QQQ vs TYLD

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

MetricQQQTYLDWinner
Expense Ratio0.18%0.59%
AUM$455.8B$34M
Dividend Yield0.41%3.74%
Holdings1085
YTD Return+18.31%+0.93%
1Y Return+25.37%+2.47%
3Y Return (annualized)+25.79%-
5Y Return (annualized)+15.20%-
Volatility (annualized)30.6%0.8%
Max Drawdown-83.0%-8.2%
Fund FamilyInvesco (US)Cambria Investment Management
CategoryEquityFixed Income
InceptionMar 10, 1999Jan 4, 2024

QQQ vs TYLD Performance

Invesco QQQ Trust, Series 1 (QQQ) is a ETF from Invesco (US) and Cambria Tactical Yield ETF (TYLD) is a ETF from Cambria Investment Management. Over the past year QQQ returned +25.37% while TYLD returned +2.47%. Year to date, QQQ is up 18.31% versus a gain of 0.93% for TYLD.

Risk: Volatility and Drawdowns

QQQ has been the more volatile fund, with annualized monthly volatility of 30.6% compared with 0.8% for TYLD. 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 -8.2% for TYLD. 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 0.31. They move independently enough that combining them can meaningfully diversify a portfolio.

Fees and Cost Over Time

QQQ charges 0.18% per year while TYLD charges 0.59%. On a $10,000 position that is $18 vs $59 annually, a gap of $41 per year that compounds over a long holding period. On income, QQQ currently yields 0.41% against 3.74% for TYLD.

Holdings Overlap

0.0%overlap

QQQ and TYLD share 0 holdings out of 104 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 TYLD?

QQQ has an expense ratio of 0.18% while TYLD charges 0.59%. QQQ is the cheaper option. On a $10,000 investment, that is $41 per year of difference.

Which performed better, QQQ or TYLD?

Over the past year QQQ returned +25.37% vs +2.47% for TYLD, so QQQ leads on 1-year performance. Over the longest common window we track (3 years), QQQ annualized +13.10% vs +0.50% for TYLD. Past performance does not guarantee future results.

Which is riskier, QQQ or TYLD?

QQQ has been the more volatile fund at 30.6% annualized versus 0.8% for TYLD. Worst drawdown: QQQ -83.0% vs TYLD -8.2%.

Should I hold both QQQ and TYLD?

QQQ and TYLD have a monthly-return correlation of 0.31, so combining them can provide real diversification depending on your allocation goals.

What is the holdings overlap between QQQ and TYLD?

QQQ and TYLD share 0 common holdings with a 0.0% weight overlap. Combined, they hold 104 unique securities.

Which pays a higher dividend, QQQ or TYLD?

QQQ yields 0.41% while TYLD yields 3.74%, so TYLD currently pays the higher dividend yield.

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