QQEW vs QQQ
First Trust Nasdaq-100 Select Equal Weight ETF vs Invesco QQQ Trust, Series 1
Quick Verdict
QQQ has a lower expense ratio. QQQ delivered stronger 1-year returns. QQQ offers more diversification with 108 holdings.
Side-by-Side Comparison
| Metric | QQEW | QQQ | Winner |
|---|---|---|---|
| Expense Ratio | 0.55% | 0.18% | |
| AUM | $1.9B | $496.3B | |
| Dividend Yield | 0.20% | 0.44% | |
| Holdings | 52 | 108 | |
| YTD Return | +17.68% | +19.52% | |
| 1Y Return | +21.82% | +26.68% | |
| 3Y Return (annualized) | +16.55% | +26.64% | |
| 5Y Return (annualized) | +8.36% | +15.36% | |
| Volatility (annualized) | 18.4% | 30.6% | |
| Max Drawdown | -58.2% | -83.0% | |
| Fund Family | First Trust Portfolios (US) | Invesco (US) | |
| Category | Equity | Equity | |
| Inception | Apr 19, 2006 | Mar 10, 1999 |
QQEW vs QQQ Performance
First Trust Nasdaq-100 Select Equal Weight ETF (QQEW) is a ETF from First Trust Portfolios (US) and Invesco QQQ Trust, Series 1 (QQQ) is a ETF from Invesco (US). Over the past year QQEW returned +21.82% while QQQ returned +26.68%. Year to date, QQEW is up 17.68% versus a gain of 19.52% for QQQ.
Over three years, QQEW compounded at +16.55% per year against +26.64% for QQQ; over five years the annualized figures are +8.36% and +15.36% respectively. Across the full 20-year window we track, QQQ has the edge at +13.14% annualized vs +11.24%. Past performance does not guarantee future results.
Risk: Volatility and Drawdowns
QQQ has been the more volatile fund, with annualized monthly volatility of 30.6% compared with 18.4% for QQEW. 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 -58.2% for QQEW 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 0.94. They move almost in lockstep, so holding both mostly duplicates the same exposure.
Fees and Cost Over Time
QQEW charges 0.55% per year while QQQ charges 0.18%. On a $10,000 position that is $55 vs $18 annually, a gap of $37 per year that compounds over a long holding period. On income, QQEW currently yields 0.20% against 0.44% for QQQ.
Holdings Overlap
QQEW and QQQ share 49 holdings out of 103 unique holdings combined, representing a 38.1% weight overlap.
Moderate overlap means holding both could provide meaningful diversification benefits.
Frequently Asked Questions
Which is cheaper, QQEW or QQQ?
QQEW has an expense ratio of 0.55% while QQQ charges 0.18%. QQQ is the cheaper option. On a $10,000 investment, that is $37 per year of difference.
Which performed better, QQEW or QQQ?
Over the past year QQEW returned +21.82% vs +26.68% for QQQ, so QQQ leads on 1-year performance. Over the longest common window we track (20 years), QQEW annualized +11.24% vs +13.14% for QQQ. Past performance does not guarantee future results.
Which is riskier, QQEW or QQQ?
QQQ has been the more volatile fund at 30.6% annualized versus 18.4% for QQEW. Worst drawdown: QQEW -58.2% vs QQQ -83.0%.
Should I hold both QQEW and QQQ?
QQEW and QQQ have a monthly-return correlation of 0.94, 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 QQEW and QQQ?
QQEW and QQQ share 49 common holdings with a 38.1% weight overlap. Combined, they hold 103 unique securities.
Which pays a higher dividend, QQEW or QQQ?
QQEW yields 0.20% while QQQ yields 0.44%, so QQQ currently pays the higher dividend yield.
Popular ETF Comparisons
Get Full ETF Analytics
Access complete holdings data, overlap analysis, screener tools, and more with FundXLS.