QQQ vs XPAY

QQQ vs XPAY
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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

MetricQQQXPAYWinner
Expense Ratio0.18%0.49%
AUM$496.3B$177M
Dividend Yield0.44%21.06%
Holdings10816
YTD Return+16.23%+11.80%
1Y Return+26.23%+19.97%
3Y Return (annualized)+25.75%-
5Y Return (annualized)+14.78%-
Volatility (annualized)30.6%13.3%
Max Drawdown-83.0%-18.2%
Fund FamilyInvesco (US)Roundhill Investments
CategoryEquityEquity
InceptionMar 10, 1999Oct 31, 2024

QQQ vs XPAY Performance

Invesco QQQ Trust, Series 1 (QQQ) is a ETF from Invesco (US) and Roundhill S&P 500 Target 20 Managed Distribution ETF (XPAY) is a ETF from Roundhill Investments. Over the past year QQQ returned +26.23% while XPAY returned +19.97%. Year to date, QQQ is up 16.23% versus a gain of 11.80% for XPAY.

Risk: Volatility and Drawdowns

QQQ has been the more volatile fund, with annualized monthly volatility of 30.6% compared with 13.3% for XPAY. 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 -18.2% for XPAY. 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 0.92. They move almost in lockstep, so holding both mostly duplicates the same exposure.

Fees and Cost Over Time

QQQ charges 0.18% per year while XPAY charges 0.49%. On a $10,000 position that is $18 vs $49 annually, a gap of $31 per year that compounds over a long holding period. On income, QQQ currently yields 0.44% against 21.06% for XPAY.

Holdings Overlap

0.0%overlap

QQQ and XPAY share 0 holdings out of 103 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 XPAY?

QQQ has an expense ratio of 0.18% while XPAY charges 0.49%. QQQ is the cheaper option. On a $10,000 investment, that is $31 per year of difference.

Which performed better, QQQ or XPAY?

Over the past year QQQ returned +26.23% vs +19.97% for XPAY, so QQQ leads on 1-year performance. Over the longest common window we track (2 years), QQQ annualized +13.02% vs +18.13% for XPAY. Past performance does not guarantee future results.

Which is riskier, QQQ or XPAY?

QQQ has been the more volatile fund at 30.6% annualized versus 13.3% for XPAY. Worst drawdown: QQQ -83.0% vs XPAY -18.2%.

Should I hold both QQQ and XPAY?

QQQ and XPAY have a monthly-return correlation of 0.92, so they move almost identically. Holding both adds little diversification - most investors pick one, usually on fees or the specific index tracked.

What is the holdings overlap between QQQ and XPAY?

QQQ and XPAY share 0 common holdings with a 0.0% weight overlap. Combined, they hold 103 unique securities.

Which pays a higher dividend, QQQ or XPAY?

QQQ yields 0.44% while XPAY yields 21.06%, so XPAY currently pays the higher dividend yield.

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