QQQ vs TESL

QQQ vs TESL
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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

MetricQQQTESLWinner
Expense Ratio0.18%0.97%
AUM$496.3B$15M
Dividend Yield0.44%32.13%
Holdings10824
YTD Return+16.64%-16.38%
1Y Return+27.27%-30.47%
3Y Return (annualized)+25.96%+24.90%
5Y Return (annualized)+14.54%+7.35%
Volatility (annualized)30.6%55.1%
Max Drawdown-83.0%-69.1%
Fund FamilyInvesco (US)Simplify Exchange Traded Funds
CategoryEquityEquity
InceptionMar 10, 1999Dec 28, 2020

QQQ vs TESL Performance

Invesco QQQ Trust, Series 1 (QQQ) is a ETF from Invesco (US) and Simplify Volt TSLA Revolution ETF (TESL) is a ETF from Simplify Exchange Traded Funds. Over the past year QQQ returned +27.27% while TESL returned -30.47%. Year to date, QQQ is up 16.64% versus a loss of 16.38% for TESL.

Over three years, QQQ compounded at +25.96% per year against +24.90% for TESL; over five years the annualized figures are +14.54% and +7.35% respectively. Across the full 6-year window we track, QQQ has the edge at +13.03% annualized vs +5.29%. Past performance does not guarantee future results.

Risk: Volatility and Drawdowns

TESL has been the more volatile fund, with annualized monthly volatility of 55.1% 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 -69.1% for TESL. 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 0.58. They move independently enough that combining them can meaningfully diversify a portfolio.

Fees and Cost Over Time

QQQ charges 0.18% per year while TESL charges 0.97%. On a $10,000 position that is $18 vs $97 annually, a gap of $79 per year that compounds over a long holding period. On income, QQQ currently yields 0.44% against 32.13% for TESL.

Holdings Overlap

2.6%overlap

QQQ and TESL share 1 holdings out of 102 unique holdings combined, representing a 2.6% weight overlap.

Moderate overlap means holding both could provide meaningful diversification benefits.

Top Shared Holdings

StockWeight in QQQWeight in TESLDifference
TSLA2.56%24.06%21.50%

Frequently Asked Questions

Which is cheaper, QQQ or TESL?

QQQ has an expense ratio of 0.18% while TESL charges 0.97%. QQQ is the cheaper option. On a $10,000 investment, that is $79 per year of difference.

Which performed better, QQQ or TESL?

Over the past year QQQ returned +27.27% vs -30.47% for TESL, so QQQ leads on 1-year performance. Over the longest common window we track (6 years), QQQ annualized +13.03% vs +5.29% for TESL. Past performance does not guarantee future results.

Which is riskier, QQQ or TESL?

TESL has been the more volatile fund at 55.1% annualized versus 30.6% for QQQ. Worst drawdown: QQQ -83.0% vs TESL -69.1%.

Should I hold both QQQ and TESL?

QQQ and TESL have a monthly-return correlation of 0.58, so combining them can provide real diversification depending on your allocation goals.

What is the holdings overlap between QQQ and TESL?

QQQ and TESL share 1 common holdings with a 2.6% weight overlap. Combined, they hold 102 unique securities.

Which pays a higher dividend, QQQ or TESL?

QQQ yields 0.44% while TESL yields 32.13%, so TESL currently pays the higher dividend yield.

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