QQQ vs SEPU

QQQ vs SEPU
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Quick Verdict

QQQ has a lower expense ratio. QQQ delivered stronger 1-year returns. QQQ offers more diversification with 108 holdings.

Lower Fees: QQQHigher Returns: QQQMore Diversified: QQQ

Side-by-Side Comparison

MetricQQQSEPUWinner
Expense Ratio0.18%0.74%
AUM$496.3B$164M
Dividend Yield0.44%0.00%
Holdings1084
YTD Return+19.52%+11.03%
1Y Return+26.68%+15.92%
3Y Return (annualized)+26.64%-
5Y Return (annualized)+15.36%-
Volatility (annualized)30.6%9.6%
Max Drawdown-83.0%-11.8%
Fund FamilyInvesco (US)AllianzIM
CategoryEquityAlternative
InceptionMar 10, 1999Aug 30, 2024

QQQ vs SEPU Performance

Invesco QQQ Trust, Series 1 (QQQ) is a ETF from Invesco (US) and AllianzIM US Equity Buffer15 Uncapped Sep ETF (SEPU) is a ETF from AllianzIM. Over the past year QQQ returned +26.68% while SEPU returned +15.92%. Year to date, QQQ is up 19.52% versus a gain of 11.03% for SEPU.

Risk: Volatility and Drawdowns

QQQ has been the more volatile fund, with annualized monthly volatility of 30.6% compared with 9.6% for SEPU. 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 -11.8% for SEPU. 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 0.92. They move almost in lockstep, so holding both mostly duplicates the same exposure.

Fees and Cost Over Time

QQQ charges 0.18% per year while SEPU charges 0.74%. On a $10,000 position that is $18 vs $74 annually, a gap of $56 per year that compounds over a long holding period. On income, QQQ currently yields 0.44% against 0.00% for SEPU.

Frequently Asked Questions

Which is cheaper, QQQ or SEPU?

QQQ has an expense ratio of 0.18% while SEPU charges 0.74%. QQQ is the cheaper option. On a $10,000 investment, that is $56 per year of difference.

Which performed better, QQQ or SEPU?

Over the past year QQQ returned +26.68% vs +15.92% for SEPU, so QQQ leads on 1-year performance. Over the longest common window we track (2 years), QQQ annualized +13.14% vs +14.65% for SEPU. Past performance does not guarantee future results.

Which is riskier, QQQ or SEPU?

QQQ has been the more volatile fund at 30.6% annualized versus 9.6% for SEPU. Worst drawdown: QQQ -83.0% vs SEPU -11.8%.

Should I hold both QQQ and SEPU?

QQQ and SEPU have a monthly-return correlation of 0.92, so they move almost identically. Holding both adds little diversification - most investors pick one, usually on fees or the specific index tracked.

Which pays a higher dividend, QQQ or SEPU?

QQQ yields 0.44% while SEPU yields 0.00%, so QQQ currently pays the higher dividend yield.

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