QQQ vs XSHD
Invesco QQQ Trust, Series 1 vs Invesco S&P SmallCap High Dividend Low Volatility ETF
Which is better, QQQ or XSHD?
Large Cap Growth against Small Cap Value.
QQQ has a lower expense ratio. QQQ led over 1Y, 3Y, 5Y and the full window. XSHD is less concentrated, with 31.3% of the fund in its ten largest positions against 47.2%.
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 | XSHD |
|---|---|---|
| Expense Ratio | 0.18%Best | 0.30% |
| AUM | $498.6B | $64M |
| Dividend Yield | 0.42% | 4.83% |
| Holdings | 321 | 124 |
| YTD Return | +24.32%Best | -0.31% |
| 1Y Return | +25.59%Best | -2.16% |
| 3Y Return (annualized) | +28.30%Best | +0.58% |
| 5Y Return (annualized) | +16.83%Best | -5.47% |
| Volatility (annualized) | 19.2%Best | 21.6% |
| Max Drawdown | -35.1%Best | -49.5% |
| $10,000 over 5 years | $21,766Best | $7,548 |
| Top 10 Weight | 47.2% | 31.3%Best |
| Fund Family | Invesco (US) | Invesco (US) |
| Category | Equity | Equity |
| Style | Large Cap Growth | Small Cap Value |
| Inception | Mar 10, 1999 | Dec 1, 2016 |
Volatility and max drawdown are measured over the window both funds cover: Dec 1, 2016 to Oct 6, 2026 (9.8 years).
QQQ vs XSHD 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 XSHD Performance
Invesco QQQ Trust, Series 1 (QQQ) is an ETF from Invesco (US) and Invesco S&P SmallCap High Dividend Low Volatility ETF (XSHD) is an ETF from Invesco (US). Over the past year QQQ returned +25.59% while XSHD returned -2.16%. Year to date, QQQ is up 24.32% versus a loss of 0.31% for XSHD.
Over three years, QQQ compounded at +28.30% per year against +0.58% for XSHD; over five years the annualized figures are +16.83% and -5.47% respectively. Across the full 10-year window we track, QQQ has the edge at +21.50% annualized vs -1.40%.
Past performance does not guarantee future results.
Risk: Volatility and Drawdowns
XSHD has been the more volatile fund, with annualized monthly volatility of 21.6% compared with 19.2% 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 -49.5% for XSHD. Drawdown depth is what each fund did in the worst stretch of the window measured above.
The two funds' monthly returns correlate at 0.53. They move together some of the time, and apart the rest.
Fees and Cost Over Time
QQQ charges 0.18% per year while XSHD charges 0.30%. On a $10,000 position that is $18 vs $30 annually, a gap of $12 per year that compounds over a long holding period. On income, QQQ currently yields 0.42% against 4.83% for XSHD.
Holdings Overlap
We hold position weights for 102 holdings in QQQ and 60 in XSHD, totalling 99.9% and 100.0% of the two funds. The two books name no position in common, so there is no overlap percentage to show.
0 positions in common, counted across the 102 positions we hold weights for in QQQ and 60 in XSHD, against full books of 321 and 124.
What only one of them owns
Our book lists 59 positions for XSHD that do not appear in our book for QQQ (98.3% of the fund), and 96 for QQQ that do not appear in XSHD (97.8%).
Some of those will be the same company recorded under a different code in one of the two books, so the real difference in what you would own is no larger than this and may be smaller. We do not name the individual positions here for that reason.
You are not choosing between two funds in isolation.
Whichever of QQQ and XSHD 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 XSHD?
QQQ has an expense ratio of 0.18% while XSHD charges 0.30%. QQQ is the cheaper option, by $12 a year on a $10,000 investment.
Which performed better, QQQ or XSHD?
Over the past year QQQ returned +25.59% vs -2.16% for XSHD, so QQQ leads on 1-year performance. Over the longest common window we track (10 years), QQQ annualized +21.50% vs -1.40% for XSHD. Past performance does not guarantee future results. This is information, not a recommendation.
Which is riskier, QQQ or XSHD?
XSHD has been the more volatile fund at 21.6% annualized versus 19.2% for QQQ. Worst drawdown: QQQ -35.1% vs XSHD -49.5%.
Should I hold both QQQ and XSHD?
QQQ and XSHD have a monthly-return correlation of 0.53, 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 XSHD?
QQQ yields 0.42% while XSHD yields 4.83%, so XSHD currently pays the higher dividend yield.
Is XSHD better than QQQ?
QQQ has a lower expense ratio. QQQ led over 1Y, 3Y, 5Y and the full window. XSHD is less concentrated, with 31.3% of the fund in its ten largest positions against 47.2%. Which one suits a particular account depends on what it is for. This is information, not a recommendation.