LGI vs QQQ

Quick Verdict

QQQ has a lower expense ratio. QQQ delivered stronger 1-year returns. QQQ offers more diversification with 103 holdings.

Lower Fees: QQQHigher Returns: QQQMore Diversified: QQQ

Side-by-Side Comparison

MetricLGIQQQWinner
Expense Ratio1.72%0.18%
AUM-$455.8B
Dividend Yield9.83%0.41%
Holdings108108
YTD Return+11.07%+18.34%
1Y Return+20.02%+28.94%
3Y Return (annualized)+16.73%+25.28%
5Y Return (annualized)+6.98%+15.22%
Volatility (annualized)19.5%30.6%
Max Drawdown-67.2%-83.0%
Fund FamilyLazard Asset ManagementInvesco (US)
CategoryEquityEquity
InceptionApr 28, 2004Mar 10, 1999

LGI vs QQQ Performance

Lazard Global Total Return and Income Fund (LGI) is a ETF from Lazard Asset Management and Invesco QQQ Trust, Series 1 (QQQ) is a ETF from Invesco (US). Over the past year LGI returned +20.02% while QQQ returned +28.94%. Year to date, LGI is up 11.07% versus a gain of 18.34% for QQQ.

Over three years, LGI compounded at +16.73% per year against +25.28% for QQQ; over five years the annualized figures are +6.98% and +15.22% respectively. Across the full 22-year window we track, QQQ has the edge at +13.12% annualized vs +1.90%. 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 19.5% for LGI. 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 -67.2% for LGI 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 0.76. They usually move together, but the gap leaves some room for diversification.

Fees and Cost Over Time

LGI charges 1.72% per year while QQQ charges 0.18%. On a $10,000 position that is $172 vs $18 annually, a gap of $154 per year that compounds over a long holding period. On income, LGI currently yields 9.83% against 0.41% for QQQ.

Holdings Overlap

14.7%overlap

LGI and QQQ share 6 holdings out of 165 unique holdings combined, representing a 14.7% weight overlap.

Moderate overlap means holding both could provide meaningful diversification benefits.

Top Shared Holdings

StockWeight in LGIWeight in QQQDifference
AAPL4.69%7.46%2.77%
MSFT3.10%4.65%1.55%
AMZN3.00%4.26%1.26%
GOOGLProProPro
METAProProPro
KLACProProPro
See all 6 holdings LGI shares with QQQ
Exact weights in each fund and the difference, for every overlapping position.
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Frequently Asked Questions

Which is cheaper, LGI or QQQ?

LGI has an expense ratio of 1.72% while QQQ charges 0.18%. QQQ is the cheaper option. On a $10,000 investment, that is $154 per year of difference.

Which performed better, LGI or QQQ?

Over the past year LGI returned +20.02% vs +28.94% for QQQ, so QQQ leads on 1-year performance. Over the longest common window we track (22 years), LGI annualized +1.90% vs +13.12% for QQQ. Past performance does not guarantee future results.

Which is riskier, LGI or QQQ?

QQQ has been the more volatile fund at 30.6% annualized versus 19.5% for LGI. Worst drawdown: LGI -67.2% vs QQQ -83.0%.

Should I hold both LGI and QQQ?

LGI and QQQ have a monthly-return correlation of 0.76, so combining them can provide real diversification depending on your allocation goals.

What is the holdings overlap between LGI and QQQ?

LGI and QQQ share 6 common holdings with a 14.7% weight overlap. Combined, they hold 165 unique securities.

Which pays a higher dividend, LGI or QQQ?

LGI yields 9.83% while QQQ yields 0.41%, so LGI currently pays the higher dividend yield.

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