QQQ vs RSP

Quick Verdict

QQQ has a lower expense ratio. QQQ delivered stronger 1-year returns. RSP offers more diversification with 433 holdings.

Lower Fees: QQQHigher Returns: QQQMore Diversified: RSP

Side-by-Side Comparison

MetricQQQRSPWinner
Expense Ratio0.18%0.20%
AUM$455.8B$97.4B
Dividend Yield0.41%1.51%
Holdings108510
YTD Return+14.45%+13.49%
1Y Return+24.70%+20.09%
3Y Return (annualized)+24.19%+14.52%
5Y Return (annualized)+14.49%+8.87%
Volatility (annualized)30.6%16.5%
Max Drawdown-83.0%-60.9%
Fund FamilyInvesco (US)Invesco (US)
CategoryEquityEquity
InceptionMar 10, 1999Apr 24, 2003

QQQ vs RSP Performance

Invesco QQQ Trust, Series 1 (QQQ) is a ETF from Invesco (US) and Invesco S&P 500 Equal Weight ETF (RSP) is a ETF from Invesco (US). Over the past year QQQ returned +24.70% while RSP returned +20.09%. Year to date, QQQ is up 14.45% versus a gain of 13.49% for RSP.

Over three years, QQQ compounded at +24.19% per year against +14.52% for RSP; over five years the annualized figures are +14.49% and +8.87% respectively. Across the full 23-year window we track, QQQ has the edge at +12.98% annualized vs +10.04%. 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 16.5% for RSP. 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 -83.0% for QQQ and -60.9% for RSP. 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 0.82. They usually move together, but the gap leaves some room for diversification.

Fees and Cost Over Time

QQQ charges 0.18% per year while RSP charges 0.20%. On a $10,000 position that is $18 vs $20 annually, a gap of $2 per year that compounds over a long holding period. On income, QQQ currently yields 0.41% against 1.51% for RSP.

Holdings Overlap

14.9%overlap

QQQ and RSP share 78 holdings out of 458 unique holdings combined, representing a 14.9% weight overlap.

Moderate overlap means holding both could provide meaningful diversification benefits.

Top Shared Holdings

StockWeight in QQQWeight in RSPDifference
NVDA7.88%0.19%7.69%
AAPL7.46%0.19%7.27%
MU4.67%0.25%4.42%
MSFTProProPro
GOOGLProProPro
TSLAProProPro
METAProProPro
GOOGProProPro
AVGOProProPro
WMTProProPro
See all 10 holdings QQQ shares with RSP
Exact weights in each fund and the difference, for every overlapping position.
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Frequently Asked Questions

Which is cheaper, QQQ or RSP?

QQQ has an expense ratio of 0.18% while RSP charges 0.20%. QQQ is the cheaper option. On a $10,000 investment, that is $2 per year of difference.

Which performed better, QQQ or RSP?

Over the past year QQQ returned +24.70% vs +20.09% for RSP, so QQQ leads on 1-year performance. Over the longest common window we track (23 years), QQQ annualized +12.98% vs +10.04% for RSP. Past performance does not guarantee future results.

Which is riskier, QQQ or RSP?

QQQ has been the more volatile fund at 30.6% annualized versus 16.5% for RSP. Worst drawdown: QQQ -83.0% vs RSP -60.9%.

Should I hold both QQQ and RSP?

QQQ and RSP have a monthly-return correlation of 0.82, so combining them can provide real diversification depending on your allocation goals.

What is the holdings overlap between QQQ and RSP?

QQQ and RSP share 78 common holdings with a 14.9% weight overlap. Combined, they hold 458 unique securities.

Which pays a higher dividend, QQQ or RSP?

QQQ yields 0.41% while RSP yields 1.51%, so RSP currently pays the higher dividend yield.

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