PALU vs QQQ
Direxion Daily PANW Bull 2X ETF vs Invesco QQQ Trust, Series 1
Which is better, PALU or QQQ?
Trading-Leveraged Equity against Large Cap Growth.
QQQ has a lower expense ratio. PALU led over 1Y 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 | PALU | QQQ |
|---|---|---|
| Expense Ratio | 1.08% | 0.18%Best |
| AUM | $39M | $506.1B |
| Dividend Yield | 3.03% | 0.42% |
| Holdings | 22 | 321 |
| YTD Return | +226.54%Best | +19.30% |
| 1Y Return | +134.08%Best | +22.47% |
| 3Y Return (annualized) | - | +26.18% |
| 5Y Return (annualized) | - | +15.42% |
| Volatility (annualized) | 127.6% | 18.8%Best |
| Max Drawdown | -62.2% | -14.1%Best |
| $10,000 over 1.6 years | $26,395Best | $15,349 |
| Fund Family | Direxion Shares ETF Trust | Invesco (US) |
| Category | Alternative | Equity |
| Style | Trading-Leveraged Equity | Large Cap Growth |
| Inception | Mar 26, 2025 | Mar 10, 1999 |
Not shown on this pair: Top 10 Weight.
Volatility and max drawdown, and the $10,000 over 1.6 years row, are measured over the window both funds cover: Mar 26, 2025 to Oct 14, 2026 (1.6 years).
PALU 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 1.6 years both funds cover.
PALU vs QQQ Performance
Direxion Daily PANW Bull 2X ETF (PALU) is an ETF from Direxion Shares ETF Trust and Invesco QQQ Trust, Series 1 (QQQ) is an ETF from Invesco (US). Over the past year PALU returned +134.08% while QQQ returned +22.47%. Year to date, PALU is up 226.54% versus a gain of 19.30% for QQQ.
Past performance does not guarantee future results.
Risk: Volatility and Drawdowns
PALU has been the more volatile fund, with annualized monthly volatility of 127.6% compared with 18.8% for QQQ. 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 -62.2% for PALU and -14.1% 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 0.49. They move together some of the time, and apart the rest.
Fees and Cost Over Time
PALU charges 1.08% per year while QQQ charges 0.18%. On a $10,000 position that is $108 vs $18 annually, a gap of $90 per year that compounds over a long holding period. On income, PALU currently yields 3.03% against 0.42% for QQQ.
Holdings Overlap
At least 1.4% of QQQ's money is in holdings PALU also owns.
Stated as a floor: for PALU, our book for it covers 90.9% of that fund, so a holding it does not list is one we cannot count as shared. The real figure is this or higher.
QQQ and PALU share little of their money.
1 positions in common, counted across the 4 positions we hold weights for in PALU and 101 in QQQ, against full books of 22 and 321.
Top Shared Holdings
| Stock | Weight in PALU | Weight in QQQ | Difference |
|---|---|---|---|
| PANWPalo Alto Networks, Inc | 14.89% | 1.35% | 13.54% |
You are not choosing between two funds in isolation.
Whichever of PALU 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, PALU or QQQ?
PALU has an expense ratio of 1.08% while QQQ charges 0.18%. QQQ is the cheaper option, by $90 a year on a $10,000 investment.
Which performed better, PALU or QQQ?
Over the past year PALU returned +134.08% vs +22.47% for QQQ, so PALU leads on 1-year performance. Over the longest common window we track (2 years), PALU annualized +83.42% vs +30.71% for QQQ. Past performance does not guarantee future results. This is information, not a recommendation.
Which is riskier, PALU or QQQ?
PALU has been the more volatile fund at 127.6% annualized versus 18.8% for QQQ. Worst drawdown: PALU -62.2% vs QQQ -14.1%.
Should I hold both PALU and QQQ?
PALU and QQQ have a monthly-return correlation of 0.49, 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 PALU and QQQ?
At least 1.4% of QQQ's money is in holdings PALU also owns. Our book for PALU is partial, so the real figure is this or higher. They hold 1 positions in common, counted across the 4 positions we hold weights for in PALU and 101 in QQQ.
Which pays a higher dividend, PALU or QQQ?
PALU yields 3.03% while QQQ yields 0.42%, so PALU currently pays the higher dividend yield.
Is QQQ better than PALU?
QQQ has a lower expense ratio. PALU led over 1Y and the full window. Which one suits a particular account depends on what it is for. This is information, not a recommendation.