QQQ vs RFDA

QQQ vs RFDA

Which is better, QQQ or RFDA?

Large Cap Growth against Large Cap Value.

QQQ has a lower expense ratio. QQQ led over 1Y, 3Y, 5Y and the full window. RFDA is less concentrated, with 26.6% of the fund in its ten largest positions against 46.5%.

Lower Fees: QQQHigher Returns: QQQLess Concentrated: RFDA

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

MetricQQQRFDA
Expense Ratio0.18%Best0.52%
AUM$483.5B$82M
Dividend Yield0.44%1.85%
Holdings10779
YTD Return+20.41%Best+13.87%
1Y Return+23.46%Best+16.21%
3Y Return (annualized)+27.85%Best+20.39%
5Y Return (annualized)+16.07%Best+13.29%
Volatility (annualized)18.9%15.1%Best
Max Drawdown-35.1%-34.8%Best
$10,000 over 5 years$21,067Best$18,662
Top 10 Weight46.5%26.6%Best
Fund FamilyInvesco (US)ALPS Advisors
CategoryEquityEquity
StyleLarge Cap GrowthLarge Cap Value
InceptionMar 10, 1999Jun 6, 2016

Volatility and max drawdown are measured over the window both funds cover: Jun 7, 2016 to Sep 28, 2026 (10.3 years).

QQQ vs RFDA 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 10.3 years both funds cover.

QQQ vs RFDA Performance

Invesco QQQ Trust, Series 1 (QQQ) is an ETF from Invesco (US) and ALPS Dynamic US Dividend Advantage ETF (RFDA) is an ETF from ALPS Advisors. Over the past year QQQ returned +23.46% while RFDA returned +16.21%. Year to date, QQQ is up 20.41% versus a gain of 13.87% for RFDA.

Over three years, QQQ compounded at +27.85% per year against +20.39% for RFDA; over five years the annualized figures are +16.07% and +13.29% respectively. Across the full 10-year window we track, QQQ has the edge at +20.62% annualized vs +12.09%.

Past performance does not guarantee future results.

Risk: Volatility and Drawdowns

QQQ has been the more volatile fund, with annualized monthly volatility of 18.9% compared with 15.1% for RFDA. 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 -35.1% for QQQ and -34.8% for RFDA. Drawdown depth is what each fund did in the worst stretch of the window measured above.

The two funds' monthly returns correlate at 0.82. They usually move together, but the gap leaves some room for diversification.

Fees and Cost Over Time

QQQ charges 0.18% per year while RFDA charges 0.52%. On a $10,000 position that is $18 vs $52 annually, a gap of $34 per year that compounds over a long holding period. On income, QQQ currently yields 0.44% against 1.85% for RFDA.

Holdings Overlap

QQQ already in RFDA29.3%
RFDA already in QQQ15.7%

29.3% of QQQ's money is in holdings RFDA also owns. 15.7% of RFDA's money is in holdings QQQ also owns.

QQQ and RFDA share little of their money.

10 positions in common, counted across the 102 positions we hold weights for in QQQ and 77 in RFDA, against full books of 107 and 79.

What only one of them owns

Our book lists 64 positions for RFDA that do not appear in our book for QQQ (79.3% of the fund), and 86 for QQQ that do not appear in RFDA (68.3%).

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.

Top Shared Holdings

StockWeight in QQQWeight in RFDADifference
NVDANvidia Corp8.44%3.22%5.22%
AAPLApple, Inc7.27%1.91%5.36%
MSFTMicrosoft Corp5.76%2.56%3.20%
GOOGAlphabet Inc3.13%1.82%1.31%
WMTWalmart, Inc.2.41%1.36%1.05%
QCOMQualcomm Inc.0.73%1.04%0.31%
GILDGilead Sciences0.72%0.99%0.27%
CMCSAComcast Corp-class A Cmcsa0.39%0.83%0.44%
BKRBaker Hughes Co0.27%0.95%0.68%
KHCKraft Heinz Co.0.13%1.05%0.92%

29.3% of QQQ is already inside RFDA.

You probably hold more than these two. Add the rest and see how much of the whole book is the same companies twice.

QQQRFDA

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Frequently Asked Questions

Which is cheaper, QQQ or RFDA?

QQQ has an expense ratio of 0.18% while RFDA charges 0.52%. QQQ is the cheaper option, by $34 a year on a $10,000 investment.

Which performed better, QQQ or RFDA?

Over the past year QQQ returned +23.46% vs +16.21% for RFDA, so QQQ leads on 1-year performance. Over the longest common window we track (10 years), QQQ annualized +20.62% vs +12.09% for RFDA. Past performance does not guarantee future results. This is information, not a recommendation.

Which is riskier, QQQ or RFDA?

QQQ has been the more volatile fund at 18.9% annualized versus 15.1% for RFDA. Worst drawdown: QQQ -35.1% vs RFDA -34.8%.

Should I hold both QQQ and RFDA?

QQQ and RFDA have a monthly-return correlation of 0.82, 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 QQQ and RFDA?

29.3% of QQQ's money is in holdings RFDA also owns. 15.7% of RFDA's is in holdings QQQ also owns. They hold 10 positions in common, counted across the 102 positions we hold weights for in QQQ and 77 in RFDA.

Which pays a higher dividend, QQQ or RFDA?

QQQ yields 0.44% while RFDA yields 1.85%, so RFDA currently pays the higher dividend yield.

Is RFDA better than QQQ?

QQQ has a lower expense ratio. QQQ led over 1Y, 3Y, 5Y and the full window. RFDA is less concentrated, with 26.6% 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.