HYLB vs QQQ

Quick Verdict

HYLB has a lower expense ratio. QQQ delivered stronger 1-year returns. HYLB offers more diversification with 1053 holdings.

Lower Fees: HYLBHigher Returns: QQQMore Diversified: HYLB

Side-by-Side Comparison

MetricHYLBQQQWinner
Expense Ratio0.05%0.18%
AUM$3.5B$455.8B
Dividend Yield6.47%0.41%
Holdings1,268108
YTD Return+1.85%+18.20%
1Y Return+5.07%+27.63%
3Y Return (annualized)+8.28%+25.54%
5Y Return (annualized)+3.99%+15.12%
Volatility (annualized)7.4%30.6%
Max Drawdown-24.7%-83.0%
Fund FamilyXtrackers ETFsInvesco (US)
CategoryFixed IncomeEquity
InceptionDec 6, 2016Mar 10, 1999

HYLB vs QQQ Performance

Xtrackers USD High Yield Corporate Bond ETF (HYLB) is a ETF from Xtrackers ETFs and Invesco QQQ Trust, Series 1 (QQQ) is a ETF from Invesco (US). Over the past year HYLB returned +5.07% while QQQ returned +27.63%. Year to date, HYLB is up 1.85% versus a gain of 18.20% for QQQ.

Over three years, HYLB compounded at +8.28% per year against +25.54% for QQQ; over five years the annualized figures are +3.99% and +15.12% respectively. Across the full 10-year window we track, QQQ has the edge at +13.11% annualized vs +2.18%. 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 7.4% for HYLB. 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 -24.7% for HYLB and -83.0% for QQQ. 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 0.70. They usually move together, but the gap leaves some room for diversification.

Fees and Cost Over Time

HYLB charges 0.05% per year while QQQ charges 0.18%. On a $10,000 position that is $5 vs $18 annually, a gap of $13 per year that compounds over a long holding period. On income, HYLB currently yields 6.47% against 0.41% for QQQ.

Holdings Overlap

0.0%overlap

HYLB and QQQ share 0 holdings out of 1156 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, HYLB or QQQ?

HYLB has an expense ratio of 0.05% while QQQ charges 0.18%. HYLB is the cheaper option. On a $10,000 investment, that is $13 per year of difference.

Which performed better, HYLB or QQQ?

Over the past year HYLB returned +5.07% vs +27.63% for QQQ, so QQQ leads on 1-year performance. Over the longest common window we track (10 years), HYLB annualized +2.18% vs +13.11% for QQQ. Past performance does not guarantee future results.

Which is riskier, HYLB or QQQ?

QQQ has been the more volatile fund at 30.6% annualized versus 7.4% for HYLB. Worst drawdown: HYLB -24.7% vs QQQ -83.0%.

Should I hold both HYLB and QQQ?

HYLB and QQQ have a monthly-return correlation of 0.70, so combining them can provide real diversification depending on your allocation goals.

What is the holdings overlap between HYLB and QQQ?

HYLB and QQQ share 0 common holdings with a 0.0% weight overlap. Combined, they hold 1156 unique securities.

Which pays a higher dividend, HYLB or QQQ?

HYLB yields 6.47% while QQQ yields 0.41%, so HYLB currently pays the higher dividend yield.

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