QQQ vs SPXU

QQQ vs SPXU
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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

MetricQQQSPXUWinner
Expense Ratio0.18%0.90%
AUM$496.3B$365M
Dividend Yield0.44%6.79%
Holdings10819
YTD Return+16.64%-28.61%
1Y Return+27.27%-41.82%
3Y Return (annualized)+25.96%-42.91%
5Y Return (annualized)+14.54%-32.94%
Volatility (annualized)30.6%39.6%
Max Drawdown-83.0%-100.0%
Fund FamilyInvesco (US)ProShares
CategoryEquityAlternative
InceptionMar 10, 1999Jun 23, 2009

QQQ vs SPXU Performance

Invesco QQQ Trust, Series 1 (QQQ) is a ETF from Invesco (US) and ProShares UltraPro Short S&P500 (SPXU) is a ETF from ProShares. Over the past year QQQ returned +27.27% while SPXU returned -41.82%. Year to date, QQQ is up 16.64% versus a loss of 28.61% for SPXU.

Over three years, QQQ compounded at +25.96% per year against -42.91% for SPXU; over five years the annualized figures are +14.54% and -32.94% respectively. Across the full 17-year window we track, QQQ has the edge at +13.03% annualized vs -42.59%. Past performance does not guarantee future results.

Risk: Volatility and Drawdowns

SPXU has been the more volatile fund, with annualized monthly volatility of 39.6% compared with 30.6% 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 -83.0% for QQQ and -100.0% for SPXU. 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 -0.90. They move independently enough that combining them can meaningfully diversify a portfolio.

Fees and Cost Over Time

QQQ charges 0.18% per year while SPXU charges 0.90%. On a $10,000 position that is $18 vs $90 annually, a gap of $72 per year that compounds over a long holding period. On income, QQQ currently yields 0.44% against 6.79% for SPXU.

Holdings Overlap

0.0%overlap

QQQ and SPXU 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 SPXU?

QQQ has an expense ratio of 0.18% while SPXU charges 0.90%. QQQ is the cheaper option. On a $10,000 investment, that is $72 per year of difference.

Which performed better, QQQ or SPXU?

Over the past year QQQ returned +27.27% vs -41.82% for SPXU, so QQQ leads on 1-year performance. Over the longest common window we track (17 years), QQQ annualized +13.03% vs -42.59% for SPXU. Past performance does not guarantee future results.

Which is riskier, QQQ or SPXU?

SPXU has been the more volatile fund at 39.6% annualized versus 30.6% for QQQ. Worst drawdown: QQQ -83.0% vs SPXU -100.0%.

Should I hold both QQQ and SPXU?

QQQ and SPXU have a monthly-return correlation of -0.90, so combining them can provide real diversification depending on your allocation goals.

What is the holdings overlap between QQQ and SPXU?

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

Which pays a higher dividend, QQQ or SPXU?

QQQ yields 0.44% while SPXU yields 6.79%, so SPXU currently pays the higher dividend yield.

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