QQQ vs VPC

QQQ vs VPC

Which is better, QQQ or VPC?

Large Cap Growth against Preferred Stock.

QQQ has a lower expense ratio. QQQ led over 1Y, 3Y, 5Y and the full window.

Lower Fees: QQQHigher Returns: QQQ

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

MetricQQQVPC
Expense Ratio0.18%Best10.60%
AUM$486.1B$30M
Dividend Yield0.44%16.43%
Holdings10759
YTD Return+17.33%Best-6.64%
1Y Return+26.50%Best-12.37%
3Y Return (annualized)+24.58%Best+1.05%
5Y Return (annualized)+14.15%Best+1.67%
Volatility (annualized)20.3%Best20.4%
Max Drawdown-35.1%Best-55.3%
$10,000 over 5 years$19,381Best$10,863
Fund FamilyInvesco (US)Virtus Investment Partners
CategoryEquityAllocation/Balanced
StyleLarge Cap GrowthPreferred Stock
InceptionMar 10, 1999Feb 7, 2019

Not shown on this pair: Top 10 Weight.

Volatility and max drawdown are measured over the window both funds cover: Feb 8, 2019 to Sep 3, 2026 (7.6 years).

QQQ vs VPC 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 7.6 years both funds cover.

QQQ vs VPC Performance

Invesco QQQ Trust, Series 1 (QQQ) is an ETF from Invesco (US) and Virtus Private Credit Strategy ETF (VPC) is an ETF from Virtus Investment Partners. Over the past year QQQ returned +26.50% while VPC returned -12.37%. Year to date, QQQ is up 17.33% versus a loss of 6.64% for VPC.

Over three years, QQQ compounded at +24.58% per year against +1.05% for VPC; over five years the annualized figures are +14.15% and +1.67% respectively. Across the full 8-year window we track, QQQ has the edge at +21.62% annualized vs +1.80%.

Past performance does not guarantee future results.

Risk: Volatility and Drawdowns

VPC has been the more volatile fund, with annualized monthly volatility of 20.4% compared with 20.3% 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 -35.1% for QQQ and -55.3% for VPC. Drawdown depth is what each fund did in the worst stretch of the window measured above.

The two funds' monthly returns correlate at 0.57. They move together some of the time, and apart the rest.

Fees and Cost Over Time

QQQ charges 0.18% per year while VPC charges 10.60%. On a $10,000 position that is $18 vs $1060 annually, a gap of $1042 per year that compounds over a long holding period. On income, QQQ currently yields 0.44% against 16.43% for VPC.

Holdings Overlap

We hold position weights for 102 holdings in QQQ and 58 in VPC, totalling 99.9% and 94.5% of the two funds. The two books name no position in common, so there is no overlap percentage to show.

0 positions in common, counted across the 102 positions we hold weights for in QQQ and 58 in VPC, against full books of 107 and 59.

You are not choosing between two funds in isolation.

Whichever of QQQ and VPC you pick has to sit alongside everything else you own. Add the rest and see what the combination actually holds.

QQQVPC

Free for up to 10 holdings. No account needed.

Frequently Asked Questions

Which is cheaper, QQQ or VPC?

QQQ has an expense ratio of 0.18% while VPC charges 10.60%. QQQ is the cheaper option, by $1042 a year on a $10,000 investment.

Which performed better, QQQ or VPC?

Over the past year QQQ returned +26.50% vs -12.37% for VPC, so QQQ leads on 1-year performance. Over the longest common window we track (8 years), QQQ annualized +21.62% vs +1.80% for VPC. Past performance does not guarantee future results. This is information, not a recommendation.

Which is riskier, QQQ or VPC?

VPC has been the more volatile fund at 20.4% annualized versus 20.3% for QQQ. Worst drawdown: QQQ -35.1% vs VPC -55.3%.

Should I hold both QQQ and VPC?

QQQ and VPC have a monthly-return correlation of 0.57, so their returns are far enough apart for the mix to behave differently from either one alone. This is information, not a recommendation.

Which pays a higher dividend, QQQ or VPC?

QQQ yields 0.44% while VPC yields 16.43%, so VPC currently pays the higher dividend yield.

Is VPC better than QQQ?

QQQ has a lower expense ratio. QQQ led over 1Y, 3Y, 5Y and the full window. Which one suits a particular account depends on what it is for. This is information, not a recommendation.