FTMU vs QQQ
Franklin Municipal Income ETF vs Invesco QQQ Trust, Series 1
Which is better, FTMU or QQQ?
Municipal Bond against Large Cap Growth.
QQQ has a lower expense ratio. QQQ led over 1Y.
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 | FTMU | QQQ |
|---|---|---|
| Expense Ratio | 0.30% | 0.18%Best |
| AUM | $467M | $506.1B |
| Dividend Yield | 4.08% | 0.42% |
| Holdings | 533 | 321 |
| YTD Return | -2.93% | +19.30%Best |
| 1Y Return | -2.83% | +22.47%Best |
| 3Y Return (annualized) | - | +26.18% |
| 5Y Return (annualized) | - | +15.42% |
| Volatility (annualized) | 6.2%Best | 21.9% |
| Fund Family | Franklin Templeton Investments (US) | Invesco (US) |
| Category | Fixed Income | Equity |
| Style | Municipal Bond | Large Cap Growth |
| Inception | Dec 31, 1976 | Mar 10, 1999 |
Not shown on this pair: Max Drawdown, $10,000 over the window, Top 10 Weight.
FTMU 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 is available from the range buttons; it is not the opening view here because over the whole period one of these two funds moves so much further than the other that its line would sit flat on the axis.
FTMU vs QQQ Performance
Franklin Municipal Income ETF (FTMU) is an ETF from Franklin Templeton Investments (US) and Invesco QQQ Trust, Series 1 (QQQ) is an ETF from Invesco (US). Over the past year FTMU returned -2.83% while QQQ returned +22.47%. Year to date, FTMU is down 2.93% versus a gain of 19.30% for QQQ.
Past performance does not guarantee future results.
Risk: Volatility and Drawdowns
QQQ has been the more volatile fund, with annualized monthly volatility of 21.9% compared with 6.2% for FTMU. Lower volatility generally means a smoother ride, though it often comes with lower long-run returns.
The two funds' monthly returns correlate at 0.26. They move largely independently of each other.
Fees and Cost Over Time
FTMU charges 0.30% per year while QQQ charges 0.18%. On a $10,000 position that is $30 vs $18 annually, a gap of $12 per year that compounds over a long holding period. On income, FTMU currently yields 4.08% against 0.42% for QQQ.
Holdings Overlap
We hold position weights for 81 holdings in FTMU and 101 in QQQ, totalling 41.1% and 99.6% of the two funds. The two books name no position in common, so there is no overlap percentage to show.
0 positions in common, counted across the 81 positions we hold weights for in FTMU and 101 in QQQ, against full books of 533 and 321.
You are not choosing between two funds in isolation.
Whichever of FTMU 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, FTMU or QQQ?
FTMU has an expense ratio of 0.30% while QQQ charges 0.18%. QQQ is the cheaper option, by $12 a year on a $10,000 investment.
Which performed better, FTMU or QQQ?
Over the past year FTMU returned -2.83% 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, FTMU or QQQ?
QQQ has been the more volatile fund at 21.9% annualized versus 6.2% for FTMU.
Should I hold both FTMU and QQQ?
FTMU and QQQ have a monthly-return correlation of 0.26, 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, FTMU or QQQ?
FTMU yields 4.08% while QQQ yields 0.42%, so FTMU currently pays the higher dividend yield.
Is QQQ better than FTMU?
QQQ has a lower expense ratio. QQQ led over 1Y. Which one suits a particular account depends on what it is for. This is information, not a recommendation.