MOAT 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

MetricMOATQQQWinner
Expense Ratio0.46%0.18%
AUM$11.7B$455.8B
Dividend Yield1.35%0.41%
Holdings59108
YTD Return+7.53%+17.27%
1Y Return+14.98%+28.64%
3Y Return (annualized)+11.77%+24.88%
5Y Return (annualized)+9.01%+14.86%
Volatility (annualized)154573.1%30.6%
Max Drawdown-96.0%-83.0%
Fund FamilyVanEckInvesco (US)
CategoryEquityEquity
InceptionApr 24, 2012Mar 10, 1999

MOAT vs QQQ Performance

VanEck Morningstar Wide Moat ETF (MOAT) is a ETF from VanEck and Invesco QQQ Trust, Series 1 (QQQ) is a ETF from Invesco (US). Over the past year MOAT returned +14.98% while QQQ returned +28.64%. Year to date, MOAT is up 7.53% versus a gain of 17.27% for QQQ.

Over three years, MOAT compounded at +11.77% per year against +24.88% for QQQ; over five years the annualized figures are +9.01% and +14.86% respectively. Across the full 19-year window we track, MOAT has the edge at +52.38% annualized vs +13.08%. Past performance does not guarantee future results.

Risk: Volatility and Drawdowns

MOAT has been the more volatile fund, with annualized monthly volatility of 154573.1% compared with 30.6% 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 -96.0% for MOAT 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 -0.03. They move independently enough that combining them can meaningfully diversify a portfolio.

Fees and Cost Over Time

MOAT charges 0.46% per year while QQQ charges 0.18%. On a $10,000 position that is $46 vs $18 annually, a gap of $28 per year that compounds over a long holding period. On income, MOAT currently yields 1.35% against 0.41% for QQQ.

Holdings Overlap

16.2%overlap

MOAT and QQQ share 16 holdings out of 142 unique holdings combined, representing a 16.2% weight overlap.

Moderate overlap means holding both could provide meaningful diversification benefits.

Top Shared Holdings

StockWeight in MOATWeight in QQQDifference
NVDA2.56%7.88%5.32%
MSFT2.25%4.65%2.40%
AMZN1.31%4.26%2.95%
AVGOProProPro
METAProProPro
AMATProProPro
PANWProProPro
MDLZProProPro
ABNBProProPro
FTNTProProPro
See all 10 holdings MOAT 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, MOAT or QQQ?

MOAT has an expense ratio of 0.46% while QQQ charges 0.18%. QQQ is the cheaper option. On a $10,000 investment, that is $28 per year of difference.

Which performed better, MOAT or QQQ?

Over the past year MOAT returned +14.98% vs +28.64% for QQQ, so QQQ leads on 1-year performance. Over the longest common window we track (19 years), MOAT annualized +52.38% vs +13.08% for QQQ. Past performance does not guarantee future results.

Which is riskier, MOAT or QQQ?

MOAT has been the more volatile fund at 154573.1% annualized versus 30.6% for QQQ. Worst drawdown: MOAT -96.0% vs QQQ -83.0%.

Should I hold both MOAT and QQQ?

MOAT and QQQ have a monthly-return correlation of -0.03, so combining them can provide real diversification depending on your allocation goals.

What is the holdings overlap between MOAT and QQQ?

MOAT and QQQ share 16 common holdings with a 16.2% weight overlap. Combined, they hold 142 unique securities.

Which pays a higher dividend, MOAT or QQQ?

MOAT yields 1.35% while QQQ yields 0.41%, so MOAT currently pays the higher dividend yield.

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