QQQ vs TSMY
Invesco QQQ Trust, Series 1 vs YieldMax TSM Option Income Strategy ETF
Quick Verdict
QQQ has a lower expense ratio. TSMY delivered stronger 1-year returns. QQQ offers more diversification with 108 holdings.
Side-by-Side Comparison
| Metric | QQQ | TSMY | Winner |
|---|---|---|---|
| Expense Ratio | 0.18% | 1.01% | |
| AUM | $496.3B | $111M | |
| Dividend Yield | 0.44% | 58.71% | |
| Holdings | 108 | 23 | |
| YTD Return | +16.64% | +28.23% | |
| 1Y Return | +27.27% | +67.00% | |
| 3Y Return (annualized) | +25.96% | - | |
| 5Y Return (annualized) | +14.54% | - | |
| Volatility (annualized) | 30.6% | 27.5% | |
| Max Drawdown | -83.0% | -31.1% | |
| Fund Family | Invesco (US) | YieldMax ETF | |
| Category | Equity | Alternative | |
| Inception | Mar 10, 1999 | Aug 20, 2024 |
QQQ vs TSMY Performance
Invesco QQQ Trust, Series 1 (QQQ) is a ETF from Invesco (US) and YieldMax TSM Option Income Strategy ETF (TSMY) is a ETF from YieldMax ETF. Over the past year QQQ returned +27.27% while TSMY returned +67.00%. Year to date, QQQ is up 16.64% versus a gain of 28.23% for TSMY.
Risk: Volatility and Drawdowns
QQQ has been the more volatile fund, with annualized monthly volatility of 30.6% compared with 27.5% for TSMY. 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 -31.1% for TSMY. 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 0.64. They move independently enough that combining them can meaningfully diversify a portfolio.
Fees and Cost Over Time
QQQ charges 0.18% per year while TSMY charges 1.01%. On a $10,000 position that is $18 vs $101 annually, a gap of $83 per year that compounds over a long holding period. On income, QQQ currently yields 0.44% against 58.71% for TSMY.
Holdings Overlap
QQQ and TSMY 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 TSMY?
QQQ has an expense ratio of 0.18% while TSMY charges 1.01%. QQQ is the cheaper option. On a $10,000 investment, that is $83 per year of difference.
Which performed better, QQQ or TSMY?
Over the past year QQQ returned +27.27% vs +67.00% for TSMY, so TSMY leads on 1-year performance. Over the longest common window we track (2 years), QQQ annualized +13.03% vs +42.26% for TSMY. Past performance does not guarantee future results.
Which is riskier, QQQ or TSMY?
QQQ has been the more volatile fund at 30.6% annualized versus 27.5% for TSMY. Worst drawdown: QQQ -83.0% vs TSMY -31.1%.
Should I hold both QQQ and TSMY?
QQQ and TSMY have a monthly-return correlation of 0.64, so combining them can provide real diversification depending on your allocation goals.
What is the holdings overlap between QQQ and TSMY?
QQQ and TSMY share 0 common holdings with a 0.0% weight overlap. Combined, they hold 105 unique securities.
Which pays a higher dividend, QQQ or TSMY?
QQQ yields 0.44% while TSMY yields 58.71%, so TSMY currently pays the higher dividend yield.
Popular ETF Comparisons
Get Full ETF Analytics
Access complete holdings data, overlap analysis, screener tools, and more with FundXLS.