QQQ vs VWO
Invesco QQQ Trust, Series 1 vs Vanguard FTSE Emerging Markets ETF
Which is better, QQQ or VWO?
Large Cap Growth against Large Cap Blend.
VWO has a lower expense ratio. QQQ led over 1Y, 3Y, 5Y and the full window.
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 | VWO |
|---|---|---|
| Expense Ratio | 0.18% | 0.06%Best |
| AUM | $483.5B | $122.0B |
| Dividend Yield | 0.44% | 2.29% |
| Holdings | 107 | 6,334 |
| YTD Return | +16.87%Best | +10.00% |
| 1Y Return | +22.98%Best | +15.58% |
| 3Y Return (annualized) | +24.98%Best | +17.69% |
| 5Y Return (annualized) | +14.39%Best | +6.01% |
| Volatility (annualized) | 18.4%Best | 20.1% |
| Max Drawdown | -53.5%Best | -68.3% |
| $10,000 over 5 years | $19,586Best | $13,389 |
| Fund Family | Invesco (US) | Vanguard (US) |
| Category | Equity | Equity |
| Style | Large Cap Growth | Large Cap Blend |
| Inception | Mar 10, 1999 | Mar 4, 2005 |
Not shown on this pair: Top 10 Weight.
Volatility and max drawdown are measured over the window both funds cover: Mar 10, 2005 to Sep 11, 2026 (21.5 years).
QQQ vs VWO 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 is available from the range buttons; it is not the opening view here because over the whole period one of these two funds moves so much further than the other that its line would sit flat on the axis.
QQQ vs VWO Performance
Invesco QQQ Trust, Series 1 (QQQ) is an ETF from Invesco (US) and Vanguard FTSE Emerging Markets ETF (VWO) is an ETF from Vanguard (US). Over the past year QQQ returned +22.98% while VWO returned +15.58%. Year to date, QQQ is up 16.87% versus a gain of 10.00% for VWO.
Over three years, QQQ compounded at +24.98% per year against +17.69% for VWO; over five years the annualized figures are +14.39% and +6.01% respectively. Across the full 22-year window we track, QQQ has the edge at +14.86% annualized vs +4.96%.
Past performance does not guarantee future results.
Risk: Volatility and Drawdowns
VWO has been the more volatile fund, with annualized monthly volatility of 20.1% compared with 18.4% 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 -68.3% for VWO. Drawdown depth is what each fund did in the worst stretch of the window measured above.
The two funds' monthly returns correlate at 0.68. They move together some of the time, and apart the rest.
Fees and Cost Over Time
QQQ charges 0.18% per year while VWO charges 0.06%. On a $10,000 position that is $18 vs $6 annually, a gap of $12 per year that compounds over a long holding period. On income, QQQ currently yields 0.44% against 2.29% for VWO.
Holdings Overlap
At least 0.3% of QQQ's money is in holdings VWO also owns.
Stated as a floor: for VWO, our book for it covers 88.0% of that fund, so a holding it does not list is one we cannot count as shared. The real figure is this or higher.
We cannot see either book well enough to say how much of this pair is duplicated.
1 positions in common, counted across the 102 positions we hold weights for in QQQ and 4,694 in VWO, against full books of 107 and 6,334.
Top Shared Holdings
| Stock | Weight in QQQ | Weight in VWO | Difference |
|---|---|---|---|
| PDD:IEPdd Holdings Inc | 0.27% | 0.48% | 0.21% |
You are not choosing between two funds in isolation.
Whichever of QQQ and VWO 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 VWO?
QQQ has an expense ratio of 0.18% while VWO charges 0.06%. VWO is the cheaper option, by $12 a year on a $10,000 investment.
Which performed better, QQQ or VWO?
Over the past year QQQ returned +22.98% vs +15.58% for VWO, so QQQ leads on 1-year performance. Over the longest common window we track (22 years), QQQ annualized +14.86% vs +4.96% for VWO. Past performance does not guarantee future results. This is information, not a recommendation.
Which is riskier, QQQ or VWO?
VWO has been the more volatile fund at 20.1% annualized versus 18.4% for QQQ. Worst drawdown: QQQ -53.5% vs VWO -68.3%.
Should I hold both QQQ and VWO?
QQQ and VWO have a monthly-return correlation of 0.68, 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 VWO?
QQQ yields 0.44% while VWO yields 2.29%, so VWO currently pays the higher dividend yield.
Is VWO better than QQQ?
VWO 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.