NZF vs QQQ
Nuveen Municipal Credit Income Fund vs Invesco QQQ Trust, Series 1
Which is better, NZF or QQQ?
Municipal Bond against Large Cap Growth.
QQQ has a lower expense ratio. QQQ led over 1Y, 3Y, 5Y 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 | NZF | QQQ |
|---|---|---|
| Expense Ratio | 3.61% | 0.18%Best |
| AUM | - | $483.5B |
| Dividend Yield | 7.86% | 0.44% |
| Holdings | 671 | 107 |
| YTD Return | -4.15% | +17.95%Best |
| 1Y Return | +0.87% | +21.77%Best |
| 3Y Return (annualized) | +9.44% | +25.63%Best |
| 5Y Return (annualized) | -1.91% | +15.24%Best |
| Volatility (annualized) | 13.1%Best | 19.8% |
| Max Drawdown | -53.7% | -53.5%Best |
| $10,000 over 5 years | $9,081 | $20,324Best |
| Fund Family | Nuveen | Invesco (US) |
| Category | Tax Preferred | Equity |
| Style | Municipal Bond | Large Cap Growth |
| Inception | Sep 25, 2001 | Mar 10, 1999 |
Not shown on this pair: Top 10 Weight.
Volatility and max drawdown are measured over the window both funds cover: Sep 26, 2001 to Sep 18, 2026 (25 years).
NZF 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 is available from the range buttons; it is not the opening view here because over the whole period one of these two funds moves so much further than the other that its line would sit flat on the axis.
NZF vs QQQ Performance
Nuveen Municipal Credit Income Fund (NZF) is an ETF from Nuveen and Invesco QQQ Trust, Series 1 (QQQ) is an ETF from Invesco (US). Over the past year NZF returned +0.87% while QQQ returned +21.77%. Year to date, NZF is down 4.15% versus a gain of 17.95% for QQQ.
Over three years, NZF compounded at +9.44% per year against +25.63% for QQQ; over five years the annualized figures are -1.91% and +15.24% respectively. Across the full 25-year window we track, QQQ has the edge at +13.93% annualized vs +0.29%.
Past performance does not guarantee future results.
Risk: Volatility and Drawdowns
QQQ has been the more volatile fund, with annualized monthly volatility of 19.8% compared with 13.1% for NZF. 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 -53.7% for NZF and -53.5% 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 0.22. They move largely independently of each other.
Fees and Cost Over Time
NZF charges 3.61% per year while QQQ charges 0.18%. On a $10,000 position that is $361 vs $18 annually, a gap of $343 per year that compounds over a long holding period. On income, NZF currently yields 7.86% against 0.44% for QQQ.
Holdings Overlap
We hold position weights for 254 holdings in NZF and 102 in QQQ, totalling 81.5% and 99.9% of the two funds. The two books name no position in common, so there is no overlap percentage to show.
The two holdings books were reported 186 days apart, NZF as of Jan 31, 2026 and QQQ as of Aug 5, 2026, so some of the difference between them is the time between the two reports rather than the funds.
0 positions in common, counted across the 254 positions we hold weights for in NZF and 102 in QQQ, against full books of 671 and 107.
You are not choosing between two funds in isolation.
Whichever of NZF 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, NZF or QQQ?
NZF has an expense ratio of 3.61% while QQQ charges 0.18%. QQQ is the cheaper option, by $343 a year on a $10,000 investment.
Which performed better, NZF or QQQ?
Over the past year NZF returned +0.87% vs +21.77% for QQQ, so QQQ leads on 1-year performance. Over the longest common window we track (25 years), NZF annualized +0.29% vs +13.93% for QQQ. Past performance does not guarantee future results. This is information, not a recommendation.
Which is riskier, NZF or QQQ?
QQQ has been the more volatile fund at 19.8% annualized versus 13.1% for NZF. Worst drawdown: NZF -53.7% vs QQQ -53.5%.
Should I hold both NZF and QQQ?
NZF and QQQ have a monthly-return correlation of 0.22, 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, NZF or QQQ?
NZF yields 7.86% while QQQ yields 0.44%, so NZF currently pays the higher dividend yield.
Is QQQ better than NZF?
QQQ has a lower expense ratio. QQQ led over 1Y, 3Y, 5Y and the full window. Which one suits a particular account depends on what it is for. This is information, not a recommendation.