PEZ vs QQQ

PEZ vs QQQ

Which is better, PEZ or QQQ?

Mid Cap Growth against Large Cap Growth.

QQQ has a lower expense ratio. QQQ led over 1Y, 3Y, 5Y and the full window. PEZ is less concentrated, with 40.2% of the fund in its ten largest positions against 46.5%.

Lower Fees: QQQHigher Returns: QQQLess Concentrated: PEZ

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

MetricPEZQQQ
Expense Ratio0.60%0.18%Best
AUM$23M$486.1B
Dividend Yield0.24%0.44%
Holdings47107
YTD Return-7.86%+17.44%Best
1Y Return-5.52%+24.69%Best
3Y Return (annualized)+11.56%+24.76%Best
5Y Return (annualized)+2.00%+14.22%Best
Volatility (annualized)21.7%18.7%Best
Max Drawdown-59.0%-53.5%Best
$10,000 over 5 years$11,041$19,441Best
Top 10 Weight40.2%Best46.5%
Fund FamilyInvesco (US)Invesco (US)
CategoryEquityEquity
StyleMid Cap GrowthLarge Cap Growth
InceptionOct 12, 2006Mar 10, 1999

Volatility and max drawdown are measured over the window both funds cover: Oct 12, 2006 to Sep 8, 2026 (19.9 years).

PEZ 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 19.9 years both funds cover.

PEZ vs QQQ Performance

Invesco Dorsey Wright Consumer Cyclicals Momentum ETF (PEZ) is an ETF from Invesco (US) and Invesco QQQ Trust, Series 1 (QQQ) is an ETF from Invesco (US). Over the past year PEZ returned -5.52% while QQQ returned +24.69%. Year to date, PEZ is down 7.86% versus a gain of 17.44% for QQQ.

Over three years, PEZ compounded at +11.56% per year against +24.76% for QQQ; over five years the annualized figures are +2.00% and +14.22% respectively. Across the full 20-year window we track, QQQ has the edge at +15.49% annualized vs +7.01%.

Past performance does not guarantee future results.

Risk: Volatility and Drawdowns

PEZ has been the more volatile fund, with annualized monthly volatility of 21.7% compared with 18.7% 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 -59.0% for PEZ 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 0.75. They usually move together, but the gap leaves some room for diversification.

Fees and Cost Over Time

PEZ 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, PEZ currently yields 0.24% against 0.44% for QQQ.

Holdings Overlap

PEZ already in QQQ12.5%
QQQ already in PEZ5.5%

12.5% of PEZ's money is in holdings QQQ also owns. 5.5% of QQQ's money is in holdings PEZ also owns.

PEZ and QQQ share little of their money.

3 positions in common, counted across the 33 positions we hold weights for in PEZ and 102 in QQQ, against full books of 47 and 107.

What only one of them owns

Our book lists 91 positions for QQQ that do not appear in our book for PEZ (91.4% of the fund), and 30 for PEZ that do not appear in QQQ (83.9%).

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

StockWeight in PEZWeight in QQQDifference
AMZNAmazon.Com Inc5.40%4.67%0.73%
ROSTRoss Stores, Inc.3.72%0.36%3.36%
MARMarriott International, Inc.3.35%0.42%2.93%

You are not choosing between two funds in isolation.

Whichever of PEZ and QQQ you pick has to sit alongside everything else you own. Add the rest and see what the combination actually holds.

PEZQQQ

Free for up to 10 holdings. No account needed.

Frequently Asked Questions

Which is cheaper, PEZ or QQQ?

PEZ has an expense ratio of 0.60% while QQQ charges 0.18%. QQQ is the cheaper option, by $42 a year on a $10,000 investment.

Which performed better, PEZ or QQQ?

Over the past year PEZ returned -5.52% vs +24.69% for QQQ, so QQQ leads on 1-year performance. Over the longest common window we track (20 years), PEZ annualized +7.01% vs +15.49% for QQQ. Past performance does not guarantee future results. This is information, not a recommendation.

Which is riskier, PEZ or QQQ?

PEZ has been the more volatile fund at 21.7% annualized versus 18.7% for QQQ. Worst drawdown: PEZ -59.0% vs QQQ -53.5%.

Should I hold both PEZ and QQQ?

PEZ and QQQ have a monthly-return correlation of 0.75, 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 PEZ and QQQ?

12.5% of PEZ's money is in holdings QQQ also owns. 5.5% of QQQ's is in holdings PEZ also owns. They hold 3 positions in common, counted across the 33 positions we hold weights for in PEZ and 102 in QQQ.

Which pays a higher dividend, PEZ or QQQ?

PEZ yields 0.24% while QQQ yields 0.44%, so QQQ currently pays the higher dividend yield.

Is QQQ better than PEZ?

QQQ has a lower expense ratio. QQQ led over 1Y, 3Y, 5Y and the full window. PEZ is less concentrated, with 40.2% 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.