QQQ vs SECT
Invesco QQQ Trust, Series 1 vs Main Sector Rotation ETF
Which is better, QQQ or SECT?
Large Cap Growth against Large Cap Blend.
QQQ has a lower expense ratio. QQQ led over 1Y, 3Y, 5Y and the full window.
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
| Metric | QQQ | SECT |
|---|---|---|
| Expense Ratio | 0.18%Best | 0.69% |
| AUM | $483.5B | $2.8B |
| Dividend Yield | 0.44% | 0.74% |
| Holdings | 107 | 11 |
| YTD Return | +17.21%Best | +10.07% |
| 1Y Return | +22.10%Best | +14.84% |
| 3Y Return (annualized) | +25.27%Best | +18.53% |
| 5Y Return (annualized) | +14.60%Best | +11.79% |
| Volatility (annualized) | 19.2%Best | 20.1% |
| Max Drawdown | -35.1%Best | -50.1% |
| $10,000 over 5 years | $19,766Best | $17,459 |
| Top 10 Weight | 46.5% | - |
| Fund Family | Invesco (US) | Main Management ETF Advisors, LLC |
| Category | Equity | Equity |
| Style | Large Cap Growth | Large Cap Blend |
| Inception | Mar 10, 1999 | Sep 5, 2017 |
Volatility and max drawdown are measured over the window both funds cover: Dec 16, 2016 to Sep 17, 2026 (9.8 years).
QQQ vs SECT 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 9.8 years both funds cover.
QQQ vs SECT Performance
Invesco QQQ Trust, Series 1 (QQQ) is an ETF from Invesco (US) and Main Sector Rotation ETF (SECT) is an ETF from Main Management ETF Advisors, LLC. Over the past year QQQ returned +22.10% while SECT returned +14.84%. Year to date, QQQ is up 17.21% versus a gain of 10.07% for SECT.
Over three years, QQQ compounded at +25.27% per year against +18.53% for SECT; over five years the annualized figures are +14.60% and +11.79% respectively. Across the full 10-year window we track, QQQ has the edge at +20.56% annualized vs +6.85%.
Past performance does not guarantee future results.
Risk: Volatility and Drawdowns
SECT has been the more volatile fund, with annualized monthly volatility of 20.1% compared with 19.2% for QQQ. 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 -50.1% for SECT. Drawdown depth is what each fund did in the worst stretch of the window measured above.
The two funds' monthly returns correlate at 0.73. They usually move together, but the gap leaves some room for diversification.
Fees and Cost Over Time
QQQ charges 0.18% per year while SECT charges 0.69%. On a $10,000 position that is $18 vs $69 annually, a gap of $51 per year that compounds over a long holding period. On income, QQQ currently yields 0.44% against 0.74% for SECT.
Holdings Overlap
We hold position weights for 102 holdings in QQQ and 9 in SECT, totalling 99.9% and 100.0% of the two funds. The two books name no position in common, so there is no overlap percentage to show.
0 positions in common, counted across the 102 positions we hold weights for in QQQ and 9 in SECT, against full books of 107 and 11.
What only one of them owns
Our book lists 9 positions for SECT that do not appear in our book for QQQ (100.0% of the fund), and 96 for QQQ that do not appear in SECT (97.5%).
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.
You are not choosing between two funds in isolation.
Whichever of QQQ and SECT you pick has to sit alongside everything else you own. Add the rest and see what the combination actually holds.
Free for up to 10 holdings. No account needed.
Frequently Asked Questions
Which is cheaper, QQQ or SECT?
QQQ has an expense ratio of 0.18% while SECT charges 0.69%. QQQ is the cheaper option, by $51 a year on a $10,000 investment.
Which performed better, QQQ or SECT?
Over the past year QQQ returned +22.10% vs +14.84% for SECT, so QQQ leads on 1-year performance. Over the longest common window we track (10 years), QQQ annualized +20.56% vs +6.85% for SECT. Past performance does not guarantee future results. This is information, not a recommendation.
Which is riskier, QQQ or SECT?
SECT has been the more volatile fund at 20.1% annualized versus 19.2% for QQQ. Worst drawdown: QQQ -35.1% vs SECT -50.1%.
Should I hold both QQQ and SECT?
QQQ and SECT have a monthly-return correlation of 0.73, so their returns are far enough apart for the mix to behave differently from either one alone. This is information, not a recommendation.
Which pays a higher dividend, QQQ or SECT?
QQQ yields 0.44% while SECT yields 0.74%, so SECT currently pays the higher dividend yield.
Is SECT better than QQQ?
QQQ has a lower expense ratio. QQQ led over 1Y, 3Y, 5Y and the full window. Which one suits a particular account depends on what it is for. This is information, not a recommendation.