PWRD vs QQQ
TCW Transform Systems ETF vs Invesco QQQ Trust, Series 1
Which is better, PWRD or QQQ?
Large Cap Blend against Large Cap Growth.
QQQ has a lower expense ratio. PWRD led over the full window, QQQ over 1Y and 3Y. QQQ is less concentrated, with 46.7% 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 | QQQ |
|---|---|---|
| Expense Ratio | 0.75% | 0.18%Best |
| AUM | $1.5B | $506.1B |
| Dividend Yield | 0.06% | 0.42% |
| Holdings | 56 | 321 |
| YTD Return | +3.29% | +19.30%Best |
| 1Y Return | +2.06% | +22.47%Best |
| 3Y Return (annualized) | +25.66% | +26.18%Best |
| 5Y Return (annualized) | - | +15.42% |
| Volatility (annualized) | 23.2% | 20.7%Best |
| Max Drawdown | -25.9%Best | -29.6% |
| $10,000 over 4.7 years | $21,348Best | $21,245 |
| Top 10 Weight | 50.6% | 46.7%Best |
| Fund Family | TCW ETFs | Invesco (US) |
| Category | Equity | Equity |
| Style | Large Cap Blend | Large Cap Growth |
| Inception | Feb 2, 2022 | Mar 10, 1999 |
Volatility and max drawdown, and the $10,000 over 4.7 years row, are measured over the window both funds cover: Feb 3, 2022 to Oct 14, 2026 (4.7 years).
PWRD 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 4.7 years both funds cover.
PWRD vs QQQ Performance
TCW Transform Systems ETF (PWRD) is an ETF from TCW ETFs and Invesco QQQ Trust, Series 1 (QQQ) is an ETF from Invesco (US). Over the past year PWRD returned +2.06% while QQQ returned +22.47%. Year to date, PWRD is up 3.29% versus a gain of 19.30% for QQQ.
Over three years, PWRD compounded at +25.66% per year against +26.18% for QQQ.
Past performance does not guarantee future results.
Risk: Volatility and Drawdowns
PWRD has been the more volatile fund, with annualized monthly volatility of 23.2% compared with 20.7% 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 -25.9% for PWRD 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 0.74. They usually move together, but the gap leaves some room for diversification.
Fees and Cost Over Time
PWRD charges 0.75% per year while QQQ charges 0.18%. On a $10,000 position that is $75 vs $18 annually, a gap of $57 per year that compounds over a long holding period. On income, PWRD currently yields 0.06% against 0.42% for QQQ.
Holdings Overlap
14.0% of PWRD's money is in holdings QQQ also owns. 5.3% of QQQ's money is in holdings PWRD also owns.
PWRD and QQQ share little of their money.
3 positions in common, counted across the 28 positions we hold weights for in PWRD and 101 in QQQ, against full books of 56 and 321.
What only one of them owns
Our book lists 90 positions for QQQ that do not appear in our book for PWRD (91.0% of the fund), and 19 for PWRD that do not appear in QQQ (67.3%).
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 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, PWRD or QQQ?
PWRD has an expense ratio of 0.75% while QQQ charges 0.18%. QQQ is the cheaper option, by $57 a year on a $10,000 investment.
Which performed better, PWRD or QQQ?
Over the past year PWRD returned +2.06% 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, PWRD or QQQ?
PWRD has been the more volatile fund at 23.2% annualized versus 20.7% for QQQ. Worst drawdown: PWRD -25.9% vs QQQ -29.6%.
Should I hold both PWRD and QQQ?
PWRD and QQQ have a monthly-return correlation of 0.74, 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 QQQ?
14.0% of PWRD's money is in holdings QQQ also owns. 5.3% of QQQ'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 101 in QQQ.
Which pays a higher dividend, PWRD or QQQ?
PWRD yields 0.06% while QQQ yields 0.42%, so QQQ currently pays the higher dividend yield.
Is QQQ better than PWRD?
QQQ has a lower expense ratio. PWRD led over the full window, QQQ over 1Y and 3Y. QQQ is less concentrated, with 46.7% 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.