QFLR vs QQQ

QFLR vs QQQ
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Quick Verdict

QQQ has a lower expense ratio. QQQ delivered stronger 1-year returns. QQQ offers more diversification with 108 holdings.

Lower Fees: QQQHigher Returns: QQQMore Diversified: QQQ

Side-by-Side Comparison

MetricQFLRQQQWinner
Expense Ratio0.89%0.18%
AUM$530M$496.3B
Dividend Yield0.00%0.44%
Holdings52108
YTD Return+1.52%+15.47%
1Y Return+9.92%+24.44%
3Y Return (annualized)-+25.47%
5Y Return (annualized)-+14.22%
Volatility (annualized)10.5%30.6%
Max Drawdown-14.0%-83.0%
Fund FamilyInnovator ETFs TrustInvesco (US)
CategoryAlternativeEquity
InceptionJan 22, 2024Mar 10, 1999

QFLR vs QQQ Performance

Innovator Nasdaq-100 Managed Floor ETF (QFLR) is a ETF from Innovator ETFs Trust and Invesco QQQ Trust, Series 1 (QQQ) is a ETF from Invesco (US). Over the past year QFLR returned +9.92% while QQQ returned +24.44%. Year to date, QFLR is up 1.52% versus a gain of 15.47% for QQQ.

Risk: Volatility and Drawdowns

QQQ has been the more volatile fund, with annualized monthly volatility of 30.6% compared with 10.5% for QFLR. 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 -14.0% for QFLR 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 0.91. They move almost in lockstep, so holding both mostly duplicates the same exposure.

Fees and Cost Over Time

QFLR charges 0.89% per year while QQQ charges 0.18%. On a $10,000 position that is $89 vs $18 annually, a gap of $71 per year that compounds over a long holding period. On income, QFLR currently yields 0.00% against 0.44% for QQQ.

Holdings Overlap

67.1%overlap

QFLR and QQQ share 39 holdings out of 102 unique holdings combined, representing a 67.1% weight overlap.

High overlap means holding both may not provide much additional diversification.

Top Shared Holdings

StockWeight in QFLRWeight in QQQDifference
NVDA9.55%8.44%1.11%
AAPL8.09%7.27%0.82%
MSFT6.94%5.76%1.18%
AMZNProProPro
MUProProPro
AMDProProPro
AVGOProProPro
GOOGLProProPro
WMTProProPro
GOOGProProPro
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Frequently Asked Questions

Which is cheaper, QFLR or QQQ?

QFLR has an expense ratio of 0.89% while QQQ charges 0.18%. QQQ is the cheaper option. On a $10,000 investment, that is $71 per year of difference.

Which performed better, QFLR or QQQ?

Over the past year QFLR returned +9.92% vs +24.44% for QQQ, so QQQ leads on 1-year performance. Over the longest common window we track (3 years), QFLR annualized +13.55% vs +12.99% for QQQ. Past performance does not guarantee future results.

Which is riskier, QFLR or QQQ?

QQQ has been the more volatile fund at 30.6% annualized versus 10.5% for QFLR. Worst drawdown: QFLR -14.0% vs QQQ -83.0%.

Should I hold both QFLR and QQQ?

QFLR and QQQ have a monthly-return correlation of 0.91, so they move almost identically. Holding both adds little diversification - most investors pick one, usually on fees or the specific index tracked.

What is the holdings overlap between QFLR and QQQ?

QFLR and QQQ share 39 common holdings with a 67.1% weight overlap. Combined, they hold 102 unique securities.

Which pays a higher dividend, QFLR or QQQ?

QFLR yields 0.00% while QQQ yields 0.44%, so QQQ currently pays the higher dividend yield.

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