PIPE vs QQQ

Quick Verdict

QQQ has a lower expense ratio. PIPE delivered stronger 1-year returns. QQQ offers more diversification with 103 holdings.

Lower Fees: QQQHigher Returns: PIPEMore Diversified: QQQ

Side-by-Side Comparison

MetricPIPEQQQWinner
Expense Ratio0.75%0.18%
AUM$65M$455.8B
Dividend Yield3.75%0.41%
Holdings28108
YTD Return+23.66%+17.85%
1Y Return+27.93%+26.45%
3Y Return (annualized)-+26.07%
5Y Return (annualized)-+15.16%
Volatility (annualized)14.5%30.6%
Max Drawdown-15.7%-83.0%
Fund FamilyInvesco (US)Invesco (US)
CategoryEquityEquity
InceptionFeb 20, 2025Mar 10, 1999

PIPE vs QQQ Performance

Invesco SteelPath MLP & Energy Infrastructure ETF (PIPE) is a ETF from Invesco (US) and Invesco QQQ Trust, Series 1 (QQQ) is a ETF from Invesco (US). Over the past year PIPE returned +27.93% while QQQ returned +26.45%. Year to date, PIPE is up 23.66% versus a gain of 17.85% for QQQ.

Risk: Volatility and Drawdowns

QQQ has been the more volatile fund, with annualized monthly volatility of 30.6% compared with 14.5% for PIPE. 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 -15.7% for PIPE and -83.0% for QQQ. Drawdown depth is worth weighing if you expect to sell during market stress rather than ride it out.

The two funds' monthly returns correlate at -0.30. They move independently enough that combining them can meaningfully diversify a portfolio.

Fees and Cost Over Time

PIPE charges 0.75% per year while QQQ charges 0.18%. On a $10,000 position that is $75 vs $18 annually, a gap of $57 per year that compounds over a long holding period. On income, PIPE currently yields 3.75% against 0.41% for QQQ.

Holdings Overlap

0.0%overlap

PIPE and QQQ share 0 holdings out of 129 unique holdings combined, representing a 0.0% weight overlap.

Moderate overlap means holding both could provide meaningful diversification benefits.

Frequently Asked Questions

Which is cheaper, PIPE or QQQ?

PIPE has an expense ratio of 0.75% while QQQ charges 0.18%. QQQ is the cheaper option. On a $10,000 investment, that is $57 per year of difference.

Which performed better, PIPE or QQQ?

Over the past year PIPE returned +27.93% vs +26.45% for QQQ, so PIPE leads on 1-year performance. Over the longest common window we track (2 years), PIPE annualized +16.11% vs +13.09% for QQQ. Past performance does not guarantee future results.

Which is riskier, PIPE or QQQ?

QQQ has been the more volatile fund at 30.6% annualized versus 14.5% for PIPE. Worst drawdown: PIPE -15.7% vs QQQ -83.0%.

Should I hold both PIPE and QQQ?

PIPE and QQQ have a monthly-return correlation of -0.30, so combining them can provide real diversification depending on your allocation goals.

What is the holdings overlap between PIPE and QQQ?

PIPE and QQQ share 0 common holdings with a 0.0% weight overlap. Combined, they hold 129 unique securities.

Which pays a higher dividend, PIPE or QQQ?

PIPE yields 3.75% while QQQ yields 0.41%, so PIPE currently pays the higher dividend yield.

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