LVHD vs QQQ
Franklin U.S. Low Volatility High Dividend Index ETF vs Invesco QQQ Trust, Series 1
Which is better, LVHD or QQQ?
Large Cap Value against Large Cap Growth.
QQQ has a lower expense ratio. QQQ led over 1Y, 3Y, 5Y and the full window. LVHD is less concentrated, with 26.5% of the fund in its ten largest positions against 46.7%.
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 | LVHD | QQQ |
|---|---|---|
| Expense Ratio | 0.27% | 0.18%Best |
| AUM | $600M | $506.1B |
| Dividend Yield | 3.60% | 0.42% |
| Holdings | 236 | 321 |
| YTD Return | +9.41% | +19.30%Best |
| 1Y Return | +7.95% | +22.47%Best |
| 3Y Return (annualized) | +12.58% | +26.18%Best |
| 5Y Return (annualized) | +6.86% | +15.42%Best |
| Volatility (annualized) | 13.6%Best | 18.8% |
| Max Drawdown | -37.3% | -35.1%Best |
| $10,000 over 5 years | $13,934 | $20,484Best |
| Top 10 Weight | 26.5%Best | 46.7% |
| Fund Family | Franklin Templeton Investments (US) | Invesco (US) |
| Category | Equity | Equity |
| Style | Large Cap Value | Large Cap Growth |
| Inception | Dec 28, 2015 | Mar 10, 1999 |
Volatility and max drawdown are measured over the window both funds cover: Dec 29, 2015 to Oct 14, 2026 (10.8 years).
LVHD 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 10.8 years both funds cover.
LVHD vs QQQ Performance
Franklin U.S. Low Volatility High Dividend Index ETF (LVHD) 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 LVHD returned +7.95% while QQQ returned +22.47%. Year to date, LVHD is up 9.41% versus a gain of 19.30% for QQQ.
Over three years, LVHD compounded at +12.58% per year against +26.18% for QQQ; over five years the annualized figures are +6.86% and +15.42% respectively. Across the full 11-year window we track, QQQ has the edge at +19.10% annualized vs +6.99%.
Past performance does not guarantee future results.
Risk: Volatility and Drawdowns
QQQ has been the more volatile fund, with annualized monthly volatility of 18.8% compared with 13.6% for LVHD. 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 -37.3% for LVHD 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 0.51. They move together some of the time, and apart the rest.
Fees and Cost Over Time
LVHD charges 0.27% per year while QQQ charges 0.18%. On a $10,000 position that is $27 vs $18 annually, a gap of $9 per year that compounds over a long holding period. On income, LVHD currently yields 3.60% against 0.42% for QQQ.
Holdings Overlap
15.2% of LVHD's money is in holdings QQQ also owns. 2.4% of QQQ's money is in holdings LVHD also owns.
LVHD and QQQ share little of their money.
8 positions in common, counted across the 115 positions we hold weights for in LVHD and 101 in QQQ, against full books of 236 and 321.
What only one of them owns
Our book lists 85 positions for QQQ that do not appear in our book for LVHD (93.9% of the fund), and 107 for LVHD that do not appear in QQQ (84.5%).
Some of those will be the same company recorded under a different code in one of the two books, so the real difference in what you would own is no larger than this and may be smaller. We do not name the individual positions here for that reason.
Top Shared Holdings
| Stock | Weight in LVHD | Weight in QQQ | Difference |
|---|---|---|---|
| PEPPepsico Inc. | 2.47% | 0.72% | 1.75% |
| ADPAutomatic Data Processing, Inc. | 2.03% | 0.43% | 1.60% |
| MDLZMondelez International Inc. Class A | 2.10% | 0.31% | 1.79% |
| KDPKeurig Dr Pepper Inc. | 1.95% | 0.17% | 1.78% |
| EXCExelon Corp. | 1.89% | 0.17% | 1.72% |
| AEPAmerican Electric Power Co Inc | 1.66% | 0.27% | 1.39% |
| XELXcel Energy Inc. | 1.54% | 0.18% | 1.36% |
| PAYXPaychex, Inc. | 1.51% | 0.15% | 1.36% |
You are not choosing between two funds in isolation.
Whichever of LVHD 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, LVHD or QQQ?
LVHD has an expense ratio of 0.27% while QQQ charges 0.18%. QQQ is the cheaper option, by $9 a year on a $10,000 investment.
Which performed better, LVHD or QQQ?
Over the past year LVHD returned +7.95% vs +22.47% for QQQ, so QQQ leads on 1-year performance. Over the longest common window we track (11 years), LVHD annualized +6.99% vs +19.10% for QQQ. Past performance does not guarantee future results. This is information, not a recommendation.
Which is riskier, LVHD or QQQ?
QQQ has been the more volatile fund at 18.8% annualized versus 13.6% for LVHD. Worst drawdown: LVHD -37.3% vs QQQ -35.1%.
Should I hold both LVHD and QQQ?
LVHD and QQQ have a monthly-return correlation of 0.51, so their returns are far enough apart for the mix to behave differently from either one alone. This is information, not a recommendation.
What is the holdings overlap between LVHD and QQQ?
15.2% of LVHD's money is in holdings QQQ also owns. 2.4% of QQQ's is in holdings LVHD also owns. They hold 8 positions in common, counted across the 115 positions we hold weights for in LVHD and 101 in QQQ.
Which pays a higher dividend, LVHD or QQQ?
LVHD yields 3.60% while QQQ yields 0.42%, so LVHD currently pays the higher dividend yield.
Is QQQ better than LVHD?
QQQ has a lower expense ratio. QQQ led over 1Y, 3Y, 5Y and the full window. LVHD is less concentrated, with 26.5% of the fund in its ten largest positions against 46.7%. Which one suits a particular account depends on what it is for. This is information, not a recommendation.