IBHI vs QQQ
iShares iBonds 2029 Term High Yield and Income ETF vs Invesco QQQ Trust, Series 1
Which is better, IBHI or QQQ?
High Yield Bond against Large Cap Growth.
QQQ has a lower expense ratio. QQQ led over 1Y, 3Y 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 | IBHI | QQQ |
|---|---|---|
| Expense Ratio | 0.35% | 0.18%Best |
| AUM | $531M | $506.1B |
| Dividend Yield | 6.77% | 0.42% |
| Holdings | 740 | 321 |
| YTD Return | -3.58% | +19.30%Best |
| 1Y Return | -2.55% | +22.47%Best |
| 3Y Return (annualized) | +7.08% | +26.18%Best |
| 5Y Return (annualized) | - | +15.42% |
| Volatility (annualized) | 8.6%Best | 20.9% |
| Max Drawdown | -13.7%Best | -29.6% |
| $10,000 over 4.6 years | $11,699 | $22,658Best |
| Fund Family | iShares by BlackRock (US) | Invesco (US) |
| Category | Fixed Income | Equity |
| Style | High Yield Bond | Large Cap Growth |
| Inception | Mar 8, 2022 | Mar 10, 1999 |
Not shown on this pair: Top 10 Weight.
Volatility and max drawdown, and the $10,000 over 4.6 years row, are measured over the window both funds cover: Mar 10, 2022 to Oct 14, 2026 (4.6 years).
IBHI 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 4.6 years both funds cover.
IBHI vs QQQ Performance
iShares iBonds 2029 Term High Yield and Income ETF (IBHI) is an ETF from iShares by BlackRock (US) and Invesco QQQ Trust, Series 1 (QQQ) is an ETF from Invesco (US). Over the past year IBHI returned -2.55% while QQQ returned +22.47%. Year to date, IBHI is down 3.58% versus a gain of 19.30% for QQQ.
Over three years, IBHI compounded at +7.08% per year against +26.18% 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 20.9% compared with 8.6% for IBHI. 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 -13.7% for IBHI and -29.6% 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 0.73. They usually move together, but the gap leaves some room for diversification.
Fees and Cost Over Time
IBHI charges 0.35% per year while QQQ charges 0.18%. On a $10,000 position that is $35 vs $18 annually, a gap of $17 per year that compounds over a long holding period. On income, IBHI currently yields 6.77% against 0.42% for QQQ.
Holdings Overlap
We hold position weights for 341 holdings in IBHI and 101 in QQQ, totalling 93.8% 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 341 positions we hold weights for in IBHI and 101 in QQQ, against full books of 740 and 321.
You are not choosing between two funds in isolation.
Whichever of IBHI 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, IBHI or QQQ?
IBHI has an expense ratio of 0.35% while QQQ charges 0.18%. QQQ is the cheaper option, by $17 a year on a $10,000 investment.
Which performed better, IBHI or QQQ?
Over the past year IBHI returned -2.55% 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, IBHI or QQQ?
QQQ has been the more volatile fund at 20.9% annualized versus 8.6% for IBHI. Worst drawdown: IBHI -13.7% vs QQQ -29.6%.
Should I hold both IBHI and QQQ?
IBHI and QQQ have a monthly-return correlation of 0.73, 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, IBHI or QQQ?
IBHI yields 6.77% while QQQ yields 0.42%, so IBHI currently pays the higher dividend yield.
Is QQQ better than IBHI?
QQQ has a lower expense ratio. QQQ led over 1Y, 3Y and the full window. Which one suits a particular account depends on what it is for. This is information, not a recommendation.