PWRD vs QLTY
TCW Transform Systems ETF vs GMO US Quality ETF
Which is better, PWRD or QLTY?
Each has led over a different period.
QLTY has a lower expense ratio. PWRD led over 3Y and the full window, QLTY over 1Y. QLTY is less concentrated, with 45.5% of the fund in its ten largest positions against 50.6%.
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 | PWRD | QLTY |
|---|---|---|
| Expense Ratio | 0.75% | 0.50%Best |
| AUM | $1.5B | $5.4B |
| Dividend Yield | 0.06% | 0.66% |
| Holdings | 56 | 90 |
| YTD Return | +3.29% | +14.13%Best |
| 1Y Return | +2.06% | +20.95%Best |
| 3Y Return (annualized) | +25.66%Best | +21.84% |
| Volatility (annualized) | 22.2% | 11.9%Best |
| Max Drawdown | -25.9% | -17.0%Best |
| $10,000 over 2.9 years | $19,265Best | $17,733 |
| Top 10 Weight | 50.6% | 45.5%Best |
| Fund Family | TCW ETFs | GMO |
| Category | Equity | Equity |
| Style | Large Cap Blend | Large Cap Blend |
| Inception | Feb 2, 2022 | Nov 13, 2023 |
Not shown on this pair: 5Y Return (annualized).
Volatility and max drawdown, and the $10,000 over 2.9 years row, are measured over the window both funds cover: Nov 15, 2023 to Oct 14, 2026 (2.9 years).
PWRD vs QLTY 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 2.9 years both funds cover.
PWRD vs QLTY Performance
TCW Transform Systems ETF (PWRD) is an ETF from TCW ETFs and GMO US Quality ETF (QLTY) is an ETF from GMO. Over the past year PWRD returned +2.06% while QLTY returned +20.95%. Year to date, PWRD is up 3.29% versus a gain of 14.13% for QLTY.
Over three years, PWRD compounded at +25.66% per year against +21.84% for QLTY.
Past performance does not guarantee future results.
Risk: Volatility and Drawdowns
PWRD has been the more volatile fund, with annualized monthly volatility of 22.2% compared with 11.9% for QLTY. 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 -25.9% for PWRD and -17.0% for QLTY. Drawdown depth is what each fund did in the worst stretch of the window measured above.
The two funds' monthly returns correlate at 0.63. They move together some of the time, and apart the rest.
Fees and Cost Over Time
PWRD charges 0.75% per year while QLTY charges 0.50%. On a $10,000 position that is $75 vs $50 annually, a gap of $25 per year that compounds over a long holding period. On income, PWRD currently yields 0.06% against 0.66% for QLTY.
Holdings Overlap
17.1% of PWRD's money is in holdings QLTY also owns. 8.0% of QLTY's money is in holdings PWRD also owns.
PWRD and QLTY share little of their money.
3 positions in common, counted across the 28 positions we hold weights for in PWRD and 45 in QLTY, against full books of 56 and 90.
What only one of them owns
Our book lists 42 positions for QLTY that do not appear in our book for PWRD (91.7% of the fund), and 19 for PWRD that do not appear in QLTY (64.2%).
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.
You are not choosing between two funds in isolation.
Whichever of PWRD and QLTY 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, PWRD or QLTY?
PWRD has an expense ratio of 0.75% while QLTY charges 0.50%. QLTY is the cheaper option, by $25 a year on a $10,000 investment.
Which performed better, PWRD or QLTY?
Over the past year PWRD returned +2.06% vs +20.95% for QLTY, so QLTY leads on 1-year performance. Past performance does not guarantee future results. This is information, not a recommendation.
Which is riskier, PWRD or QLTY?
PWRD has been the more volatile fund at 22.2% annualized versus 11.9% for QLTY. Worst drawdown: PWRD -25.9% vs QLTY -17.0%.
Should I hold both PWRD and QLTY?
PWRD and QLTY have a monthly-return correlation of 0.63, 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 PWRD and QLTY?
17.1% of PWRD's money is in holdings QLTY also owns. 8.0% of QLTY's is in holdings PWRD also owns. They hold 3 positions in common, counted across the 28 positions we hold weights for in PWRD and 45 in QLTY.
Which pays a higher dividend, PWRD or QLTY?
PWRD yields 0.06% while QLTY yields 0.66%, so QLTY currently pays the higher dividend yield.
Is QLTY better than PWRD?
QLTY has a lower expense ratio. PWRD led over 3Y and the full window, QLTY over 1Y. QLTY is less concentrated, with 45.5% of the fund in its ten largest positions against 50.6%. Which one suits a particular account depends on what it is for. This is information, not a recommendation.