QQQ vs XFLT
Invesco QQQ Trust, Series 1 vs XAI Octagon Floating Rate & Alternative Income Trust
Which is better, QQQ or XFLT?
Large Cap Growth against Bank Loan.
QQQ 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 | XFLT |
|---|---|---|
| Expense Ratio | 0.18%Best | 6.29% |
| AUM | $483.5B | $347M |
| Dividend Yield | 0.44% | 15.04% |
| Holdings | 107 | 509 |
| YTD Return | +16.87%Best | -0.94% |
| 1Y Return | +22.98%Best | -11.58% |
| 3Y Return (annualized) | +24.98%Best | -1.64% |
| 5Y Return (annualized) | +14.39%Best | -0.52% |
| Volatility (annualized) | 19.9%Best | 25.6% |
| Max Drawdown | -35.1%Best | -64.6% |
| $10,000 over 5 years | $19,586Best | $9,743 |
| Fund Family | Invesco (US) | XA Investments LLC |
| Category | Equity | Fixed Income |
| Style | Large Cap Growth | Bank Loan |
| Inception | Mar 10, 1999 | Sep 27, 2017 |
Not shown on this pair: Top 10 Weight.
Volatility and max drawdown are measured over the window both funds cover: Sep 27, 2017 to Sep 11, 2026 (9 years).
QQQ vs XFLT 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 9 years both funds cover.
QQQ vs XFLT Performance
Invesco QQQ Trust, Series 1 (QQQ) is an ETF from Invesco (US) and XAI Octagon Floating Rate & Alternative Income Trust (XFLT) is an ETF from XA Investments LLC. Over the past year QQQ returned +22.98% while XFLT returned -11.58%. Year to date, QQQ is up 16.87% versus a loss of 0.94% for XFLT.
Over three years, QQQ compounded at +24.98% per year against -1.64% for XFLT; over five years the annualized figures are +14.39% and -0.52% respectively. Across the full 9-year window we track, QQQ has the edge at +19.98% annualized vs -1.22%.
Past performance does not guarantee future results.
Risk: Volatility and Drawdowns
XFLT has been the more volatile fund, with annualized monthly volatility of 25.6% compared with 19.9% 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 -64.6% for XFLT. Drawdown depth is what each fund did in the worst stretch of the window measured above.
The two funds' monthly returns correlate at 0.37. They move together some of the time, and apart the rest.
Fees and Cost Over Time
QQQ charges 0.18% per year while XFLT charges 6.29%. On a $10,000 position that is $18 vs $629 annually, a gap of $611 per year that compounds over a long holding period. On income, QQQ currently yields 0.44% against 15.04% for XFLT.
Holdings Overlap
We hold position weights for 102 holdings in QQQ and 150 in XFLT, totalling 99.9% and 46.3% of the two funds. The two books name no position in common, so there is no overlap percentage to show.
The two holdings books were reported 127 days apart, QQQ as of Aug 5, 2026 and XFLT as of Mar 31, 2026, so some of the difference between them is the time between the two reports rather than the funds.
0 positions in common, counted across the 102 positions we hold weights for in QQQ and 150 in XFLT, against full books of 107 and 509.
You are not choosing between two funds in isolation.
Whichever of QQQ and XFLT 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 XFLT?
QQQ has an expense ratio of 0.18% while XFLT charges 6.29%. QQQ is the cheaper option, by $611 a year on a $10,000 investment.
Which performed better, QQQ or XFLT?
Over the past year QQQ returned +22.98% vs -11.58% for XFLT, so QQQ leads on 1-year performance. Over the longest common window we track (9 years), QQQ annualized +19.98% vs -1.22% for XFLT. Past performance does not guarantee future results. This is information, not a recommendation.
Which is riskier, QQQ or XFLT?
XFLT has been the more volatile fund at 25.6% annualized versus 19.9% for QQQ. Worst drawdown: QQQ -35.1% vs XFLT -64.6%.
Should I hold both QQQ and XFLT?
QQQ and XFLT have a monthly-return correlation of 0.37, 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 XFLT?
QQQ yields 0.44% while XFLT yields 15.04%, so XFLT currently pays the higher dividend yield.
Is XFLT 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.