QQQ vs STNC

Quick Verdict

QQQ has a lower expense ratio. QQQ delivered stronger 1-year returns. QQQ offers more diversification with 103 holdings.

Lower Fees: QQQHigher Returns: QQQMore Diversified: QQQ

Side-by-Side Comparison

MetricQQQSTNCWinner
Expense Ratio0.18%0.85%
AUM$455.8B$93M
Dividend Yield0.41%0.88%
Holdings10849
YTD Return+19.68%+12.54%
1Y Return+26.75%+17.10%
3Y Return (annualized)+26.25%+12.50%
5Y Return (annualized)+15.39%+7.07%
Volatility (annualized)30.6%15.1%
Max Drawdown-83.0%-22.3%
Fund FamilyInvesco (US)Hennessy Funds
CategoryEquityEquity
InceptionMar 10, 1999Mar 15, 2021

QQQ vs STNC Performance

Invesco QQQ Trust, Series 1 (QQQ) is a ETF from Invesco (US) and Hennessy Sustainable ETF (STNC) is a ETF from Hennessy Funds. Over the past year QQQ returned +26.75% while STNC returned +17.10%. Year to date, QQQ is up 19.68% versus a gain of 12.54% for STNC.

Over three years, QQQ compounded at +26.25% per year against +12.50% for STNC; over five years the annualized figures are +15.39% and +7.07% respectively. Across the full 5-year window we track, QQQ has the edge at +13.15% annualized vs +8.54%. Past performance does not guarantee future results.

Risk: Volatility and Drawdowns

QQQ has been the more volatile fund, with annualized monthly volatility of 30.6% compared with 15.1% for STNC. 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 -22.3% for STNC. 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 0.71. They usually move together, but the gap leaves some room for diversification.

Fees and Cost Over Time

QQQ charges 0.18% per year while STNC charges 0.85%. On a $10,000 position that is $18 vs $85 annually, a gap of $67 per year that compounds over a long holding period. On income, QQQ currently yields 0.41% against 0.88% for STNC.

Holdings Overlap

0.9%overlap

QQQ and STNC share 1 holdings out of 106 unique holdings combined, representing a 0.9% weight overlap.

Moderate overlap means holding both could provide meaningful diversification benefits.

Top Shared Holdings

StockWeight in QQQWeight in STNCDifference
AMGN0.86%2.60%1.74%

Frequently Asked Questions

Which is cheaper, QQQ or STNC?

QQQ has an expense ratio of 0.18% while STNC charges 0.85%. QQQ is the cheaper option. On a $10,000 investment, that is $67 per year of difference.

Which performed better, QQQ or STNC?

Over the past year QQQ returned +26.75% vs +17.10% for STNC, so QQQ leads on 1-year performance. Over the longest common window we track (5 years), QQQ annualized +13.15% vs +8.54% for STNC. Past performance does not guarantee future results.

Which is riskier, QQQ or STNC?

QQQ has been the more volatile fund at 30.6% annualized versus 15.1% for STNC. Worst drawdown: QQQ -83.0% vs STNC -22.3%.

Should I hold both QQQ and STNC?

QQQ and STNC have a monthly-return correlation of 0.71, so combining them can provide real diversification depending on your allocation goals.

What is the holdings overlap between QQQ and STNC?

QQQ and STNC share 1 common holdings with a 0.9% weight overlap. Combined, they hold 106 unique securities.

Which pays a higher dividend, QQQ or STNC?

QQQ yields 0.41% while STNC yields 0.88%, so STNC currently pays the higher dividend yield.

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