QQQ vs SMHX
Invesco QQQ Trust, Series 1 vs VanEck Fabless Semiconductor ETF
Which is better, QQQ or SMHX?
Large Cap Growth against Large Cap Blend.
QQQ has a lower expense ratio. SMHX led over 1Y and the full window. The two have moved almost in lockstep, correlation 0.95. QQQ is less concentrated, with 46.9% of the fund in its ten largest positions against 74.5%.
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 | SMHX |
|---|---|---|
| Expense Ratio | 0.18%Best | 0.35% |
| AUM | $437.3B | $257M |
| Dividend Yield | 0.43% | 0.02% |
| Holdings | 208 | 46 |
| YTD Return | +12.62% | +31.51%Best |
| 1Y Return | +11.32% | +30.77%Best |
| 3Y Return (annualized) | +22.90% | - |
| 5Y Return (annualized) | +12.43% | - |
| Volatility (annualized) | 18.4%Best | 38.0% |
| Max Drawdown | -22.8%Best | -38.5% |
| $10,000 over 2.2 years | $14,752 | $20,643Best |
| Top 10 Weight | 46.9%Best | 74.5% |
| Fund Family | Invesco (US) | VanEck |
| Category | Equity | Equity |
| Style | Large Cap Growth | Large Cap Blend |
| Inception | Mar 10, 1999 | Aug 27, 2024 |
Volatility and max drawdown, and the $10,000 over 2.2 years row, are measured over the window both funds cover: Aug 28, 2024 to Nov 12, 2026 (2.2 years).
QQQ vs SMHX 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 2.2 years both funds cover.
QQQ vs SMHX Performance
Invesco QQQ Trust, Series 1 (QQQ) is an ETF from Invesco (US) and VanEck Fabless Semiconductor ETF (SMHX) is an ETF from VanEck. Over the past year QQQ returned +11.32% while SMHX returned +30.77%. Year to date, QQQ is up 12.62% versus a gain of 31.51% for SMHX.
Past performance does not guarantee future results.
Risk: Volatility and Drawdowns
SMHX has been the more volatile fund, with annualized monthly volatility of 38.0% compared with 18.4% 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 -22.8% for QQQ and -38.5% for SMHX. 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 SMHX charges 0.35%. On a $10,000 position that is $18 vs $35 annually, a gap of $17 per year that compounds over a long holding period. On income, QQQ currently yields 0.43% against 0.02% for SMHX.
Holdings Overlap
17.9% of QQQ's money is in holdings SMHX also owns. 73.9% of SMHX's money is in holdings QQQ also owns.
Most of SMHX is already inside QQQ. Owning both mostly buys the same companies twice.
10 positions in common, counted across the 101 positions we hold weights for in QQQ and 22 in SMHX, against full books of 208 and 46.
What only one of them owns
Our book lists 11 positions for SMHX that do not appear in our book for QQQ (21.6% of the fund), and 84 for QQQ that do not appear in SMHX (79.3%).
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 SMHX | Difference |
|---|---|---|---|
| NVDANvidia Corp | 8.05% | 19.91% | 11.86% |
| AVGOBroadcom Inc | 2.52% | 12.70% | 10.18% |
| AMDAdvanced Micro Devices Inc | 3.90% | 7.30% | 3.40% |
| SNPSSynopsys | 0.38% | 5.82% | 5.44% |
| CDNSCadence Design | 0.38% | 5.64% | 5.26% |
| QCOMQualcomm Inc. | 0.80% | 5.07% | 4.27% |
| MRVLMarvell Technology Inc | 0.90% | 4.54% | 3.64% |
| MPWRMonolithic Power Systems Inc | 0.26% | 4.93% | 4.67% |
| ALABAstera Labs Inc - Common | 0.22% | 4.21% | 3.99% |
| ARMArm Holdings Plc 0.00000000 | 0.45% | 3.82% | 3.37% |
73.9% of SMHX is already inside QQQ.
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 SMHX?
QQQ has an expense ratio of 0.18% while SMHX charges 0.35%. QQQ is the cheaper option, by $17 a year on a $10,000 investment.
Which performed better, QQQ or SMHX?
Over the past year QQQ returned +11.32% vs +30.77% for SMHX, so SMHX leads on 1-year performance. Over the longest common window we track (2 years), QQQ annualized +19.33% vs +39.02% for SMHX. Past performance does not guarantee future results. This is information, not a recommendation.
Which is riskier, QQQ or SMHX?
SMHX has been the more volatile fund at 38.0% annualized versus 18.4% for QQQ. Worst drawdown: QQQ -22.8% vs SMHX -38.5%.
Should I hold both QQQ and SMHX?
QQQ and SMHX 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 SMHX?
73.9% of SMHX's money is in holdings QQQ also owns. 73.9% of SMHX's is in holdings QQQ also owns. They hold 10 positions in common, counted across the 101 positions we hold weights for in QQQ and 22 in SMHX.
Which pays a higher dividend, QQQ or SMHX?
QQQ yields 0.43% while SMHX yields 0.02%, so QQQ currently pays the higher dividend yield.
Is SMHX better than QQQ?
QQQ has a lower expense ratio. SMHX led over 1Y and the full window. The two have moved almost in lockstep, correlation 0.95. QQQ is less concentrated, with 46.9% of the fund in its ten largest positions against 74.5%. Which one suits a particular account depends on what it is for. This is information, not a recommendation.