QQQ vs USE

QQQ vs USE
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Quick Verdict

QQQ has a lower expense ratio. QQQ delivered stronger 1-year returns. QQQ offers more diversification with 107 holdings.

Lower Fees: QQQHigher Returns: QQQMore Diversified: QQQ

Side-by-Side Comparison

MetricQQQUSEWinner
Expense Ratio0.18%0.79%
AUM$486.1B$7M
Dividend Yield0.44%2.17%
Holdings1079
YTD Return+15.95%+49.67%
1Y Return+26.00%+19.61%
3Y Return (annualized)+24.11%+11.84%
5Y Return (annualized)+13.95%-
Volatility (annualized)30.6%33.2%
Max Drawdown-83.0%-28.2%
Fund FamilyInvesco (US)USCF Investments
CategoryEquityEquity
InceptionMar 10, 1999May 3, 2023

QQQ vs USE Performance

Invesco QQQ Trust, Series 1 (QQQ) is a ETF from Invesco (US) and USCF Energy Commodity Strategy Absolute Return Fund (USE) is a ETF from USCF Investments. Over the past year QQQ returned +26.00% while USE returned +19.61%. Year to date, QQQ is up 15.95% versus a gain of 49.67% for USE.

Over three years, QQQ compounded at +24.11% per year against +11.84% for USE. Across the full 3-year window we track, USE has the edge at +17.90% annualized vs +12.99%. Past performance does not guarantee future results.

Risk: Volatility and Drawdowns

USE has been the more volatile fund, with annualized monthly volatility of 33.2% compared with 30.6% for QQQ. 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 -28.2% for USE. 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 -0.17. They move independently enough that combining them can meaningfully diversify a portfolio.

Fees and Cost Over Time

QQQ charges 0.18% per year while USE charges 0.79%. On a $10,000 position that is $18 vs $79 annually, a gap of $61 per year that compounds over a long holding period. On income, QQQ currently yields 0.44% against 2.17% for USE.

Holdings Overlap

0.0%overlap

QQQ and USE share 0 holdings out of 103 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 USE?

QQQ has an expense ratio of 0.18% while USE charges 0.79%. QQQ is the cheaper option. On a $10,000 investment, that is $61 per year of difference.

Which performed better, QQQ or USE?

Over the past year QQQ returned +26.00% vs +19.61% for USE, so QQQ leads on 1-year performance. Over the longest common window we track (3 years), QQQ annualized +12.99% vs +17.90% for USE. Past performance does not guarantee future results.

Which is riskier, QQQ or USE?

USE has been the more volatile fund at 33.2% annualized versus 30.6% for QQQ. Worst drawdown: QQQ -83.0% vs USE -28.2%.

Should I hold both QQQ and USE?

QQQ and USE have a monthly-return correlation of -0.17, so combining them can provide real diversification depending on your allocation goals.

What is the holdings overlap between QQQ and USE?

QQQ and USE share 0 common holdings with a 0.0% weight overlap. Combined, they hold 103 unique securities.

Which pays a higher dividend, QQQ or USE?

QQQ yields 0.44% while USE yields 2.17%, so USE currently pays the higher dividend yield.

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