QQQ vs VBK
Invesco QQQ Trust, Series 1 vs Vanguard Morningstar Small-Cap Growth ETF
Which is better, QQQ or VBK?
Large Cap Growth against Small Cap Growth.
VBK has a lower expense ratio. QQQ led over 1Y, 3Y, 5Y and the full window. VBK is less concentrated, with 9.1% of the fund in its ten largest positions against 46.5%.
MarketXLS is not an investment adviser. This comparison is generated automatically from market data and is for information only. A Best mark means the better reading on that one measure, not a recommendation to buy.
Side-by-Side Comparison
| Metric | QQQ | VBK |
|---|---|---|
| Expense Ratio | 0.18% | 0.05%Best |
| AUM | $483.5B | $23.2B |
| Dividend Yield | 0.44% | 0.44% |
| Holdings | 107 | 553 |
| YTD Return | +17.21%Best | +10.60% |
| 1Y Return | +22.10%Best | +13.31% |
| 3Y Return (annualized) | +25.27%Best | +15.92% |
| 5Y Return (annualized) | +14.60%Best | +3.67% |
| Volatility (annualized) | 18.3%Best | 19.6% |
| Max Drawdown | -53.5%Best | -59.4% |
| $10,000 over 5 years | $19,766Best | $11,975 |
| Top 10 Weight | 46.5% | 9.1%Best |
| Fund Family | Invesco (US) | Vanguard (US) |
| Category | Equity | Equity |
| Style | Large Cap Growth | Small Cap Growth |
| Inception | Mar 10, 1999 | Jan 26, 2004 |
Volatility and max drawdown are measured over the window both funds cover: Jan 30, 2004 to Sep 17, 2026 (22.6 years).
QQQ vs VBK growth
Month-end closes. Both lines start at 0% in the first month shown, so the gap between them is the difference in growth across that window. The full view covers the 22.6 years both funds cover.
QQQ vs VBK Performance
Invesco QQQ Trust, Series 1 (QQQ) is an ETF from Invesco (US) and Vanguard Morningstar Small-Cap Growth ETF (VBK) is an ETF from Vanguard (US). Over the past year QQQ returned +22.10% while VBK returned +13.31%. Year to date, QQQ is up 17.21% versus a gain of 10.60% for VBK.
Over three years, QQQ compounded at +25.27% per year against +15.92% for VBK; over five years the annualized figures are +14.60% and +3.67% respectively. Across the full 23-year window we track, QQQ has the edge at +14.15% annualized vs +9.06%.
Past performance does not guarantee future results.
Risk: Volatility and Drawdowns
VBK has been the more volatile fund, with annualized monthly volatility of 19.6% compared with 18.3% 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 -53.5% for QQQ and -59.4% for VBK. Drawdown depth is what each fund did in the worst stretch of the window measured above.
The two funds' monthly returns correlate at 0.86. They usually move together, but the gap leaves some room for diversification.
Fees and Cost Over Time
QQQ charges 0.18% per year while VBK charges 0.05%. On a $10,000 position that is $18 vs $5 annually, a gap of $13 per year that compounds over a long holding period. On income, QQQ currently yields 0.44% against 0.44% for VBK.
Holdings Overlap
0.2% of QQQ's money is in holdings VBK also owns. 1.0% of VBK's money is in holdings QQQ also owns.
VBK and QQQ share little of their money.
1 positions in common, counted across the 102 positions we hold weights for in QQQ and 542 in VBK, against full books of 107 and 553.
What only one of them owns
Our book lists 524 positions for VBK that do not appear in our book for QQQ (91.4% of the fund), and 95 for QQQ that do not appear in VBK (97.3%).
Some of those will be the same company recorded under a different code in one of the two books, so the real difference in what you would own is no larger than this and may be smaller. We do not name the individual positions here for that reason.
Top Shared Holdings
| Stock | Weight in QQQ | Weight in VBK | Difference |
|---|---|---|---|
| ALABAstera Labs Inc - Common | 0.24% | 1.02% | 0.78% |
You are not choosing between two funds in isolation.
Whichever of QQQ and VBK you pick has to sit alongside everything else you own. Add the rest and see what the combination actually holds.
Free for up to 10 holdings. No account needed.
Frequently Asked Questions
Which is cheaper, QQQ or VBK?
QQQ has an expense ratio of 0.18% while VBK charges 0.05%. VBK is the cheaper option, by $13 a year on a $10,000 investment.
Which performed better, QQQ or VBK?
Over the past year QQQ returned +22.10% vs +13.31% for VBK, so QQQ leads on 1-year performance. Over the longest common window we track (23 years), QQQ annualized +14.15% vs +9.06% for VBK. Past performance does not guarantee future results. This is information, not a recommendation.
Which is riskier, QQQ or VBK?
VBK has been the more volatile fund at 19.6% annualized versus 18.3% for QQQ. Worst drawdown: QQQ -53.5% vs VBK -59.4%.
Should I hold both QQQ and VBK?
QQQ and VBK have a monthly-return correlation of 0.86, so their returns are far enough apart for the mix to behave differently from either one alone. This is information, not a recommendation.
What is the holdings overlap between QQQ and VBK?
1.0% of VBK's money is in holdings QQQ also owns. 1.0% of VBK's is in holdings QQQ also owns. They hold 1 positions in common, counted across the 102 positions we hold weights for in QQQ and 542 in VBK.
Which pays a higher dividend, QQQ or VBK?
QQQ yields 0.44% while VBK yields 0.44%, so QQQ currently pays the higher dividend yield.
Is VBK better than QQQ?
VBK has a lower expense ratio. QQQ led over 1Y, 3Y, 5Y and the full window. VBK is less concentrated, with 9.1% of the fund in its ten largest positions against 46.5%. Which one suits a particular account depends on what it is for. This is information, not a recommendation.