QQQ vs UNIY

QQQ vs UNIY
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Quick Verdict

UNIY has a lower expense ratio. QQQ delivered stronger 1-year returns. UNIY offers more diversification with 6,627 holdings.

Lower Fees: UNIYHigher Returns: QQQMore Diversified: UNIY

Side-by-Side Comparison

MetricQQQUNIYWinner
Expense Ratio0.18%0.15%
AUM$496.3B$1.3B
Dividend Yield0.44%4.89%
Holdings1086,627
YTD Return+16.19%+0.54%
1Y Return+25.22%+2.79%
3Y Return (annualized)+25.47%+4.96%
5Y Return (annualized)+14.34%-
Volatility (annualized)30.6%5.2%
Max Drawdown-83.0%-6.3%
Fund FamilyInvesco (US)WisdomTree Investments
CategoryEquityFixed Income
InceptionMar 10, 1999Feb 7, 2023

QQQ vs UNIY Performance

Invesco QQQ Trust, Series 1 (QQQ) is a ETF from Invesco (US) and WisdomTree Voya Yield Enhanced USD Universal Bond Fund (UNIY) is a ETF from WisdomTree Investments. Over the past year QQQ returned +25.22% while UNIY returned +2.79%. Year to date, QQQ is up 16.19% versus a gain of 0.54% for UNIY.

Over three years, QQQ compounded at +25.47% per year against +4.96% for UNIY. Across the full 4-year window we track, QQQ has the edge at +13.01% annualized vs +3.81%. 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 5.2% for UNIY. 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 -6.3% for UNIY. 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 0.43. They move independently enough that combining them can meaningfully diversify a portfolio.

Fees and Cost Over Time

QQQ charges 0.18% per year while UNIY charges 0.15%. On a $10,000 position that is $18 vs $15 annually, a gap of $3 per year that compounds over a long holding period. On income, QQQ currently yields 0.44% against 4.89% for UNIY.

Holdings Overlap

0.0%overlap

QQQ and UNIY share 0 holdings out of 137 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 UNIY?

QQQ has an expense ratio of 0.18% while UNIY charges 0.15%. UNIY is the cheaper option. On a $10,000 investment, that is $3 per year of difference.

Which performed better, QQQ or UNIY?

Over the past year QQQ returned +25.22% vs +2.79% for UNIY, so QQQ leads on 1-year performance. Over the longest common window we track (4 years), QQQ annualized +13.01% vs +3.81% for UNIY. Past performance does not guarantee future results.

Which is riskier, QQQ or UNIY?

QQQ has been the more volatile fund at 30.6% annualized versus 5.2% for UNIY. Worst drawdown: QQQ -83.0% vs UNIY -6.3%.

Should I hold both QQQ and UNIY?

QQQ and UNIY have a monthly-return correlation of 0.43, so combining them can provide real diversification depending on your allocation goals.

What is the holdings overlap between QQQ and UNIY?

QQQ and UNIY share 0 common holdings with a 0.0% weight overlap. Combined, they hold 137 unique securities.

Which pays a higher dividend, QQQ or UNIY?

QQQ yields 0.44% while UNIY yields 4.89%, so UNIY currently pays the higher dividend yield.

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