PHDG vs QQQ
Invesco S&P 500 Downside Hedged ETF vs Invesco QQQ Trust, Series 1
Which is better, PHDG or QQQ?
All Cap Blend 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 | PHDG | QQQ |
|---|---|---|
| Expense Ratio | 0.39% | 0.18%Best |
| AUM | $62M | $486.1B |
| Dividend Yield | 1.69% | 0.44% |
| Holdings | 514 | 107 |
| YTD Return | +11.66% | +17.54%Best |
| 1Y Return | +15.53% | +25.59%Best |
| 3Y Return (annualized) | +10.35% | +24.63%Best |
| 5Y Return (annualized) | +3.90% | +14.18%Best |
| Volatility (annualized) | 9.8%Best | 17.6% |
| Max Drawdown | -23.6%Best | -35.1% |
| $10,000 over 5 years | $12,108 | $19,407Best |
| Fund Family | Invesco (US) | Invesco (US) |
| Category | Equity | Equity |
| Style | All Cap Blend | Large Cap Growth |
| Inception | Dec 5, 2012 | Mar 10, 1999 |
Not shown on this pair: Top 10 Weight.
Volatility and max drawdown are measured over the window both funds cover: Dec 6, 2012 to Sep 4, 2026 (13.7 years).
PHDG 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.
PHDG vs QQQ Performance
Invesco S&P 500 Downside Hedged ETF (PHDG) is an ETF from Invesco (US) and Invesco QQQ Trust, Series 1 (QQQ) is an ETF from Invesco (US). Over the past year PHDG returned +15.53% while QQQ returned +25.59%. Year to date, PHDG is up 11.66% versus a gain of 17.54% for QQQ.
Over three years, PHDG compounded at +10.35% per year against +24.63% for QQQ; over five years the annualized figures are +3.90% and +14.18% respectively. Across the full 14-year window we track, QQQ has the edge at +19.35% annualized vs +4.33%.
Past performance does not guarantee future results.
Risk: Volatility and Drawdowns
QQQ has been the more volatile fund, with annualized monthly volatility of 17.6% compared with 9.8% for PHDG. 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 -23.6% for PHDG 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 0.72. They usually move together, but the gap leaves some room for diversification.
Fees and Cost Over Time
PHDG charges 0.39% per year while QQQ charges 0.18%. On a $10,000 position that is $39 vs $18 annually, a gap of $21 per year that compounds over a long holding period. On income, PHDG currently yields 1.69% against 0.44% for QQQ.
Holdings Overlap
At least 90.8% of QQQ's money is in holdings PHDG also owns.
Stated as a floor: for PHDG, our book for it covers 93.9% of that fund, so a holding it does not list is one we cannot count as shared. The real figure is this or higher.
Most of QQQ is already inside PHDG. Owning both mostly buys the same companies twice.
84 positions in common, counted across the 493 positions we hold weights for in PHDG and 102 in QQQ, against full books of 514 and 107.
Top Shared Holdings
| Stock | Weight in PHDG | Weight in QQQ | Difference |
|---|---|---|---|
| NVDANvidia Corp. | 6.19% | 8.44% | 2.25% |
| AAPLApple, Inc | 5.48% | 7.27% | 1.79% |
| MSFTMicrosoft Corp 4.100 Feb 06 37 | 4.41% | 5.76% | 1.35% |
| AMZNAmazon.Com Inc | 3.27% | 4.67% | 1.40% |
| GOOGLAlphabet Inc.Class A | 2.67% | 3.36% | 0.69% |
| MUMicron Technology, Inc. | 1.21% | 4.43% | 3.22% |
| AVGOBroadcom Inc | 2.39% | 3.16% | 0.77% |
| GOOGAlphabet Inc. C | 2.14% | 3.13% | 0.99% |
| METAMeta Platform Inc | 1.56% | 2.78% | 1.22% |
| TSLATesla Motors Inc | 1.11% | 2.56% | 1.45% |
90.8% of QQQ is already inside PHDG.
You probably hold more than these two. Add the rest and see how much of the whole book is the same companies twice.
Free for up to 10 holdings. No account needed.
Frequently Asked Questions
Which is cheaper, PHDG or QQQ?
PHDG has an expense ratio of 0.39% while QQQ charges 0.18%. QQQ is the cheaper option, by $21 a year on a $10,000 investment.
Which performed better, PHDG or QQQ?
Over the past year PHDG returned +15.53% vs +25.59% for QQQ, so QQQ leads on 1-year performance. Over the longest common window we track (14 years), PHDG annualized +4.33% vs +19.35% for QQQ. Past performance does not guarantee future results. This is information, not a recommendation.
Which is riskier, PHDG or QQQ?
QQQ has been the more volatile fund at 17.6% annualized versus 9.8% for PHDG. Worst drawdown: PHDG -23.6% vs QQQ -35.1%.
Should I hold both PHDG and QQQ?
PHDG and QQQ have a monthly-return correlation of 0.72, 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 PHDG and QQQ?
At least 90.8% of QQQ's money is in holdings PHDG also owns. Our book for PHDG is partial, so the real figure is this or higher. They hold 84 positions in common, counted across the 493 positions we hold weights for in PHDG and 102 in QQQ.
Which pays a higher dividend, PHDG or QQQ?
PHDG yields 1.69% while QQQ yields 0.44%, so PHDG currently pays the higher dividend yield.
Is QQQ better than PHDG?
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.