QQQ vs VPU
Invesco QQQ Trust, Series 1 vs Vanguard Utilities ETF
Which is better, QQQ or VPU?
Large Cap Growth against Large Cap Value.
VPU has a lower expense ratio. QQQ led over 1Y, 3Y, 5Y and the full window. QQQ is less concentrated, with 46.5% of the fund in its ten largest positions against 52.3%.
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 | VPU |
|---|---|---|
| Expense Ratio | 0.18% | 0.09%Best |
| AUM | $483.5B | $10.5B |
| Dividend Yield | 0.44% | 2.83% |
| Holdings | 107 | 68 |
| YTD Return | +17.21%Best | -2.34% |
| 1Y Return | +22.10%Best | +1.26% |
| 3Y Return (annualized) | +25.27%Best | +12.10% |
| 5Y Return (annualized) | +14.60%Best | +7.78% |
| Volatility (annualized) | 18.3% | 13.9%Best |
| Max Drawdown | -53.5% | -48.4%Best |
| $10,000 over 5 years | $19,766Best | $14,544 |
| Top 10 Weight | 46.5%Best | 52.3% |
| Fund Family | Invesco (US) | Vanguard (US) |
| Category | Equity | Equity |
| Style | Large Cap Growth | Large Cap Value |
| 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 VPU 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 VPU Performance
Invesco QQQ Trust, Series 1 (QQQ) is an ETF from Invesco (US) and Vanguard Utilities ETF (VPU) is an ETF from Vanguard (US). Over the past year QQQ returned +22.10% while VPU returned +1.26%. Year to date, QQQ is up 17.21% versus a loss of 2.34% for VPU.
Over three years, QQQ compounded at +25.27% per year against +12.10% for VPU; over five years the annualized figures are +14.60% and +7.78% respectively. Across the full 23-year window we track, QQQ has the edge at +14.15% annualized vs +6.64%.
Past performance does not guarantee future results.
Risk: Volatility and Drawdowns
QQQ has been the more volatile fund, with annualized monthly volatility of 18.3% compared with 13.9% for VPU. 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 -48.4% for VPU. Drawdown depth is what each fund did in the worst stretch of the window measured above.
The two funds' monthly returns correlate at 0.38. They move together some of the time, and apart the rest.
Fees and Cost Over Time
QQQ charges 0.18% per year while VPU charges 0.09%. On a $10,000 position that is $18 vs $9 annually, a gap of $9 per year that compounds over a long holding period. On income, QQQ currently yields 0.44% against 2.83% for VPU.
Holdings Overlap
1.1% of QQQ's money is in holdings VPU also owns. 16.1% of VPU's money is in holdings QQQ also owns.
VPU and QQQ share little of their money.
4 positions in common, counted across the 102 positions we hold weights for in QQQ and 69 in VPU, against full books of 107 and 68.
What only one of them owns
Measured across the 102 and 69 positions we hold weights for.
QQQ holds 92 positions VPU does not, 96.4% of the fund.
Largest: NVDA 8.44%, AAPL 7.27%, MSFT 5.76%, AMZN 4.67%, MU 4.43%
You are not choosing between two funds in isolation.
Whichever of QQQ and VPU 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 VPU?
QQQ has an expense ratio of 0.18% while VPU charges 0.09%. VPU is the cheaper option, by $9 a year on a $10,000 investment.
Which performed better, QQQ or VPU?
Over the past year QQQ returned +22.10% vs +1.26% for VPU, so QQQ leads on 1-year performance. Over the longest common window we track (23 years), QQQ annualized +14.15% vs +6.64% for VPU. Past performance does not guarantee future results. This is information, not a recommendation.
Which is riskier, QQQ or VPU?
QQQ has been the more volatile fund at 18.3% annualized versus 13.9% for VPU. Worst drawdown: QQQ -53.5% vs VPU -48.4%.
Should I hold both QQQ and VPU?
QQQ and VPU have a monthly-return correlation of 0.38, 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 VPU?
16.1% of VPU's money is in holdings QQQ also owns. 16.1% of VPU's is in holdings QQQ also owns. They hold 4 positions in common, counted across the 102 positions we hold weights for in QQQ and 69 in VPU.
Which pays a higher dividend, QQQ or VPU?
QQQ yields 0.44% while VPU yields 2.83%, so VPU currently pays the higher dividend yield.
Is VPU better than QQQ?
VPU has a lower expense ratio. QQQ led over 1Y, 3Y, 5Y and the full window. QQQ is less concentrated, with 46.5% of the fund in its ten largest positions against 52.3%. Which one suits a particular account depends on what it is for. This is information, not a recommendation.