IVOL vs QQQ
Quadratic Interest Rate Volatility and Inflation Hedge ETF vs Invesco QQQ Trust, Series 1
Which is better, IVOL or QQQ?
Inflation Protection 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 | IVOL | QQQ |
|---|---|---|
| Expense Ratio | 0.98% | 0.18%Best |
| AUM | $221M | $506.1B |
| Dividend Yield | 4.25% | 0.42% |
| Holdings | 22 | 321 |
| YTD Return | -9.59% | +19.30%Best |
| 1Y Return | -10.51% | +22.47%Best |
| 3Y Return (annualized) | -3.41% | +26.18%Best |
| 5Y Return (annualized) | -6.18% | +15.42%Best |
| Volatility (annualized) | 8.8%Best | 20.2% |
| Max Drawdown | -32.4%Best | -35.1% |
| $10,000 over 5 years | $7,269 | $20,484Best |
| Fund Family | Quadratic Capital Management LLC | Invesco (US) |
| Category | Fixed Income | Equity |
| Style | Inflation Protection | Large Cap Growth |
| Inception | May 13, 2019 | Mar 10, 1999 |
Not shown on this pair: Top 10 Weight.
Volatility and max drawdown are measured over the window both funds cover: May 14, 2019 to Oct 14, 2026 (7.4 years).
IVOL 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.
IVOL vs QQQ Performance
Quadratic Interest Rate Volatility and Inflation Hedge ETF (IVOL) is an ETF from Quadratic Capital Management LLC and Invesco QQQ Trust, Series 1 (QQQ) is an ETF from Invesco (US). Over the past year IVOL returned -10.51% while QQQ returned +22.47%. Year to date, IVOL is down 9.59% versus a gain of 19.30% for QQQ.
Over three years, IVOL compounded at -3.41% per year against +26.18% for QQQ; over five years the annualized figures are -6.18% and +15.42% respectively. Across the full 7-year window we track, QQQ has the edge at +21.24% annualized vs -2.57%.
Past performance does not guarantee future results.
Risk: Volatility and Drawdowns
QQQ has been the more volatile fund, with annualized monthly volatility of 20.2% compared with 8.8% for IVOL. 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 -32.4% for IVOL 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 0.05. They move largely independently of each other.
Fees and Cost Over Time
IVOL charges 0.98% per year while QQQ charges 0.18%. On a $10,000 position that is $98 vs $18 annually, a gap of $80 per year that compounds over a long holding period. On income, IVOL currently yields 4.25% against 0.42% for QQQ.
Holdings Overlap
We hold position weights for 1 holding in IVOL and 101 in QQQ, totalling 72.8% 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 1 positions we hold weights for in IVOL and 101 in QQQ, against full books of 22 and 321.
You are not choosing between two funds in isolation.
Whichever of IVOL 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, IVOL or QQQ?
IVOL has an expense ratio of 0.98% while QQQ charges 0.18%. QQQ is the cheaper option, by $80 a year on a $10,000 investment.
Which performed better, IVOL or QQQ?
Over the past year IVOL returned -10.51% vs +22.47% for QQQ, so QQQ leads on 1-year performance. Over the longest common window we track (7 years), IVOL annualized -2.57% vs +21.24% for QQQ. Past performance does not guarantee future results. This is information, not a recommendation.
Which is riskier, IVOL or QQQ?
QQQ has been the more volatile fund at 20.2% annualized versus 8.8% for IVOL. Worst drawdown: IVOL -32.4% vs QQQ -35.1%.
Should I hold both IVOL and QQQ?
IVOL and QQQ have a monthly-return correlation of 0.05, 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, IVOL or QQQ?
IVOL yields 4.25% while QQQ yields 0.42%, so IVOL currently pays the higher dividend yield.
Is QQQ better than IVOL?
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.