ETF Versus

QQQ vs SPY

Invesco QQQ Trust vs State Street SPDR S&P 500 ETF Trust

Last updated: 2026-04-02

QQQ Invesco

Invesco QQQ Trust (QQQ) is an exchange-traded fund issued by Invesco that provides exposure to large-cap U.S. growth stocks with above-average earnings potential. It charges a moderate expense ratio of 0.18%. The fund offers a modest dividend yield of 0.48%. Launched in 1999, the fund has a 27-year track record.

AUM: $363.1B ER: 0.18% Yield: 0.48% Since: Mar 10, 1999
SPY State Street

State Street SPDR S&P 500 ETF Trust (SPY) is an exchange-traded fund issued by State Street that provides exposure to large-cap U.S. equities across growth and value styles. It charges a low expense ratio of 0.09%. The fund offers a moderate dividend yield of 1.13%. Launched in 1993, the fund has a 33-year track record.

AUM: $636.7B ER: 0.09% Yield: 1.13% Since: Jan 22, 1993

Quick Verdict

SPY has a slightly lower expense ratio (0.09% vs 0.18%), saving about $178 per $10,000 over 10 years. Over the past year, QQQ has significantly outperformed with a 23.6% return vs 16.8%. Income investors may prefer SPY for its higher yield (1.1% vs 0.5%).

Key Metrics

Metric QQQ SPY
Expense Ratio 0.18% 0.09%
Dividend Yield 0.5% 1.1%
Fund Family Invesco State Street
Category US Large Cap Growth US Large Cap Blend

Performance Chart

Indexed to 100 at start (5-year comparison)

75 99 123 147 171 195 2021-04 2022-06 2023-09 2024-12 2026-04
QQQ +76.5%
SPY +61.2%

Performance Comparison

Period QQQ SPY Difference
1 Month -3.91% -4.54% +0.63%
3 Months -4.70% -4.09% -0.61%
6 Months -3.13% -2.09% -1.04%
YTD -4.70% -4.09% -0.61%
1 Year +23.61% +16.80% +6.81%
3 Years +82.51% +59.45% +23.06%
5 Years +76.50% +61.25% +15.25%

Fee Impact Over Time

Estimated fee cost difference assuming 8% annual returns

Investment Period QQQ Fees SPY Fees You Save
$10.000 10 years $357 $179 $178
$10.000 20 years $1.529 $771 $759
$10.000 30 years $4.912 $2.486 $2.426
$50.000 10 years $1.786 $896 $889
$50.000 30 years $24.558 $12.428 $12.131
$100.000 30 years $49.116 $24.855 $24.261

Risk Metrics

Based on 5 years of daily returns

Metric QQQ SPY
Annualized Volatility 22.4% 17.1%
Max Drawdown -35.6% -25.4%
Sharpe Ratio 0.42 0.38

Dividend Comparison

Metric QQQ SPY
Annual Dividend (per share) $2.81 $7.38
Dividend Yield 0.48% 1.13%
Distribution Frequency Quarterly Quarterly

Top Holdings

8 of top 9 holdings overlap (89% overlap in top holdings)

QQQ Top Holdings

NameWeight
NVIDIA CorporationNVDA8.55%
Apple Inc.AAPL7.67%
Microsoft CorporationMSFT5.56%
Amazon.com, Inc.AMZN4.49%
Tesla, Inc.TSLA3.79%
Walmart Inc.WMT3.48%
Meta Platforms, Inc.META3.26%
Alphabet Inc.GOOG3.13%
Broadcom Inc.AVGO2.99%

SPY Top Holdings

NameWeight
NVIDIA CorporationNVDA7.58%
Apple Inc.AAPL6.66%
Microsoft CorporationMSFT4.91%
Amazon.com, Inc.AMZN3.64%
Broadcom Inc.AVGO2.62%
Alphabet Inc.GOOG2.40%
Meta Platforms, Inc.META2.24%
Tesla, Inc.TSLA1.87%
Berkshire Hathaway Inc.BRK.B1.57%

Which One Should You Choose?

Choose SPY if...

you want the lowest fees and plan to buy and hold long-term. Over decades, the expense ratio difference compounds significantly.

Choose QQQ if...

recent performance momentum matters to your strategy. Note that past performance doesn't guarantee future results.

Choose SPY if...

you prioritize dividend income and want higher regular distributions from your portfolio.

Related Comparisons

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