PHYL vs QQQ
PGIM Active High Yield Bond ETF vs Invesco QQQ Trust, Series 1
Which is better, PHYL or QQQ?
High Yield 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 | PHYL | QQQ |
|---|---|---|
| Expense Ratio | 0.39% | 0.18%Best |
| AUM | $1.4B | $498.6B |
| Dividend Yield | 8.26% | 0.42% |
| Holdings | 804 | 321 |
| YTD Return | -0.49% | +22.67%Best |
| 1Y Return | +0.63% | +24.33%Best |
| 3Y Return (annualized) | +8.63% | +29.05%Best |
| 5Y Return (annualized) | +3.23% | +17.00%Best |
| Volatility (annualized) | 8.6%Best | 20.6% |
| Max Drawdown | -23.5%Best | -35.1% |
| $10,000 over 5 years | $11,723 | $21,924Best |
| Fund Family | PGIM Investments | Invesco (US) |
| Category | Fixed Income | Equity |
| Style | High Yield Bond | Large Cap Growth |
| Inception | Sep 24, 2018 | Mar 10, 1999 |
Not shown on this pair: Top 10 Weight.
Volatility and max drawdown are measured over the window both funds cover: Sep 27, 2018 to Oct 2, 2026 (8 years).
PHYL 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 8 years both funds cover.
PHYL vs QQQ Performance
PGIM Active High Yield Bond ETF (PHYL) is an ETF from PGIM Investments and Invesco QQQ Trust, Series 1 (QQQ) is an ETF from Invesco (US). Over the past year PHYL returned +0.63% while QQQ returned +24.33%. Year to date, PHYL is down 0.49% versus a gain of 22.67% for QQQ.
Over three years, PHYL compounded at +8.63% per year against +29.05% for QQQ; over five years the annualized figures are +3.23% and +17.00% respectively. Across the full 8-year window we track, QQQ has the edge at +19.51% annualized vs +2.67%.
Past performance does not guarantee future results.
Risk: Volatility and Drawdowns
QQQ has been the more volatile fund, with annualized monthly volatility of 20.6% compared with 8.6% for PHYL. 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 -23.5% for PHYL 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 0.68. They move together some of the time, and apart the rest.
Fees and Cost Over Time
PHYL 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, PHYL currently yields 8.26% against 0.42% for QQQ.
Holdings Overlap
We hold position weights for 525 holdings in PHYL and 102 in QQQ, totalling 69.4% 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 525 positions we hold weights for in PHYL and 102 in QQQ, against full books of 804 and 321.
You are not choosing between two funds in isolation.
Whichever of PHYL 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, PHYL or QQQ?
PHYL 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, PHYL or QQQ?
Over the past year PHYL returned +0.63% vs +24.33% for QQQ, so QQQ leads on 1-year performance. Over the longest common window we track (8 years), PHYL annualized +2.67% vs +19.51% for QQQ. Past performance does not guarantee future results. This is information, not a recommendation.
Which is riskier, PHYL or QQQ?
QQQ has been the more volatile fund at 20.6% annualized versus 8.6% for PHYL. Worst drawdown: PHYL -23.5% vs QQQ -35.1%.
Should I hold both PHYL and QQQ?
PHYL and QQQ have a monthly-return correlation of 0.68, 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, PHYL or QQQ?
PHYL yields 8.26% while QQQ yields 0.42%, so PHYL currently pays the higher dividend yield.
Is QQQ better than PHYL?
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.