QQQ vs SMHB
Invesco QQQ Trust, Series 1 vs ETRACS Monthly Pay 2xLeveraged US Small Cap High Dividend ETN Series B
Which is better, QQQ or SMHB?
Large Cap Growth against Trading-Leveraged Equity.
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 | QQQ | SMHB |
|---|---|---|
| Expense Ratio | 0.18%Best | 0.85% |
| AUM | $506.1B | $22M |
| Dividend Yield | 0.42% | 19.44% |
| Holdings | 321 | - |
| YTD Return | +19.30%Best | -11.44% |
| 1Y Return | +22.47%Best | -16.12% |
| 3Y Return (annualized) | +26.18%Best | -3.71% |
| 5Y Return (annualized) | +15.42%Best | -10.44% |
| Volatility (annualized) | 20.5%Best | 54.9% |
| Max Drawdown | -35.1%Best | -92.4% |
| $10,000 over 5 years | $20,484Best | $5,762 |
| Fund Family | Invesco (US) | UBS AG |
| Category | Equity | Alternative |
| Style | Large Cap Growth | Trading-Leveraged Equity |
| Inception | Mar 10, 1999 | Nov 8, 2018 |
Not shown on this pair: Top 10 Weight.
Volatility and max drawdown are measured over the window both funds cover: Nov 9, 2018 to Oct 14, 2026 (7.9 years).
QQQ vs SMHB 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 7.9 years both funds cover.
QQQ vs SMHB Performance
Invesco QQQ Trust, Series 1 (QQQ) is an ETF from Invesco (US) and ETRACS Monthly Pay 2xLeveraged US Small Cap High Dividend ETN Series B (SMHB) is an ETF from UBS AG. Over the past year QQQ returned +22.47% while SMHB returned -16.12%. Year to date, QQQ is up 19.30% versus a loss of 11.44% for SMHB.
Over three years, QQQ compounded at +26.18% per year against -3.71% for SMHB; over five years the annualized figures are +15.42% and -10.44% respectively. Across the full 8-year window we track, QQQ has the edge at +20.53% annualized vs -13.37%.
Past performance does not guarantee future results.
Risk: Volatility and Drawdowns
SMHB has been the more volatile fund, with annualized monthly volatility of 54.9% compared with 20.5% 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 -35.1% for QQQ and -92.4% for SMHB. Drawdown depth is what each fund did in the worst stretch of the window measured above.
The two funds' monthly returns correlate at 0.59. They move together some of the time, and apart the rest.
Fees and Cost Over Time
QQQ charges 0.18% per year while SMHB charges 0.85%. On a $10,000 position that is $18 vs $85 annually, a gap of $67 per year that compounds over a long holding period. On income, QQQ currently yields 0.42% against 19.44% for SMHB.
You are not choosing between two funds in isolation.
Whichever of QQQ and SMHB 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, QQQ or SMHB?
QQQ has an expense ratio of 0.18% while SMHB charges 0.85%. QQQ is the cheaper option, by $67 a year on a $10,000 investment.
Which performed better, QQQ or SMHB?
Over the past year QQQ returned +22.47% vs -16.12% for SMHB, so QQQ leads on 1-year performance. Over the longest common window we track (8 years), QQQ annualized +20.53% vs -13.37% for SMHB. Past performance does not guarantee future results. This is information, not a recommendation.
Which is riskier, QQQ or SMHB?
SMHB has been the more volatile fund at 54.9% annualized versus 20.5% for QQQ. Worst drawdown: QQQ -35.1% vs SMHB -92.4%.
Should I hold both QQQ and SMHB?
QQQ and SMHB have a monthly-return correlation of 0.59, 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, QQQ or SMHB?
QQQ yields 0.42% while SMHB yields 19.44%, so SMHB currently pays the higher dividend yield.
Is SMHB better than QQQ?
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.