QQQ vs TMAT

QQQ vs TMAT
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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

MetricQQQTMATWinner
Expense Ratio0.18%0.85%
AUM$496.3B$265M
Dividend Yield0.44%0.02%
Holdings10890
YTD Return+16.23%+13.72%
1Y Return+26.23%+17.64%
3Y Return (annualized)+25.75%+27.04%
5Y Return (annualized)+14.78%+5.23%
Volatility (annualized)30.6%28.1%
Max Drawdown-83.0%-58.5%
Fund FamilyInvesco (US)Main Management ETF Advisors, LLC
CategoryEquityEquity
InceptionMar 10, 1999Jan 28, 2021

QQQ vs TMAT Performance

Invesco QQQ Trust, Series 1 (QQQ) is a ETF from Invesco (US) and Main Thematic Innovation ETF (TMAT) is a ETF from Main Management ETF Advisors, LLC. Over the past year QQQ returned +26.23% while TMAT returned +17.64%. Year to date, QQQ is up 16.23% versus a gain of 13.72% for TMAT.

Over three years, QQQ compounded at +25.75% per year against +27.04% for TMAT; over five years the annualized figures are +14.78% and +5.23% respectively. Across the full 6-year window we track, QQQ has the edge at +13.02% annualized vs +2.85%. 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 28.1% for TMAT. 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 -58.5% for TMAT. 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 0.83. They usually move together, but the gap leaves some room for diversification.

Fees and Cost Over Time

QQQ charges 0.18% per year while TMAT 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 0.44% against 0.02% for TMAT.

Holdings Overlap

13.5%overlap

QQQ and TMAT share 15 holdings out of 175 unique holdings combined, representing a 13.5% weight overlap.

Moderate overlap means holding both could provide meaningful diversification benefits.

Top Shared Holdings

StockWeight in QQQWeight in TMATDifference
MU4.43%4.58%0.15%
AMD3.45%2.11%1.34%
PANW1.30%4.22%2.92%
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Frequently Asked Questions

Which is cheaper, QQQ or TMAT?

QQQ has an expense ratio of 0.18% while TMAT 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 TMAT?

Over the past year QQQ returned +26.23% vs +17.64% for TMAT, so QQQ leads on 1-year performance. Over the longest common window we track (6 years), QQQ annualized +13.02% vs +2.85% for TMAT. Past performance does not guarantee future results.

Which is riskier, QQQ or TMAT?

QQQ has been the more volatile fund at 30.6% annualized versus 28.1% for TMAT. Worst drawdown: QQQ -83.0% vs TMAT -58.5%.

Should I hold both QQQ and TMAT?

QQQ and TMAT have a monthly-return correlation of 0.83, so combining them can provide real diversification depending on your allocation goals.

What is the holdings overlap between QQQ and TMAT?

QQQ and TMAT share 15 common holdings with a 13.5% weight overlap. Combined, they hold 175 unique securities.

Which pays a higher dividend, QQQ or TMAT?

QQQ yields 0.44% while TMAT yields 0.02%, so QQQ currently pays the higher dividend yield.

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