^VVIX vs. QQQ

Last updated Jun 5, 2026

^VVIX (CBOE VIX Volatility Index) is an index, while QQQ (Invesco QQQ ETF) is Nasdaq-100 fund tracking the NASDAQ-100 Index. Over the past 10 years, ^VVIX returned 0.61%/yr vs 21.84%/yr for QQQ. At a correlation of -0.56, they often move in opposite directions.

Performance

^VVIX vs. QQQ - Performance Comparison

The chart below illustrates the hypothetical performance of a $10,000 investment in CBOE VIX Volatility Index (^VVIX) and Invesco QQQ ETF (QQQ). The values are adjusted to include any dividend payments, if applicable.

Returns By Period

In the year-to-date period, ^VVIX achieves a -7.47% return, which is significantly lower than QQQ's 20.71% return. Over the past 10 years, ^VVIX has underperformed QQQ with an annualized return of 0.61%, while QQQ has yielded a comparatively higher 21.84% annualized return.

^VVIX

• 1D: -4.51%
• 1M: -9.98%
• YTD: -7.47%
• 6M: -6.06%
• 1Y: -5.55%
• 3Y*: -0.01%
• 5Y*: -4.54%
• 10Y*: 0.61%

QQQ

• 1D: -0.48%
• 1M: 8.66%
• YTD: 20.71%
• 6M: 19.19%
• 1Y: 40.74%
• 3Y*: 28.54%
• 5Y*: 17.86%
• 10Y*: 21.84%

*Multi-year figures are annualized to reflect compound growth (CAGR)

^VVIX vs. QQQ - Yearly Performance Comparison

	2026 (YTD)	2025	2024	2023	2022	2021	2020	2019	2018	2017
^VVIX CBOE VIX Volatility Index	-7.47%	-11.18%	19.97%	12.86%	-29.74%	-1.96%	18.87%	8.02%	-13.55%	10.00%
QQQ Invesco QQQ ETF	20.71%	20.77%	25.58%	54.86%	-32.58%	27.42%	48.62%	38.96%	-0.13%	32.66%

Correlation

The correlation between ^VVIX and QQQ is -0.60, meaning they tend to move in opposite directions. This is especially valuable for risk management - when one declines, the other has historically tended to hold steady or rise.

	Correlation
Correlation (1Y) Calculated over the trailing 1-year period	-0.60
Correlation (3Y) Calculated over the trailing 3-year period	-0.60
Correlation (5Y) Calculated over the trailing 5-year period	-0.59
Correlation (10Y) Calculated over the trailing 10-year period	-0.58
Correlation (All Time) Calculated using the full available price history since Mar 7, 2006	-0.56

The correlation between ^VVIX and QQQ has been stable across timeframes, ranging from -0.60 to -0.56 - a consistent structural relationship.

Return for Risk

^VVIX vs. QQQ — Risk / Return Rank

Compare risk-adjusted metric ranks to identify better-performing investments over the past 12 months.

^VVIX

^VVIX Risk / Return Rank: 14
^VVIX Sharpe Ratio Rank: 10
^VVIX Sortino Ratio Rank: 22
^VVIX Omega Ratio Rank: 22
^VVIX Calmar Ratio Rank: 8
^VVIX Martin Ratio Rank: 9

QQQ

QQQ Risk / Return Rank: 74
QQQ Sharpe Ratio Rank: 80
QQQ Sortino Ratio Rank: 76
QQQ Omega Ratio Rank: 75
QQQ Calmar Ratio Rank: 70
QQQ Martin Ratio Rank: 71

The rank (0–100) shows how this investment's returns compare to the risk taken. Higher = better. Based on the past 12 months of data, combining Sharpe, Sortino, and other metrics used by quantitative funds and institutional investors.

^VVIX vs. QQQ - Risk-Adjusted Trends Comparison

This table presents a comparison of risk-adjusted performance metrics for CBOE VIX Volatility Index (^VVIX) and Invesco QQQ ETF (QQQ). Risk-adjusted metrics are performance indicators that assess an investment's returns in relation to its risk, enabling a more accurate comparison of different investment options.

	^VVIX	QQQ	Difference
Sharpe ratio: Return per unit of total volatility	-0.07	2.57	-2.63
Sortino ratio: Return per unit of downside risk	0.51	3.37	-2.86
Omega ratio: Gain probability vs. loss probability	1.06	1.44	-0.38
Calmar ratio: Return relative to maximum drawdown	-0.14	3.42	-3.56
Martin ratio: Return relative to average drawdown	-0.24	13.14	-13.38
Data is calculated on a 1-year rolling basis and updated daily. The trend shows the change in the indicator over the past month.

^VVIX vs. QQQ - Sharpe Ratio Comparison

The current ^VVIX Sharpe Ratio is -0.07, which is lower than the QQQ Sharpe Ratio of 2.57. The chart below compares the historical Sharpe Ratios of ^VVIX and QQQ, calculated using daily returns over the previous 12 months. A higher Sharpe Ratio indicates better risk-adjusted performance relative to the risk-free rate.

Sharpe Ratios by Period

	^VVIX	QQQ	Difference
Sharpe Ratio (1Y) Calculated over the trailing 1-year period	-0.07	2.57	-2.63
Sharpe Ratio (5Y) Calculated over the trailing 5-year period	-0.05	0.80	-0.85
Sharpe Ratio (10Y) Calculated over the trailing 10-year period	0.01	0.98	-0.98
Sharpe Ratio (All Time) Calculated using the full available price history	0.01	0.41	-0.40

Drawdowns

^VVIX vs. QQQ - Drawdown Comparison

The maximum ^VVIX drawdown since its inception was -78.10%, smaller than the maximum QQQ drawdown of -82.97%. Use the drawdown chart below to compare losses from any high point for ^VVIX and QQQ.

Drawdown Indicators

	^VVIX	QQQ	Difference
Max Drawdown Largest peak-to-trough decline	-78.10%	-82.97%	+4.87%
Max Drawdown (1Y) Largest decline over 1 year	-38.94%	-11.96%	-26.98%
Max Drawdown (3Y) Largest decline over 3 years	-52.75%	-22.77%	-29.98%
Max Drawdown (5Y) Largest decline over 5 years	-53.07%	-35.12%	-17.95%
Max Drawdown (10Y) Largest decline over 10 years	-64.71%	-35.12%	-29.59%
Current Drawdown Current decline from peak	-58.69%	-0.74%	-57.95%
Average Drawdown Average peak-to-trough decline	-43.41%	-32.78%	-10.63%
Ulcer Index Depth and duration of drawdowns from previous peaks	23.20%	3.11%	+20.09%

Volatility

^VVIX vs. QQQ - Volatility Comparison

CBOE VIX Volatility Index (^VVIX) has a higher volatility of 12.53% compared to Invesco QQQ ETF (QQQ) at 4.51%. This indicates that ^VVIX's price experiences larger fluctuations and is considered to be riskier than QQQ based on this measure. The chart below showcases a comparison of their rolling one-month volatility.

Volatility by Period

	^VVIX	QQQ	Difference
Volatility (1M) Calculated over the trailing 1-month period	12.53%	4.51%	+8.02%
Volatility (6M) Calculated over the trailing 6-month period	59.37%	12.10%	+47.27%
Volatility (1Y) Calculated over the trailing 1-year period	82.86%	15.94%	+66.92%
Volatility (5Y) Calculated over the trailing 5-year period, annualized	87.13%	22.37%	+64.76%
Volatility (10Y) Calculated over the trailing 10-year period, annualized	85.80%	22.29%	+63.51%

Frequently Asked Questions

Can I hold both ^VVIX and QQQ in my portfolio?

^VVIX and QQQ have a correlation of -0.60, meaning they provide meaningful diversification benefit when combined. Depending on your allocation goals, holding both could reduce overall portfolio risk.

Which is riskier, ^VVIX or QQQ?

^VVIX has higher volatility (12.53%) compared to QQQ (4.51%). In terms of maximum drawdown, ^VVIX dropped -78.10% vs QQQ's -82.97%.

Which has better risk-adjusted returns?

QQQ currently has the higher Sharpe Ratio (2.57 vs -0.07), meaning it's delivered slightly more return per unit of risk over the trailing 12 months. However, this ranking shifts over time - use the Risk/Return Score above for a more comprehensive view that combines Sharpe, Sortino, and other measures used by quantitative funds.