QQQ vs TIPB

Quick Verdict

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

Lower Fees: TIPBHigher Returns: QQQMore Diversified: QQQ

Side-by-Side Comparison

MetricQQQTIPBWinner
Expense Ratio0.18%0.10%
AUM$455.8B$8M
Dividend Yield0.41%3.48%
Holdings10811
YTD Return+17.85%+3.10%
1Y Return+26.45%+4.36%
3Y Return (annualized)+26.07%-
5Y Return (annualized)+15.16%-
Volatility (annualized)30.6%2.1%
Max Drawdown-83.0%-1.3%
Fund FamilyInvesco (US)Northern Trust Asset Management
CategoryEquityFixed Income
InceptionMar 10, 1999Mar 1, 2025

QQQ vs TIPB Performance

Invesco QQQ Trust, Series 1 (QQQ) is a ETF from Invesco (US) and Northern Trust 2035 Inflation-Linked Distributing Ladder ETF (TIPB) is a ETF from Northern Trust Asset Management. Over the past year QQQ returned +26.45% while TIPB returned +4.36%. Year to date, QQQ is up 17.85% versus a gain of 3.10% for TIPB.

Risk: Volatility and Drawdowns

QQQ has been the more volatile fund, with annualized monthly volatility of 30.6% compared with 2.1% for TIPB. 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 -1.3% for TIPB. 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 0.26. They move independently enough that combining them can meaningfully diversify a portfolio.

Fees and Cost Over Time

QQQ charges 0.18% per year while TIPB charges 0.10%. On a $10,000 position that is $18 vs $10 annually, a gap of $8 per year that compounds over a long holding period. On income, QQQ currently yields 0.41% against 3.48% for TIPB.

Holdings Overlap

0.0%overlap

QQQ and TIPB share 0 holdings out of 111 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 TIPB?

QQQ has an expense ratio of 0.18% while TIPB charges 0.10%. TIPB is the cheaper option. On a $10,000 investment, that is $8 per year of difference.

Which performed better, QQQ or TIPB?

Over the past year QQQ returned +26.45% vs +4.36% for TIPB, so QQQ leads on 1-year performance. Past performance does not guarantee future results.

Which is riskier, QQQ or TIPB?

QQQ has been the more volatile fund at 30.6% annualized versus 2.1% for TIPB. Worst drawdown: QQQ -83.0% vs TIPB -1.3%.

Should I hold both QQQ and TIPB?

QQQ and TIPB have a monthly-return correlation of 0.26, so combining them can provide real diversification depending on your allocation goals.

What is the holdings overlap between QQQ and TIPB?

QQQ and TIPB share 0 common holdings with a 0.0% weight overlap. Combined, they hold 111 unique securities.

Which pays a higher dividend, QQQ or TIPB?

QQQ yields 0.41% while TIPB yields 3.48%, so TIPB currently pays the higher dividend yield.

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