QQQ vs TCHP

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

MetricQQQTCHPWinner
Expense Ratio0.18%0.57%
AUM$455.8B$2.1B
Dividend Yield0.41%0.00%
Holdings10857
YTD Return+18.20%+3.95%
1Y Return+27.63%+10.18%
3Y Return (annualized)+25.54%+22.37%
5Y Return (annualized)+15.12%+9.38%
Volatility (annualized)30.6%20.0%
Max Drawdown-83.0%-42.3%
Fund FamilyInvesco (US)T.Rowe Price
CategoryEquityEquity
InceptionMar 10, 1999Aug 4, 2020

QQQ vs TCHP Performance

Invesco QQQ Trust, Series 1 (QQQ) is a ETF from Invesco (US) and T. Rowe Price Blue Chip Growth ETF (TCHP) is a ETF from T.Rowe Price. Over the past year QQQ returned +27.63% while TCHP returned +10.18%. Year to date, QQQ is up 18.20% versus a gain of 3.95% for TCHP.

Over three years, QQQ compounded at +25.54% per year against +22.37% for TCHP; over five years the annualized figures are +15.12% and +9.38% respectively. Across the full 6-year window we track, QQQ has the edge at +13.11% annualized vs +12.65%. 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 20.0% for TCHP. 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 -42.3% for TCHP. 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 0.96. 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 TCHP charges 0.57%. On a $10,000 position that is $18 vs $57 annually, a gap of $39 per year that compounds over a long holding period. On income, QQQ currently yields 0.41% against 0.00% for TCHP.

Holdings Overlap

45.0%overlap

QQQ and TCHP share 28 holdings out of 131 unique holdings combined, representing a 45.0% weight overlap.

Moderate overlap means holding both could provide meaningful diversification benefits.

Top Shared Holdings

StockWeight in QQQWeight in TCHPDifference
NVDA7.88%15.17%7.29%
AAPL7.46%9.51%2.05%
MSFT4.65%10.26%5.61%
AMZNProProPro
GOOGProProPro
METAProProPro
AVGOProProPro
TSLAProProPro
NFLXProProPro
ISRGProProPro
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Frequently Asked Questions

Which is cheaper, QQQ or TCHP?

QQQ has an expense ratio of 0.18% while TCHP charges 0.57%. QQQ is the cheaper option. On a $10,000 investment, that is $39 per year of difference.

Which performed better, QQQ or TCHP?

Over the past year QQQ returned +27.63% vs +10.18% for TCHP, so QQQ leads on 1-year performance. Over the longest common window we track (6 years), QQQ annualized +13.11% vs +12.65% for TCHP. Past performance does not guarantee future results.

Which is riskier, QQQ or TCHP?

QQQ has been the more volatile fund at 30.6% annualized versus 20.0% for TCHP. Worst drawdown: QQQ -83.0% vs TCHP -42.3%.

Should I hold both QQQ and TCHP?

QQQ and TCHP have a monthly-return correlation of 0.96, so they move almost identically. Holding both adds little diversification - most investors pick one, usually on fees or the specific index tracked.

What is the holdings overlap between QQQ and TCHP?

QQQ and TCHP share 28 common holdings with a 45.0% weight overlap. Combined, they hold 131 unique securities.

Which pays a higher dividend, QQQ or TCHP?

QQQ yields 0.41% while TCHP yields 0.00%, so QQQ currently pays the higher dividend yield.

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