QQQ vs XBOC

QQQ vs XBOC
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Quick Verdict

QQQ has a lower expense ratio. QQQ delivered stronger 1-year returns. QQQ offers more diversification with 108 holdings.

Lower Fees: QQQHigher Returns: QQQMore Diversified: QQQ

Side-by-Side Comparison

MetricQQQXBOCWinner
Expense Ratio0.18%0.79%
AUM$496.3B$66M
Dividend Yield0.44%0.00%
Holdings1087
YTD Return+16.64%+7.75%
1Y Return+27.27%+11.59%
3Y Return (annualized)+25.96%+11.71%
5Y Return (annualized)+14.54%+8.56%
Volatility (annualized)30.6%8.3%
Max Drawdown-83.0%-13.3%
Fund FamilyInvesco (US)Innovator ETFs Trust
CategoryEquityAlternative
InceptionMar 10, 1999Oct 1, 2021

QQQ vs XBOC Performance

Invesco QQQ Trust, Series 1 (QQQ) is a ETF from Invesco (US) and Innovator US Equity Accelerated 9 Buffer ETF - October (XBOC) is a ETF from Innovator ETFs Trust. Over the past year QQQ returned +27.27% while XBOC returned +11.59%. Year to date, QQQ is up 16.64% versus a gain of 7.75% for XBOC.

Over three years, QQQ compounded at +25.96% per year against +11.71% for XBOC; over five years the annualized figures are +14.54% and +8.56% respectively. Across the full 5-year window we track, QQQ has the edge at +13.03% annualized vs +8.56%. 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 8.3% for XBOC. 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 -13.3% for XBOC. 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 0.86. They usually move together, but the gap leaves some room for diversification.

Fees and Cost Over Time

QQQ charges 0.18% per year while XBOC charges 0.79%. On a $10,000 position that is $18 vs $79 annually, a gap of $61 per year that compounds over a long holding period. On income, QQQ currently yields 0.44% against 0.00% for XBOC.

Frequently Asked Questions

Which is cheaper, QQQ or XBOC?

QQQ has an expense ratio of 0.18% while XBOC charges 0.79%. QQQ is the cheaper option. On a $10,000 investment, that is $61 per year of difference.

Which performed better, QQQ or XBOC?

Over the past year QQQ returned +27.27% vs +11.59% for XBOC, so QQQ leads on 1-year performance. Over the longest common window we track (5 years), QQQ annualized +13.03% vs +8.56% for XBOC. Past performance does not guarantee future results.

Which is riskier, QQQ or XBOC?

QQQ has been the more volatile fund at 30.6% annualized versus 8.3% for XBOC. Worst drawdown: QQQ -83.0% vs XBOC -13.3%.

Should I hold both QQQ and XBOC?

QQQ and XBOC have a monthly-return correlation of 0.86, so combining them can provide real diversification depending on your allocation goals.

Which pays a higher dividend, QQQ or XBOC?

QQQ yields 0.44% while XBOC yields 0.00%, so QQQ currently pays the higher dividend yield.

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