OVT vs QQQ
Overlay Shares Short Term Bond ETF vs Invesco QQQ Trust, Series 1
Which is better, OVT or QQQ?
Short Term 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 | OVT | QQQ |
|---|---|---|
| Expense Ratio | 0.79% | 0.18%Best |
| AUM | $60M | $498.6B |
| Dividend Yield | 7.64% | 0.42% |
| Holdings | 11 | 321 |
| YTD Return | -2.55% | +24.32%Best |
| 1Y Return | -2.99% | +25.59%Best |
| 3Y Return (annualized) | +4.90% | +28.30%Best |
| 5Y Return (annualized) | +1.39% | +16.83%Best |
| Volatility (annualized) | 5.1%Best | 19.9% |
| Max Drawdown | -13.6%Best | -35.1% |
| $10,000 over 5 years | $10,715 | $21,766Best |
| Fund Family | Overlay Shares | Invesco (US) |
| Category | Fixed Income | Equity |
| Style | Short Term Bond | Large Cap Growth |
| Inception | Jan 14, 2021 | Mar 10, 1999 |
Not shown on this pair: Top 10 Weight.
Volatility and max drawdown are measured over the window both funds cover: Jan 15, 2021 to Oct 6, 2026 (5.7 years).
OVT 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 5.7 years both funds cover.
OVT vs QQQ Performance
Overlay Shares Short Term Bond ETF (OVT) is an ETF from Overlay Shares and Invesco QQQ Trust, Series 1 (QQQ) is an ETF from Invesco (US). Over the past year OVT returned -2.99% while QQQ returned +25.59%. Year to date, OVT is down 2.55% versus a gain of 24.32% for QQQ.
Over three years, OVT compounded at +4.90% per year against +28.30% for QQQ; over five years the annualized figures are +1.39% and +16.83% respectively. Across the full 6-year window we track, QQQ has the edge at +17.52% annualized vs +1.56%.
Past performance does not guarantee future results.
Risk: Volatility and Drawdowns
QQQ has been the more volatile fund, with annualized monthly volatility of 19.9% compared with 5.1% for OVT. 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 -13.6% for OVT 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 0.67. They move together some of the time, and apart the rest.
Fees and Cost Over Time
OVT 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, OVT currently yields 7.64% against 0.42% for QQQ.
Holdings Overlap
We hold position weights for 2 holdings in OVT and 102 in QQQ, totalling 100.4% and 99.9% of the two funds. The two books name no position in common, so there is no overlap percentage to show.
0 positions in common, counted across the 2 positions we hold weights for in OVT and 102 in QQQ, against full books of 11 and 321.
You are not choosing between two funds in isolation.
Whichever of OVT 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, OVT or QQQ?
OVT 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, OVT or QQQ?
Over the past year OVT returned -2.99% vs +25.59% for QQQ, so QQQ leads on 1-year performance. Over the longest common window we track (6 years), OVT annualized +1.56% vs +17.52% for QQQ. Past performance does not guarantee future results. This is information, not a recommendation.
Which is riskier, OVT or QQQ?
QQQ has been the more volatile fund at 19.9% annualized versus 5.1% for OVT. Worst drawdown: OVT -13.6% vs QQQ -35.1%.
Should I hold both OVT and QQQ?
OVT and QQQ have a monthly-return correlation of 0.67, 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, OVT or QQQ?
OVT yields 7.64% while QQQ yields 0.42%, so OVT currently pays the higher dividend yield.
Is QQQ better than OVT?
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.