QQQ vs RMCA

Quick Verdict

QQQ has a lower expense ratio. QQQ delivered stronger 1-year returns. QQQ offers more diversification with 103 holdings.

Lower Fees: QQQHigher Returns: QQQMore Diversified: QQQ

Side-by-Side Comparison

MetricQQQRMCAWinner
Expense Ratio0.18%0.55%
AUM$455.8B$19M
Dividend Yield0.41%4.72%
Holdings10865
YTD Return+17.85%+1.93%
1Y Return+26.45%+7.08%
3Y Return (annualized)+26.07%-
5Y Return (annualized)+15.16%-
Volatility (annualized)30.6%5.0%
Max Drawdown-83.0%-6.3%
Fund FamilyInvesco (US)Rockefeller Capital Management
CategoryEquityTax Preferred
InceptionMar 10, 1999Aug 12, 2024

QQQ vs RMCA Performance

Invesco QQQ Trust, Series 1 (QQQ) is a ETF from Invesco (US) and Rockefeller California Municipal Bond ETF (RMCA) is a ETF from Rockefeller Capital Management. Over the past year QQQ returned +26.45% while RMCA returned +7.08%. Year to date, QQQ is up 17.85% versus a gain of 1.93% for RMCA.

Risk: Volatility and Drawdowns

QQQ has been the more volatile fund, with annualized monthly volatility of 30.6% compared with 5.0% for RMCA. 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 -83.0% for QQQ and -6.3% for RMCA. 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 0.40. They move independently enough that combining them can meaningfully diversify a portfolio.

Fees and Cost Over Time

QQQ charges 0.18% per year while RMCA charges 0.55%. On a $10,000 position that is $18 vs $55 annually, a gap of $37 per year that compounds over a long holding period. On income, QQQ currently yields 0.41% against 4.72% for RMCA.

Holdings Overlap

0.0%overlap

QQQ and RMCA share 0 holdings out of 123 unique holdings combined, representing a 0.0% weight overlap.

Moderate overlap means holding both could provide meaningful diversification benefits.

Frequently Asked Questions

Which is cheaper, QQQ or RMCA?

QQQ has an expense ratio of 0.18% while RMCA charges 0.55%. QQQ is the cheaper option. On a $10,000 investment, that is $37 per year of difference.

Which performed better, QQQ or RMCA?

Over the past year QQQ returned +26.45% vs +7.08% for RMCA, so QQQ leads on 1-year performance. Over the longest common window we track (2 years), QQQ annualized +13.09% vs +1.99% for RMCA. Past performance does not guarantee future results.

Which is riskier, QQQ or RMCA?

QQQ has been the more volatile fund at 30.6% annualized versus 5.0% for RMCA. Worst drawdown: QQQ -83.0% vs RMCA -6.3%.

Should I hold both QQQ and RMCA?

QQQ and RMCA have a monthly-return correlation of 0.40, so combining them can provide real diversification depending on your allocation goals.

What is the holdings overlap between QQQ and RMCA?

QQQ and RMCA share 0 common holdings with a 0.0% weight overlap. Combined, they hold 123 unique securities.

Which pays a higher dividend, QQQ or RMCA?

QQQ yields 0.41% while RMCA yields 4.72%, so RMCA currently pays the higher dividend yield.

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