MUS vs QQQ
BlackRock MuniHoldings Quality Fund, Inc. vs Invesco QQQ Trust, Series 1
Which is better, MUS or QQQ?
Municipal Bond against Large Cap Growth.
QQQ has a lower expense ratio. QQQ led over 1Y and the full window.
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 | MUS | QQQ |
|---|---|---|
| Expense Ratio | 1.50% | 0.18%Best |
| AUM | $181M | $498.6B |
| Dividend Yield | 0.78% | 0.42% |
| Holdings | 233 | 321 |
| Volatility (annualized) | 12.1%Best | 32.6% |
| Max Drawdown | -41.3%Best | -83.0% |
| $10,000 over 22 years | $52,407 | $121,003Best |
| Fund Family | BlackRock, Inc. (US) | Invesco (US) |
| Category | Tax Preferred | Equity |
| Style | Municipal Bond | Large Cap Growth |
| Inception | May 1, 1998 | Mar 10, 1999 |
Not shown on this pair: YTD Return, 1Y Return, 3Y Return (annualized), 5Y Return (annualized), Top 10 Weight.
The two price series end 2037 days apart, so a return over any period would be measuring two different stretches of market. Those rows are withheld. MUS has data through Mar 5, 2021 and QQQ through Oct 2, 2026.
Volatility and max drawdown, and the $10,000 over 22 years row, are measured over the window both funds cover: Mar 10, 1999 to Mar 5, 2021 (22 years).
Risk: Volatility and Drawdowns
QQQ has been the more volatile fund, with annualized monthly volatility of 32.6% compared with 12.1% for MUS. 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 -41.3% for MUS and -83.0% 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 0.06. They move largely independently of each other.
Fees and Cost Over Time
MUS charges 1.50% per year while QQQ charges 0.18%. On a $10,000 position that is $150 vs $18 annually, a gap of $132 per year that compounds over a long holding period. On income, MUS currently yields 0.78% against 0.42% for QQQ.
You are not choosing between two funds in isolation.
Whichever of MUS 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, MUS or QQQ?
MUS has an expense ratio of 1.50% while QQQ charges 0.18%. QQQ is the cheaper option, by $132 a year on a $10,000 investment.
Which is riskier, MUS or QQQ?
QQQ has been the more volatile fund at 32.6% annualized versus 12.1% for MUS. Worst drawdown: MUS -41.3% vs QQQ -83.0%.
Should I hold both MUS and QQQ?
MUS and QQQ have a monthly-return correlation of 0.06, so their returns are far enough apart for the mix to behave differently from either one alone. This is information, not a recommendation.
Which pays a higher dividend, MUS or QQQ?
MUS yields 0.78% while QQQ yields 0.42%, so MUS currently pays the higher dividend yield.
Is QQQ better than MUS?
QQQ has a lower expense ratio. QQQ led over 1Y and the full window. Which one suits a particular account depends on what it is for. This is information, not a recommendation.