QQQ vs SFY
Invesco QQQ Trust, Series 1 vs Sofi Select 500 ETF
Which is better, QQQ or SFY?
Nearly the same fund. SFY costs less.
SFY has a lower expense ratio. QQQ led over 1Y, 3Y, 5Y and the full window. The two have moved almost in lockstep, correlation 0.95. SFY is less concentrated, with 44.0% of the fund in its ten largest positions against 47.2%.
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 | SFY |
|---|---|---|
| Expense Ratio | 0.18% | 0.05%Best |
| AUM | $498.6B | $706M |
| Dividend Yield | 0.42% | 0.82% |
| Holdings | 321 | 504 |
| YTD Return | +22.67%Best | +17.40% |
| 1Y Return | +24.33%Best | +20.17% |
| 3Y Return (annualized) | +29.05%Best | +28.71% |
| 5Y Return (annualized) | +17.00%Best | +15.77% |
| Volatility (annualized) | 20.4% | 17.6%Best |
| Max Drawdown | -35.1% | -33.3%Best |
| $10,000 over 5 years | $21,924Best | $20,796 |
| Top 10 Weight | 47.2% | 44.0%Best |
| Fund Family | Invesco (US) | SoFi |
| Category | Equity | Equity |
| Style | Large Cap Growth | Large Cap Growth |
| Inception | Mar 10, 1999 | Apr 10, 2019 |
Volatility and max drawdown are measured over the window both funds cover: Apr 11, 2019 to Oct 2, 2026 (7.5 years).
QQQ vs SFY 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 7.5 years both funds cover.
QQQ vs SFY Performance
Invesco QQQ Trust, Series 1 (QQQ) is an ETF from Invesco (US) and Sofi Select 500 ETF (SFY) is an ETF from SoFi. Over the past year QQQ returned +24.33% while SFY returned +20.17%. Year to date, QQQ is up 22.67% versus a gain of 17.40% for SFY.
Over three years, QQQ compounded at +29.05% per year against +28.71% for SFY; over five years the annualized figures are +17.00% and +15.77% respectively. Across the full 8-year window we track, QQQ has the edge at +21.12% annualized vs +17.34%.
Past performance does not guarantee future results.
Risk: Volatility and Drawdowns
QQQ has been the more volatile fund, with annualized monthly volatility of 20.4% compared with 17.6% for SFY. 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 -33.3% for SFY. Drawdown depth is what each fund did in the worst stretch of the window measured above.
The two funds' monthly returns correlate at 0.95. 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 SFY charges 0.05%. On a $10,000 position that is $18 vs $5 annually, a gap of $13 per year that compounds over a long holding period. On income, QQQ currently yields 0.42% against 0.82% for SFY.
Holdings Overlap
95.3% of QQQ's money is in holdings SFY also owns. 60.1% of SFY's money is in holdings QQQ also owns.
Most of QQQ is already inside SFY. Owning both mostly buys the same companies twice.
92 positions in common, counted across the 102 positions we hold weights for in QQQ and 502 in SFY, against full books of 321 and 504.
What only one of them owns
Our book lists 400 positions for SFY that do not appear in our book for QQQ (39.5% of the fund), and 4 for QQQ that do not appear in SFY (2.4%).
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.
Top Shared Holdings
| Stock | Weight in QQQ | Weight in SFY | Difference |
|---|---|---|---|
| NVDANvidia Corp | 8.45% | 15.37% | 6.92% |
| AAPLApple, Inc | 7.80% | 5.04% | 2.76% |
| MSFTMicrosoft Corp | 5.88% | 4.94% | 0.94% |
| MUMicron Technology, Inc. | 4.85% | 3.44% | 1.41% |
| AMZNAmazon.Com Inc | 4.41% | 2.98% | 1.43% |
| AVGOBroadcom Inc | 2.74% | 3.65% | 0.91% |
| GOOGLAlphabet Inc,class A | 3.15% | 2.08% | 1.07% |
| METAMeta Platforms Inc | 3.07% | 2.16% | 0.91% |
| AMDAdvanced Micro Devices Inc | 3.71% | 1.48% | 2.23% |
| GOOGAlphabet Inc. C | 2.93% | 1.95% | 0.98% |
95.3% of QQQ is already inside SFY.
You probably hold more than these two. Add the rest and see how much of the whole book is the same companies twice.
Free for up to 10 holdings. No account needed.
Frequently Asked Questions
Which is cheaper, QQQ or SFY?
QQQ has an expense ratio of 0.18% while SFY charges 0.05%. SFY is the cheaper option, by $13 a year on a $10,000 investment.
Which performed better, QQQ or SFY?
Over the past year QQQ returned +24.33% vs +20.17% for SFY, so QQQ leads on 1-year performance. Over the longest common window we track (8 years), QQQ annualized +21.12% vs +17.34% for SFY. Past performance does not guarantee future results. This is information, not a recommendation.
Which is riskier, QQQ or SFY?
QQQ has been the more volatile fund at 20.4% annualized versus 17.6% for SFY. Worst drawdown: QQQ -35.1% vs SFY -33.3%.
Should I hold both QQQ and SFY?
QQQ and SFY have a monthly-return correlation of 0.95, so they move almost identically. What is left to separate them is the fee and the index each one tracks. This is information, not a recommendation.
What is the holdings overlap between QQQ and SFY?
95.3% of QQQ's money is in holdings SFY also owns. 60.1% of SFY's is in holdings QQQ also owns. They hold 92 positions in common, counted across the 102 positions we hold weights for in QQQ and 502 in SFY.
Which pays a higher dividend, QQQ or SFY?
QQQ yields 0.42% while SFY yields 0.82%, so SFY currently pays the higher dividend yield.
Is SFY better than QQQ?
SFY has a lower expense ratio. QQQ led over 1Y, 3Y, 5Y and the full window. The two have moved almost in lockstep, correlation 0.95. SFY is less concentrated, with 44.0% of the fund in its ten largest positions against 47.2%. Which one suits a particular account depends on what it is for. This is information, not a recommendation.