QEFA vs QQQ
State Street SPDR MSCI EAFE StrategicFactors ETF vs Invesco QQQ Trust, Series 1
Which is better, QEFA or QQQ?
Large Cap Blend against Large Cap Growth.
QQQ has a lower expense ratio. QQQ led over 1Y, 3Y, 5Y and the full window. QEFA is less concentrated, with 14.6% of the fund in its ten largest positions against 46.5%.
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 | QEFA | QQQ |
|---|---|---|
| Expense Ratio | 0.30% | 0.18%Best |
| AUM | $1.1B | $483.5B |
| Dividend Yield | 2.70% | 0.44% |
| Holdings | 659 | 107 |
| YTD Return | +11.10% | +16.87%Best |
| 1Y Return | +16.58% | +22.98%Best |
| 3Y Return (annualized) | +16.67% | +24.98%Best |
| 5Y Return (annualized) | +8.02% | +14.39%Best |
| Volatility (annualized) | 13.3%Best | 18.4% |
| Max Drawdown | -32.7%Best | -35.1% |
| $10,000 over 5 years | $14,707 | $19,586Best |
| Top 10 Weight | 14.6%Best | 46.5% |
| Fund Family | SPDR State Street Global Advisors | Invesco (US) |
| Category | Equity | Equity |
| Style | Large Cap Blend | Large Cap Growth |
| Inception | Jun 4, 2014 | Mar 10, 1999 |
Volatility and max drawdown are measured over the window both funds cover: Jun 5, 2014 to Sep 11, 2026 (12.3 years).
QEFA 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 12.3 years both funds cover.
QEFA vs QQQ Performance
State Street SPDR MSCI EAFE StrategicFactors ETF (QEFA) is an ETF from SPDR State Street Global Advisors and Invesco QQQ Trust, Series 1 (QQQ) is an ETF from Invesco (US). Over the past year QEFA returned +16.58% while QQQ returned +22.98%. Year to date, QEFA is up 11.10% versus a gain of 16.87% for QQQ.
Over three years, QEFA compounded at +16.67% per year against +24.98% for QQQ; over five years the annualized figures are +8.02% and +14.39% respectively. Across the full 12-year window we track, QQQ has the edge at +18.47% annualized vs +5.60%.
Past performance does not guarantee future results.
Risk: Volatility and Drawdowns
QQQ has been the more volatile fund, with annualized monthly volatility of 18.4% compared with 13.3% for QEFA. 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 -32.7% for QEFA 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
QEFA charges 0.30% per year while QQQ charges 0.18%. On a $10,000 position that is $30 vs $18 annually, a gap of $12 per year that compounds over a long holding period. On income, QEFA currently yields 2.70% against 0.44% for QQQ.
Holdings Overlap
2.3% of QEFA's money is in holdings QQQ also owns. 1.3% of QQQ's money is in holdings QEFA also owns.
QEFA and QQQ share little of their money.
4 positions in common, counted across the 635 positions we hold weights for in QEFA and 102 in QQQ, against full books of 659 and 107.
What only one of them owns
Our book lists 94 positions for QQQ that do not appear in our book for QEFA (96.8% of the fund), and 13 for QEFA that do not appear in QQQ (4.9%).
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.
You are not choosing between two funds in isolation.
Whichever of QEFA 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, QEFA or QQQ?
QEFA has an expense ratio of 0.30% while QQQ charges 0.18%. QQQ is the cheaper option, by $12 a year on a $10,000 investment.
Which performed better, QEFA or QQQ?
Over the past year QEFA returned +16.58% vs +22.98% for QQQ, so QQQ leads on 1-year performance. Over the longest common window we track (12 years), QEFA annualized +5.60% vs +18.47% for QQQ. Past performance does not guarantee future results. This is information, not a recommendation.
Which is riskier, QEFA or QQQ?
QQQ has been the more volatile fund at 18.4% annualized versus 13.3% for QEFA. Worst drawdown: QEFA -32.7% vs QQQ -35.1%.
Should I hold both QEFA and QQQ?
QEFA 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.
What is the holdings overlap between QEFA and QQQ?
2.3% of QEFA's money is in holdings QQQ also owns. 1.3% of QQQ's is in holdings QEFA also owns. They hold 4 positions in common, counted across the 635 positions we hold weights for in QEFA and 102 in QQQ.
Which pays a higher dividend, QEFA or QQQ?
QEFA yields 2.70% while QQQ yields 0.44%, so QEFA currently pays the higher dividend yield.
Is QQQ better than QEFA?
QQQ has a lower expense ratio. QQQ led over 1Y, 3Y, 5Y and the full window. QEFA is less concentrated, with 14.6% 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.