QQQ vs SDG

Quick Verdict

QQQ has a lower expense ratio. QQQ delivered stronger 1-year returns. SDG offers more diversification with 117 holdings.

Lower Fees: QQQHigher Returns: QQQMore Diversified: SDG

Side-by-Side Comparison

MetricQQQSDGWinner
Expense Ratio0.18%0.50%
AUM$455.8B$168M
Dividend Yield0.41%1.69%
Holdings108147
YTD Return+17.46%+8.02%
1Y Return+26.02%+16.46%
3Y Return (annualized)+25.51%+6.87%
5Y Return (annualized)+15.12%+0.19%
Volatility (annualized)30.6%14.4%
Max Drawdown-83.0%-30.4%
Fund FamilyInvesco (US)iShares by BlackRock (US)
CategoryEquityEquity
InceptionMar 10, 1999Apr 20, 2016

QQQ vs SDG Performance

Invesco QQQ Trust, Series 1 (QQQ) is a ETF from Invesco (US) and iShares MSCI Global Sustainable Development Goals ETF (SDG) is a ETF from iShares by BlackRock (US). Over the past year QQQ returned +26.02% while SDG returned +16.46%. Year to date, QQQ is up 17.46% versus a gain of 8.02% for SDG.

Over three years, QQQ compounded at +25.51% per year against +6.87% for SDG; over five years the annualized figures are +15.12% and +0.19% respectively. Across the full 10-year window we track, QQQ has the edge at +13.08% annualized vs +7.39%. 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 14.4% for SDG. 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 -30.4% for SDG. 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 0.68. They move independently enough that combining them can meaningfully diversify a portfolio.

Fees and Cost Over Time

QQQ charges 0.18% per year while SDG charges 0.50%. On a $10,000 position that is $18 vs $50 annually, a gap of $32 per year that compounds over a long holding period. On income, QQQ currently yields 0.41% against 1.69% for SDG.

Holdings Overlap

5.5%overlap

QQQ and SDG share 6 holdings out of 214 unique holdings combined, representing a 5.5% weight overlap.

Moderate overlap means holding both could provide meaningful diversification benefits.

Top Shared Holdings

StockWeight in QQQWeight in SDGDifference
NVDA7.88%3.48%4.40%
MRVL0.84%5.56%4.72%
VRTX0.54%2.21%1.67%
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Frequently Asked Questions

Which is cheaper, QQQ or SDG?

QQQ has an expense ratio of 0.18% while SDG charges 0.50%. QQQ is the cheaper option. On a $10,000 investment, that is $32 per year of difference.

Which performed better, QQQ or SDG?

Over the past year QQQ returned +26.02% vs +16.46% for SDG, so QQQ leads on 1-year performance. Over the longest common window we track (10 years), QQQ annualized +13.08% vs +7.39% for SDG. Past performance does not guarantee future results.

Which is riskier, QQQ or SDG?

QQQ has been the more volatile fund at 30.6% annualized versus 14.4% for SDG. Worst drawdown: QQQ -83.0% vs SDG -30.4%.

Should I hold both QQQ and SDG?

QQQ and SDG have a monthly-return correlation of 0.68, so combining them can provide real diversification depending on your allocation goals.

What is the holdings overlap between QQQ and SDG?

QQQ and SDG share 6 common holdings with a 5.5% weight overlap. Combined, they hold 214 unique securities.

Which pays a higher dividend, QQQ or SDG?

QQQ yields 0.41% while SDG yields 1.69%, so SDG currently pays the higher dividend yield.

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