PTBD vs QQQ

PTBD vs QQQ

Which is better, PTBD 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.

Lower Fees: QQQHigher Returns: QQQ

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

MetricPTBDQQQ
Expense Ratio0.60%0.18%Best
AUM$85M$483.5B
Dividend Yield6.12%0.44%
Holdings998107
YTD Return+0.89%+15.86%Best
1Y Return+0.48%+22.63%Best
3Y Return (annualized)+4.49%+24.15%Best
5Y Return (annualized)-1.68%+14.16%Best
Volatility (annualized)7.2%Best20.7%
Max Drawdown-26.0%Best-35.1%
$10,000 over 5 years$9,188$19,390Best
Fund FamilyPacer ETFsInvesco (US)
CategoryFixed IncomeEquity
StyleHigh Yield BondLarge Cap Growth
InceptionOct 22, 2019Mar 10, 1999

Not shown on this pair: Top 10 Weight.

Volatility and max drawdown are measured over the window both funds cover: Oct 23, 2019 to Sep 10, 2026 (6.9 years).

PTBD 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.

PTBD vs QQQ Performance

Pacer Trendpilot US Bond ETF (PTBD) is an ETF from Pacer ETFs and Invesco QQQ Trust, Series 1 (QQQ) is an ETF from Invesco (US). Over the past year PTBD returned +0.48% while QQQ returned +22.63%. Year to date, PTBD is up 0.89% versus a gain of 15.86% for QQQ.

Over three years, PTBD compounded at +4.49% per year against +24.15% for QQQ; over five years the annualized figures are -1.68% and +14.16% respectively. Across the full 7-year window we track, QQQ has the edge at +21.44% annualized vs +0.34%.

Past performance does not guarantee future results.

Risk: Volatility and Drawdowns

QQQ has been the more volatile fund, with annualized monthly volatility of 20.7% compared with 7.2% for PTBD. 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 -26.0% for PTBD 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 0.59. They move together some of the time, and apart the rest.

Fees and Cost Over Time

PTBD 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, PTBD currently yields 6.12% against 0.44% for QQQ.

Holdings Overlap

We hold position weights for 573 holdings in PTBD and 102 in QQQ, totalling 57.8% 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 573 positions we hold weights for in PTBD and 102 in QQQ, against full books of 998 and 107.

You are not choosing between two funds in isolation.

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

PTBDQQQ

Free for up to 10 holdings. No account needed.

Frequently Asked Questions

Which is cheaper, PTBD or QQQ?

PTBD 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, PTBD or QQQ?

Over the past year PTBD returned +0.48% vs +22.63% for QQQ, so QQQ leads on 1-year performance. Over the longest common window we track (7 years), PTBD annualized +0.34% vs +21.44% for QQQ. Past performance does not guarantee future results. This is information, not a recommendation.

Which is riskier, PTBD or QQQ?

QQQ has been the more volatile fund at 20.7% annualized versus 7.2% for PTBD. Worst drawdown: PTBD -26.0% vs QQQ -35.1%.

Should I hold both PTBD and QQQ?

PTBD and QQQ have a monthly-return correlation of 0.59, 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, PTBD or QQQ?

PTBD yields 6.12% while QQQ yields 0.44%, so PTBD currently pays the higher dividend yield.

Is QQQ better than PTBD?

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.