of 0.79% while QQQ charges 0.18%. QQQ is the cheaper option, by $61 a year on a $10,000 investment.
Which performed better, MCH or QQQ?
Over the past year MCH returned -4.76% vs +21.77% for QQQ, so QQQ leads on 1-year performance. Over the longest common window we track (4 years), MCH annualized +3.78% vs +25.43% for QQQ. Past performance does not guarantee future results. This is information, not a recommendation.
Which is riskier, MCH or QQQ?
MCH has been the more volatile fund at 30.3% annualized versus 19.0% for QQQ. Worst drawdown: MCH -40.5% vs QQQ -22.8%.
Should I hold both MCH and QQQ?
MCH and QQQ have a monthly-return correlation of 0.31, 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 MCH and QQQ?
2.0% of MCH's money is in holdings QQQ also owns. 0.3% of QQQ's is in holdings MCH also owns. They hold 1 positions in common, counted across the 54 positions we hold weights for in MCH and 102 in QQQ.
Which pays a higher dividend, MCH or QQQ?
MCH yields 1.72% while QQQ yields 0.44%, so MCH currently pays the higher dividend yield.
Is QQQ better than MCH?
QQQ has a lower expense ratio. QQQ led over 1Y, 3Y and the full window. MCH is less concentrated, with 44.4% 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.