QQQ vs SEPZ

QQQ vs SEPZ
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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

MetricQQQSEPZWinner
Expense Ratio0.18%0.79%
AUM$496.3B$132M
Dividend Yield0.44%2.05%
Holdings10817
YTD Return+16.64%+9.67%
1Y Return+27.27%+14.00%
3Y Return (annualized)+25.96%+13.92%
5Y Return (annualized)+14.54%+9.45%
Volatility (annualized)30.6%11.7%
Max Drawdown-83.0%-17.1%
Fund FamilyInvesco (US)TrueShares
CategoryEquityEquity
InceptionMar 10, 1999Aug 31, 2020

QQQ vs SEPZ Performance

Invesco QQQ Trust, Series 1 (QQQ) is a ETF from Invesco (US) and TrueShares Structured Outcome (September) ETF (SEPZ) is a ETF from TrueShares. Over the past year QQQ returned +27.27% while SEPZ returned +14.00%. Year to date, QQQ is up 16.64% versus a gain of 9.67% for SEPZ.

Over three years, QQQ compounded at +25.96% per year against +13.92% for SEPZ; over five years the annualized figures are +14.54% and +9.45% respectively. Across the full 6-year window we track, QQQ has the edge at +13.03% annualized vs +11.64%. 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 11.7% for SEPZ. 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 -17.1% for SEPZ. 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 0.89. They usually move together, but the gap leaves some room for diversification.

Fees and Cost Over Time

QQQ charges 0.18% per year while SEPZ charges 0.79%. On a $10,000 position that is $18 vs $79 annually, a gap of $61 per year that compounds over a long holding period. On income, QQQ currently yields 0.44% against 2.05% for SEPZ.

Holdings Overlap

0.0%overlap

QQQ and SEPZ share 0 holdings out of 103 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 SEPZ?

QQQ has an expense ratio of 0.18% while SEPZ charges 0.79%. QQQ is the cheaper option. On a $10,000 investment, that is $61 per year of difference.

Which performed better, QQQ or SEPZ?

Over the past year QQQ returned +27.27% vs +14.00% for SEPZ, so QQQ leads on 1-year performance. Over the longest common window we track (6 years), QQQ annualized +13.03% vs +11.64% for SEPZ. Past performance does not guarantee future results.

Which is riskier, QQQ or SEPZ?

QQQ has been the more volatile fund at 30.6% annualized versus 11.7% for SEPZ. Worst drawdown: QQQ -83.0% vs SEPZ -17.1%.

Should I hold both QQQ and SEPZ?

QQQ and SEPZ have a monthly-return correlation of 0.89, so combining them can provide real diversification depending on your allocation goals.

What is the holdings overlap between QQQ and SEPZ?

QQQ and SEPZ share 0 common holdings with a 0.0% weight overlap. Combined, they hold 103 unique securities.

Which pays a higher dividend, QQQ or SEPZ?

QQQ yields 0.44% while SEPZ yields 2.05%, so SEPZ currently pays the higher dividend yield.

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