FMNY vs QQQ
First Trust New York Municipal High Income ETF vs Invesco QQQ Trust, Series 1
Which is better, FMNY or QQQ?
Municipal Bond against Large Cap Growth.
QQQ has a lower expense ratio. QQQ led over 1Y, 3Y, 5Y and the full window.
MarketXLS is not an investment adviser. This comparison is generated automatically from market data and is for information only. A Best mark means the better reading on that one measure, not a recommendation to buy.
Side-by-Side Comparison
| Metric | FMNY | QQQ |
|---|---|---|
| Expense Ratio | 0.49% | 0.18%Best |
| AUM | $25M | $506.1B |
| Dividend Yield | 4.03% | 0.42% |
| Holdings | 219 | 321 |
| YTD Return | -3.81% | +19.30%Best |
| 1Y Return | -3.11% | +22.47%Best |
| 3Y Return (annualized) | +2.95% | +26.18%Best |
| 5Y Return (annualized) | -0.46% | +15.42%Best |
| Volatility (annualized) | 6.6%Best | 20.5% |
| Max Drawdown | -15.9%Best | -35.1% |
| $10,000 over 5 years | $9,772 | $20,484Best |
| Fund Family | First Trust Portfolios (US) | Invesco (US) |
| Category | Fixed Income | Equity |
| Style | Municipal Bond | Large Cap Growth |
| Inception | May 12, 2021 | Mar 10, 1999 |
Not shown on this pair: Top 10 Weight.
Volatility and max drawdown are measured over the window both funds cover: May 13, 2021 to Oct 14, 2026 (5.4 years).
FMNY vs QQQ growth
Month-end closes. Both lines start at 0% in the first month shown, so the gap between them is the difference in growth across that window. The full view covers the 5.4 years both funds cover.
FMNY vs QQQ Performance
First Trust New York Municipal High Income ETF (FMNY) is an ETF from First Trust Portfolios (US) and Invesco QQQ Trust, Series 1 (QQQ) is an ETF from Invesco (US). Over the past year FMNY returned -3.11% while QQQ returned +22.47%. Year to date, FMNY is down 3.81% versus a gain of 19.30% for QQQ.
Over three years, FMNY compounded at +2.95% per year against +26.18% for QQQ; over five years the annualized figures are -0.46% and +15.42% respectively.
Past performance does not guarantee future results.
Risk: Volatility and Drawdowns
QQQ has been the more volatile fund, with annualized monthly volatility of 20.5% compared with 6.6% for FMNY. 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 -15.9% for FMNY and -35.1% for QQQ. Drawdown depth is what each fund did in the worst stretch of the window measured above.
The two funds' monthly returns correlate at 0.59. They move together some of the time, and apart the rest.
Fees and Cost Over Time
FMNY charges 0.49% per year while QQQ charges 0.18%. On a $10,000 position that is $49 vs $18 annually, a gap of $31 per year that compounds over a long holding period. On income, FMNY currently yields 4.03% against 0.42% for QQQ.
You are not choosing between two funds in isolation.
Whichever of FMNY and QQQ you pick has to sit alongside everything else you own. Add the rest and see what the combination actually holds.
Free for up to 10 holdings. No account needed.
Frequently Asked Questions
Which is cheaper, FMNY or QQQ?
FMNY has an expense ratio of 0.49% while QQQ charges 0.18%. QQQ is the cheaper option, by $31 a year on a $10,000 investment.
Which performed better, FMNY or QQQ?
Over the past year FMNY returned -3.11% vs +22.47% for QQQ, so QQQ leads on 1-year performance. Past performance does not guarantee future results. This is information, not a recommendation.
Which is riskier, FMNY or QQQ?
QQQ has been the more volatile fund at 20.5% annualized versus 6.6% for FMNY. Worst drawdown: FMNY -15.9% vs QQQ -35.1%.
Should I hold both FMNY and QQQ?
FMNY and QQQ have a monthly-return correlation of 0.59, so their returns are far enough apart for the mix to behave differently from either one alone. This is information, not a recommendation.
Which pays a higher dividend, FMNY or QQQ?
FMNY yields 4.03% while QQQ yields 0.42%, so FMNY currently pays the higher dividend yield.
Is QQQ better than FMNY?
QQQ has a lower expense ratio. QQQ led over 1Y, 3Y, 5Y and the full window. Which one suits a particular account depends on what it is for. This is information, not a recommendation.