QQQ vs SMI

QQQ vs SMI

Which is better, QQQ or SMI?

Large Cap Growth against Municipal Bond.

QQQ has a lower expense ratio. QQQ led over 1Y and the full window.

Lower Fees: QQQHigher Returns: QQQ

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

MetricQQQSMI
Expense Ratio0.18%Best0.24%
AUM$483.5B$11M
Dividend Yield0.44%2.83%
Holdings10737
Volatility (annualized)21.2%6.6%Best
Max Drawdown-35.1%-14.2%Best
$10,000 over 3.8 years$14,429Best$8,855
Fund FamilyInvesco (US)VanEck
CategoryEquityTax Preferred
StyleLarge Cap GrowthMunicipal Bond
InceptionMar 10, 1999Sep 8, 2021

Not shown on this pair: YTD Return, 1Y Return, 3Y Return (annualized), 5Y Return (annualized), Top 10 Weight.

The two price series end 453 days apart, so a return over any period would be measuring two different stretches of market. Those rows are withheld. QQQ has data through Sep 14, 2026 and SMI through Jun 18, 2025.

Volatility and max drawdown, and the $10,000 over 3.8 years row, are measured over the window both funds cover: Sep 10, 2021 to Jun 18, 2025 (3.8 years).

Risk: Volatility and Drawdowns

QQQ has been the more volatile fund, with annualized monthly volatility of 21.2% compared with 6.6% for SMI. 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 -14.2% for SMI. Drawdown depth is what each fund did in the worst stretch of the window measured above.

The two funds' monthly returns correlate at 0.64. They move together some of the time, and apart the rest.

Fees and Cost Over Time

QQQ charges 0.18% per year while SMI charges 0.24%. On a $10,000 position that is $18 vs $24 annually, a gap of $6 per year that compounds over a long holding period. On income, QQQ currently yields 0.44% against 2.83% for SMI.

You are not choosing between two funds in isolation.

Whichever of QQQ and SMI you pick has to sit alongside everything else you own. Add the rest and see what the combination actually holds.

QQQSMI

Free for up to 10 holdings. No account needed.

Frequently Asked Questions

Which is cheaper, QQQ or SMI?

QQQ has an expense ratio of 0.18% while SMI charges 0.24%. QQQ is the cheaper option, by $6 a year on a $10,000 investment.

Which is riskier, QQQ or SMI?

QQQ has been the more volatile fund at 21.2% annualized versus 6.6% for SMI. Worst drawdown: QQQ -35.1% vs SMI -14.2%.

Should I hold both QQQ and SMI?

QQQ and SMI have a monthly-return correlation of 0.64, 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 SMI?

QQQ yields 0.44% while SMI yields 2.83%, so SMI currently pays the higher dividend yield.

Is SMI better than QQQ?

QQQ has a lower expense ratio. QQQ led over 1Y and the full window. Which one suits a particular account depends on what it is for. This is information, not a recommendation.