QQQ vs SHYD
Invesco QQQ Trust, Series 1 vs VanEck Short High Yield Muni ETF
Which is better, QQQ or SHYD?
Large Cap Growth against Municipal Bond.
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 | SHYD |
|---|---|---|
| Expense Ratio | 0.18%Best | 0.32% |
| AUM | $483.5B | $450M |
| Dividend Yield | 0.44% | 3.63% |
| Holdings | 107 | 581 |
| YTD Return | +15.94%Best | -2.62% |
| 1Y Return | +20.44%Best | -2.24% |
| 3Y Return (annualized) | +24.86%Best | +3.01% |
| 5Y Return (annualized) | +14.26%Best | -0.04% |
| Volatility (annualized) | 18.2% | 5.7%Best |
| Max Drawdown | -35.1% | -31.2%Best |
| $10,000 over 5 years | $19,475Best | $9,980 |
| Fund Family | Invesco (US) | VanEck |
| Category | Equity | Tax Preferred |
| Style | Large Cap Growth | Municipal Bond |
| Inception | Mar 10, 1999 | Jan 13, 2014 |
Not shown on this pair: Top 10 Weight.
Volatility and max drawdown are measured over the window both funds cover: Jan 14, 2014 to Sep 14, 2026 (12.7 years).
QQQ vs SHYD 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 is available from the range buttons; it is not the opening view here because over the whole period one of these two funds moves so much further than the other that its line would sit flat on the axis.
QQQ vs SHYD Performance
Invesco QQQ Trust, Series 1 (QQQ) is an ETF from Invesco (US) and VanEck Short High Yield Muni ETF (SHYD) is an ETF from VanEck. Over the past year QQQ returned +20.44% while SHYD returned -2.24%. Year to date, QQQ is up 15.94% versus a loss of 2.62% for SHYD.
Over three years, QQQ compounded at +24.86% per year against +3.01% for SHYD; over five years the annualized figures are +14.26% and -0.04% respectively. Across the full 13-year window we track, QQQ has the edge at +18.25% annualized vs +1.91%.
Past performance does not guarantee future results.
Risk: Volatility and Drawdowns
QQQ has been the more volatile fund, with annualized monthly volatility of 18.2% compared with 5.7% for SHYD. 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 -31.2% for SHYD. Drawdown depth is what each fund did in the worst stretch of the window measured above.
The two funds' monthly returns correlate at 0.38. They move together some of the time, and apart the rest.
Fees and Cost Over Time
QQQ charges 0.18% per year while SHYD charges 0.32%. On a $10,000 position that is $18 vs $32 annually, a gap of $14 per year that compounds over a long holding period. On income, QQQ currently yields 0.44% against 3.63% for SHYD.
Holdings Overlap
We hold position weights for 102 holdings in QQQ and 171 in SHYD, totalling 99.9% and 37.2% 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 171 in SHYD, against full books of 107 and 581.
You are not choosing between two funds in isolation.
Whichever of QQQ and SHYD 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 SHYD?
QQQ has an expense ratio of 0.18% while SHYD charges 0.32%. QQQ is the cheaper option, by $14 a year on a $10,000 investment.
Which performed better, QQQ or SHYD?
Over the past year QQQ returned +20.44% vs -2.24% for SHYD, so QQQ leads on 1-year performance. Over the longest common window we track (13 years), QQQ annualized +18.25% vs +1.91% for SHYD. Past performance does not guarantee future results. This is information, not a recommendation.
Which is riskier, QQQ or SHYD?
QQQ has been the more volatile fund at 18.2% annualized versus 5.7% for SHYD. Worst drawdown: QQQ -35.1% vs SHYD -31.2%.
Should I hold both QQQ and SHYD?
QQQ and SHYD have a monthly-return correlation of 0.38, 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 SHYD?
QQQ yields 0.44% while SHYD yields 3.63%, so SHYD currently pays the higher dividend yield.
Is SHYD 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.