QQQ vs XOMO

QQQ vs XOMO
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Quick Verdict

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

Lower Fees: QQQHigher Returns: XOMOMore Diversified: QQQ

Side-by-Side Comparison

MetricQQQXOMOWinner
Expense Ratio0.18%1.25%
AUM$496.3B$39M
Dividend Yield0.44%37.71%
Holdings10813
YTD Return+16.64%+23.24%
1Y Return+27.27%+35.16%
3Y Return (annualized)+25.96%+9.09%
5Y Return (annualized)+14.54%-
Volatility (annualized)30.6%17.5%
Max Drawdown-83.0%-18.9%
Fund FamilyInvesco (US)YieldMax ETF
CategoryEquityAlternative
InceptionMar 10, 1999Aug 30, 2023

QQQ vs XOMO Performance

Invesco QQQ Trust, Series 1 (QQQ) is a ETF from Invesco (US) and YieldMax XOM Option Income Strategy ETF (XOMO) is a ETF from YieldMax ETF. Over the past year QQQ returned +27.27% while XOMO returned +35.16%. Year to date, QQQ is up 16.64% versus a gain of 23.24% for XOMO.

Over three years, QQQ compounded at +25.96% per year against +9.09% for XOMO. Across the full 3-year window we track, QQQ has the edge at +13.03% annualized vs +9.09%. 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 17.5% for XOMO. 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 -18.9% for XOMO. 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 -0.41. They move independently enough that combining them can meaningfully diversify a portfolio.

Fees and Cost Over Time

QQQ charges 0.18% per year while XOMO charges 1.25%. On a $10,000 position that is $18 vs $125 annually, a gap of $107 per year that compounds over a long holding period. On income, QQQ currently yields 0.44% against 37.71% for XOMO.

Holdings Overlap

0.0%overlap

QQQ and XOMO share 0 holdings out of 105 unique holdings combined, representing a 0.0% weight overlap.

Moderate overlap means holding both could provide meaningful diversification benefits.

Frequently Asked Questions

Which is cheaper, QQQ or XOMO?

QQQ has an expense ratio of 0.18% while XOMO charges 1.25%. QQQ is the cheaper option. On a $10,000 investment, that is $107 per year of difference.

Which performed better, QQQ or XOMO?

Over the past year QQQ returned +27.27% vs +35.16% for XOMO, so XOMO leads on 1-year performance. Over the longest common window we track (3 years), QQQ annualized +13.03% vs +9.09% for XOMO. Past performance does not guarantee future results.

Which is riskier, QQQ or XOMO?

QQQ has been the more volatile fund at 30.6% annualized versus 17.5% for XOMO. Worst drawdown: QQQ -83.0% vs XOMO -18.9%.

Should I hold both QQQ and XOMO?

QQQ and XOMO have a monthly-return correlation of -0.41, so combining them can provide real diversification depending on your allocation goals.

What is the holdings overlap between QQQ and XOMO?

QQQ and XOMO share 0 common holdings with a 0.0% weight overlap. Combined, they hold 105 unique securities.

Which pays a higher dividend, QQQ or XOMO?

QQQ yields 0.44% while XOMO yields 37.71%, so XOMO currently pays the higher dividend yield.

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