QQQM vs SCHD

QQQM vs SCHD

Which is better, QQQM or SCHD?

Large Cap Growth against Large Cap Value.

SCHD has a lower expense ratio. QQQM led over 3Y, 5Y and the full window, SCHD over 1Y. SCHD is less concentrated, with 41.8% of the fund in its ten largest positions against 46.3%.

Lower Fees: SCHDHigher Returns: splitLess Concentrated: SCHD

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

MetricQQQMSCHD
Expense Ratio0.15%0.06%Best
AUM$103.0B$112.1B
Dividend Yield0.46%3.00%
Holdings107103
YTD Return+17.23%+24.23%Best
1Y Return+22.15%+27.90%Best
3Y Return (annualized)+25.35%Best+15.55%
5Y Return (annualized)+14.67%Best+9.97%
Volatility (annualized)20.1%15.3%Best
Max Drawdown-35.0%-16.9%Best
$10,000 over 5 years$19,827Best$16,083
Top 10 Weight46.3%41.8%Best
Fund FamilyInvesco (US)Charles Schwab Asset Management
CategoryEquityEquity
StyleLarge Cap GrowthLarge Cap Value
InceptionOct 13, 2020Oct 20, 2011

Volatility and max drawdown are measured over the window both funds cover: Oct 13, 2020 to Sep 17, 2026 (5.9 years).

QQQM vs SCHD 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 5.9 years both funds cover.

QQQM vs SCHD Performance

Invesco NASDAQ 100 ETF (QQQM) is an ETF from Invesco (US) and Schwab US Dividend Equity ETF (SCHD) is an ETF from Charles Schwab Asset Management. Over the past year QQQM returned +22.15% while SCHD returned +27.90%. Year to date, QQQM is up 17.23% versus a gain of 24.23% for SCHD.

Over three years, QQQM compounded at +25.35% per year against +15.55% for SCHD; over five years the annualized figures are +14.67% and +9.97% respectively. Across the full 6-year window we track, QQQM has the edge at +16.90% annualized vs +13.45%.

Past performance does not guarantee future results.

Risk: Volatility and Drawdowns

QQQM has been the more volatile fund, with annualized monthly volatility of 20.1% compared with 15.3% for SCHD. 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 -35.0% for QQQM and -16.9% for SCHD. Drawdown depth is what each fund did in the worst stretch of the window measured above.

The two funds' monthly returns correlate at 0.47. They move together some of the time, and apart the rest.

Fees and Cost Over Time

QQQM charges 0.15% per year while SCHD charges 0.06%. On a $10,000 position that is $15 vs $6 annually, a gap of $9 per year that compounds over a long holding period. On income, QQQM currently yields 0.46% against 3.00% for SCHD.

Holdings Overlap

QQQM already in SCHD4.9%
SCHD already in QQQM21.5%

4.9% of QQQM's money is in holdings SCHD also owns. 21.5% of SCHD's money is in holdings QQQM also owns.

SCHD and QQQM share little of their money.

8 positions in common, counted across the 104 positions we hold weights for in QQQM and 100 in SCHD, against full books of 107 and 103.

What only one of them owns

Our book lists 91 positions for SCHD that do not appear in our book for QQQM (78.5% of the fund), and 90 for QQQM that do not appear in SCHD (89.4%).

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.

Top Shared Holdings

StockWeight in QQQMWeight in SCHDDifference
AMGNAmgen Inc.0.92%4.70%3.78%
PEPPepsico Inc.0.83%3.64%2.81%
TXNTexas Instrument Inc1.13%3.13%2.00%
QCOMQualcomm Inc.0.75%2.52%1.77%
ADPAutomatic Data Processing, Inc.0.47%2.79%2.32%
CMCSAComcast Corp-class A Cmcsa0.39%2.31%1.92%
FASTFastenal Co.0.25%1.38%1.13%
PAYXPaychex, Inc.0.19%1.00%0.81%

21.5% of SCHD is already inside QQQM.

You probably hold more than these two. Add the rest and see how much of the whole book is the same companies twice.

QQQMSCHD

Free for up to 10 holdings. No account needed.

Frequently Asked Questions

Which is cheaper, QQQM or SCHD?

QQQM has an expense ratio of 0.15% while SCHD charges 0.06%. SCHD is the cheaper option, by $9 a year on a $10,000 investment.

Which performed better, QQQM or SCHD?

Over the past year QQQM returned +22.15% vs +27.90% for SCHD, so SCHD leads on 1-year performance. Over the longest common window we track (6 years), QQQM annualized +16.90% vs +13.45% for SCHD. Past performance does not guarantee future results. This is information, not a recommendation.

Which is riskier, QQQM or SCHD?

QQQM has been the more volatile fund at 20.1% annualized versus 15.3% for SCHD. Worst drawdown: QQQM -35.0% vs SCHD -16.9%.

Should I hold both QQQM and SCHD?

QQQM and SCHD have a monthly-return correlation of 0.47, so their returns are far enough apart for the mix to behave differently from either one alone. This is information, not a recommendation.

What is the holdings overlap between QQQM and SCHD?

21.5% of SCHD's money is in holdings QQQM also owns. 21.5% of SCHD's is in holdings QQQM also owns. They hold 8 positions in common, counted across the 104 positions we hold weights for in QQQM and 100 in SCHD.

Which pays a higher dividend, QQQM or SCHD?

QQQM yields 0.46% while SCHD yields 3.00%, so SCHD currently pays the higher dividend yield.

Is SCHD better than QQQM?

SCHD has a lower expense ratio. QQQM led over 3Y, 5Y and the full window, SCHD over 1Y. SCHD is less concentrated, with 41.8% of the fund in its ten largest positions against 46.3%. Which one suits a particular account depends on what it is for. This is information, not a recommendation.