QQQ vs TAIL

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

MetricQQQTAILWinner
Expense Ratio0.18%0.59%
AUM$455.8B$149M
Dividend Yield0.41%2.93%
Holdings10825
YTD Return+17.85%-9.98%
1Y Return+26.45%-11.58%
3Y Return (annualized)+26.07%-5.59%
5Y Return (annualized)+15.16%-9.21%
Volatility (annualized)30.6%11.1%
Max Drawdown-83.0%-53.6%
Fund FamilyInvesco (US)Cambria Investment Management
CategoryEquityAlternative
InceptionMar 10, 1999Apr 5, 2017

QQQ vs TAIL Performance

Invesco QQQ Trust, Series 1 (QQQ) is a ETF from Invesco (US) and Cambria Tail Risk ETF (TAIL) is a ETF from Cambria Investment Management. Over the past year QQQ returned +26.45% while TAIL returned -11.58%. Year to date, QQQ is up 17.85% versus a loss of 9.98% for TAIL.

Over three years, QQQ compounded at +26.07% per year against -5.59% for TAIL; over five years the annualized figures are +15.16% and -9.21% respectively. Across the full 9-year window we track, QQQ has the edge at +13.09% annualized vs -7.48%. 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 11.1% for TAIL. 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 -53.6% for TAIL. 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 -0.56. They move independently enough that combining them can meaningfully diversify a portfolio.

Fees and Cost Over Time

QQQ charges 0.18% per year while TAIL charges 0.59%. On a $10,000 position that is $18 vs $59 annually, a gap of $41 per year that compounds over a long holding period. On income, QQQ currently yields 0.41% against 2.93% for TAIL.

Holdings Overlap

0.0%overlap

QQQ and TAIL share 0 holdings out of 105 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 TAIL?

QQQ has an expense ratio of 0.18% while TAIL charges 0.59%. QQQ is the cheaper option. On a $10,000 investment, that is $41 per year of difference.

Which performed better, QQQ or TAIL?

Over the past year QQQ returned +26.45% vs -11.58% for TAIL, so QQQ leads on 1-year performance. Over the longest common window we track (9 years), QQQ annualized +13.09% vs -7.48% for TAIL. Past performance does not guarantee future results.

Which is riskier, QQQ or TAIL?

QQQ has been the more volatile fund at 30.6% annualized versus 11.1% for TAIL. Worst drawdown: QQQ -83.0% vs TAIL -53.6%.

Should I hold both QQQ and TAIL?

QQQ and TAIL have a monthly-return correlation of -0.56, so combining them can provide real diversification depending on your allocation goals.

What is the holdings overlap between QQQ and TAIL?

QQQ and TAIL share 0 common holdings with a 0.0% weight overlap. Combined, they hold 105 unique securities.

Which pays a higher dividend, QQQ or TAIL?

QQQ yields 0.41% while TAIL yields 2.93%, so TAIL currently pays the higher dividend yield.

Get Full ETF Analytics

Access complete holdings data, overlap analysis, screener tools, and more with FundXLS.