MODL vs QQQ

Quick Verdict

QQQ has a lower expense ratio. QQQ delivered stronger 1-year returns. MODL offers more diversification with 368 holdings.

Lower Fees: QQQHigher Returns: QQQMore Diversified: MODL

Side-by-Side Comparison

MetricMODLQQQWinner
Expense Ratio0.46%0.18%
AUM$1.0B$455.8B
Dividend Yield0.71%0.41%
Holdings371108
YTD Return+11.63%+18.20%
1Y Return+21.53%+27.63%
3Y Return (annualized)+20.25%+25.54%
5Y Return (annualized)-+15.12%
Volatility (annualized)12.4%30.6%
Max Drawdown-17.6%-83.0%
Fund FamilyVictory Capital Management Inc.Invesco (US)
CategoryEquityEquity
InceptionOct 11, 2022Mar 10, 1999

MODL vs QQQ Performance

VictoryShares WestEnd US Sector ETF (MODL) is a ETF from Victory Capital Management Inc. and Invesco QQQ Trust, Series 1 (QQQ) is a ETF from Invesco (US). Over the past year MODL returned +21.53% while QQQ returned +27.63%. Year to date, MODL is up 11.63% versus a gain of 18.20% for QQQ.

Over three years, MODL compounded at +20.25% per year against +25.54% for QQQ. Across the full 4-year window we track, MODL has the edge at +22.88% annualized vs +13.11%. 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 12.4% for MODL. 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 -17.6% for MODL 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 0.90. They move almost in lockstep, so holding both mostly duplicates the same exposure.

Fees and Cost Over Time

MODL 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, MODL currently yields 0.71% against 0.41% for QQQ.

Holdings Overlap

48.9%overlap

MODL and QQQ share 79 holdings out of 392 unique holdings combined, representing a 48.9% weight overlap.

Moderate overlap means holding both could provide meaningful diversification benefits.

Top Shared Holdings

StockWeight in MODLWeight in QQQDifference
NVDA6.66%7.88%1.22%
AAPL5.57%7.46%1.89%
GOOGL5.33%3.29%2.04%
MSFTProProPro
GOOGProProPro
AMZNProProPro
METAProProPro
MUProProPro
AVGOProProPro
AMDProProPro
See all 10 holdings MODL 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, MODL or QQQ?

MODL 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, MODL or QQQ?

Over the past year MODL returned +21.53% vs +27.63% for QQQ, so QQQ leads on 1-year performance. Over the longest common window we track (4 years), MODL annualized +22.88% vs +13.11% for QQQ. Past performance does not guarantee future results.

Which is riskier, MODL or QQQ?

QQQ has been the more volatile fund at 30.6% annualized versus 12.4% for MODL. Worst drawdown: MODL -17.6% vs QQQ -83.0%.

Should I hold both MODL and QQQ?

MODL and QQQ have a monthly-return correlation of 0.90, so they move almost identically. Holding both adds little diversification - most investors pick one, usually on fees or the specific index tracked.

What is the holdings overlap between MODL and QQQ?

MODL and QQQ share 79 common holdings with a 48.9% weight overlap. Combined, they hold 392 unique securities.

Which pays a higher dividend, MODL or QQQ?

MODL yields 0.71% while QQQ yields 0.41%, so MODL currently pays the higher dividend yield.

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