QQQ vs VNQI
Invesco QQQ Trust, Series 1 vs Vanguard Global ex-US Real Estate ETF
Quick Verdict
VNQI has a lower expense ratio. QQQ delivered stronger 1-year returns. VNQI offers more diversification with 747 holdings.
Side-by-Side Comparison
| Metric | QQQ | VNQI | Winner |
|---|---|---|---|
| Expense Ratio | 0.18% | 0.12% | |
| AUM | $496.3B | $3.9B | |
| Dividend Yield | 0.44% | 4.62% | |
| Holdings | 108 | 747 | |
| YTD Return | +16.64% | -0.67% | |
| 1Y Return | +27.27% | +1.55% | |
| 3Y Return (annualized) | +25.96% | +9.87% | |
| 5Y Return (annualized) | +14.54% | -0.99% | |
| Volatility (annualized) | 30.6% | 16.3% | |
| Max Drawdown | -83.0% | -38.4% | |
| Fund Family | Invesco (US) | Vanguard (US) | |
| Category | Equity | Equity | |
| Inception | Mar 10, 1999 | Nov 1, 2010 |
QQQ vs VNQI Performance
Invesco QQQ Trust, Series 1 (QQQ) is a ETF from Invesco (US) and Vanguard Global ex-US Real Estate ETF (VNQI) is a ETF from Vanguard (US). Over the past year QQQ returned +27.27% while VNQI returned +1.55%. Year to date, QQQ is up 16.64% versus a loss of 0.67% for VNQI.
Over three years, QQQ compounded at +25.96% per year against +9.87% for VNQI; over five years the annualized figures are +14.54% and -0.99% respectively. Across the full 16-year window we track, QQQ has the edge at +13.03% annualized vs +3.36%. 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 16.3% for VNQI. 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 -38.4% for VNQI. 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 0.56. They move independently enough that combining them can meaningfully diversify a portfolio.
Fees and Cost Over Time
QQQ charges 0.18% per year while VNQI charges 0.12%. On a $10,000 position that is $18 vs $12 annually, a gap of $6 per year that compounds over a long holding period. On income, QQQ currently yields 0.44% against 4.62% for VNQI.
Holdings Overlap
QQQ and VNQI share 0 holdings out of 808 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 VNQI?
QQQ has an expense ratio of 0.18% while VNQI charges 0.12%. VNQI is the cheaper option. On a $10,000 investment, that is $6 per year of difference.
Which performed better, QQQ or VNQI?
Over the past year QQQ returned +27.27% vs +1.55% for VNQI, so QQQ leads on 1-year performance. Over the longest common window we track (16 years), QQQ annualized +13.03% vs +3.36% for VNQI. Past performance does not guarantee future results.
Which is riskier, QQQ or VNQI?
QQQ has been the more volatile fund at 30.6% annualized versus 16.3% for VNQI. Worst drawdown: QQQ -83.0% vs VNQI -38.4%.
Should I hold both QQQ and VNQI?
QQQ and VNQI have a monthly-return correlation of 0.56, so combining them can provide real diversification depending on your allocation goals.
What is the holdings overlap between QQQ and VNQI?
QQQ and VNQI share 0 common holdings with a 0.0% weight overlap. Combined, they hold 808 unique securities.
Which pays a higher dividend, QQQ or VNQI?
QQQ yields 0.44% while VNQI yields 4.62%, so VNQI 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.