CQQQ vs. AAXJ

Last updated Jun 4, 2026

CQQQ (Invesco China Technology ETF) and AAXJ (iShares MSCI All Country Asia ex-Japan ETF) are both exchange-traded funds - CQQQ is a China Equities fund tracking the AlphaShares China Technology Index, while AAXJ is a Asia Pacific Equities fund tracking the MSCI All Country Asia ex Japan Index. Both are passively managed. Over the past 10 years, CQQQ returned 5.40%/yr vs 10.50%/yr for AAXJ. A 0.79 correlation means they provide meaningful diversification when combined. CQQQ charges 0.70%/yr vs 0.68%/yr for AAXJ.

Performance

CQQQ vs. AAXJ - Performance Comparison

The chart below illustrates the hypothetical performance of a $10,000 investment in Invesco China Technology ETF (CQQQ) and iShares MSCI All Country Asia ex-Japan ETF (AAXJ). The values are adjusted to include any dividend payments, if applicable.

Returns By Period

In the year-to-date period, CQQQ achieves a 2.46% return, which is significantly lower than AAXJ's 31.17% return. Over the past 10 years, CQQQ has underperformed AAXJ with an annualized return of 5.40%, while AAXJ has yielded a comparatively higher 10.50% annualized return.

CQQQ

• 1D: -1.50%
• 1M: 4.43%
• YTD: 2.46%
• 6M: 5.43%
• 1Y: 32.76%
• 3Y*: 10.55%
• 5Y*: -7.50%
• 10Y*: 5.40%

AAXJ

• 1D: -1.06%
• 1M: 10.65%
• YTD: 31.17%
• 6M: 33.71%
• 1Y: 59.00%
• 3Y*: 24.49%
• 5Y*: 7.04%
• 10Y*: 10.50%

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

CQQQ vs. AAXJ - Yearly Performance Comparison

	2026 (YTD)	2025	2024	2023	2022	2021	2020	2019	2018	2017
CQQQ Invesco China Technology ETF	2.46%	34.96%	9.84%	-16.71%	-30.09%	-24.54%	57.33%	33.57%	-34.77%	74.31%
AAXJ iShares MSCI All Country Asia ex-Japan ETF	31.17%	31.53%	10.41%	4.79%	-20.35%	-5.73%	23.35%	17.93%	-15.04%	41.76%

Correlation

The correlation between CQQQ and AAXJ is 0.72, which is moderate. They share some common price drivers but move independently often enough to provide real diversification benefit when combined.

	Correlation
Correlation (1Y) Calculated over the trailing 1-year period	0.72
Correlation (3Y) Calculated over the trailing 3-year period	0.76
Correlation (5Y) Calculated over the trailing 5-year period	0.81
Correlation (10Y) Calculated over the trailing 10-year period	0.82
Correlation (All Time) Calculated using the full available price history since Dec 9, 2009	0.79

The correlation between CQQQ and AAXJ has been stable across timeframes, ranging from 0.72 to 0.82 - a consistent structural relationship.

CQQQ vs. AAXJ - Sectors Allocation Comparison

Sectors	CQQQ	AAXJ
Technology	58.2%	41.6%
Communication Services	21.9%	6.9%
Consumer Cyclical	13.8%	10.3%
Industrials	1.3%	8.3%
Financial Services	0.1%	17.7%
Basic Materials	0.1%	3.5%
Consumer Defensive	-	2.4%
Energy	-	2.7%
Healthcare	-	3.0%
Real Estate	-	1.7%
Utilities	-	1.8%

Return for Risk

CQQQ vs. AAXJ — Risk / Return Rank

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

CQQQ

CQQQ Risk / Return Rank: 28
CQQQ Sharpe Ratio Rank: 30
CQQQ Sortino Ratio Rank: 31
CQQQ Omega Ratio Rank: 30
CQQQ Calmar Ratio Rank: 27
CQQQ Martin Ratio Rank: 24

AAXJ

AAXJ Risk / Return Rank: 84
AAXJ Sharpe Ratio Rank: 87
AAXJ Sortino Ratio Rank: 83
AAXJ Omega Ratio Rank: 85
AAXJ Calmar Ratio Rank: 82
AAXJ Martin Ratio Rank: 82

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.

CQQQ vs. AAXJ - Risk-Adjusted Trends Comparison

This table presents a comparison of risk-adjusted performance metrics for Invesco China Technology ETF (CQQQ) and iShares MSCI All Country Asia ex-Japan ETF (AAXJ). 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.

	CQQQ	AAXJ	Difference
Sharpe ratio: Return per unit of total volatility	1.11	2.93	-1.82
Sortino ratio: Return per unit of downside risk	1.68	3.77	-2.09
Omega ratio: Gain probability vs. loss probability	1.20	1.53	-0.33
Calmar ratio: Return relative to maximum drawdown	1.35	4.34	-2.99
Martin ratio: Return relative to average drawdown	3.16	16.76	-13.60
Data is calculated on a 1-year rolling basis and updated daily. The trend shows the change in the indicator over the past month.

CQQQ vs. AAXJ - Sharpe Ratio Comparison

The current CQQQ Sharpe Ratio is 1.11, which is lower than the AAXJ Sharpe Ratio of 2.93. The chart below compares the historical Sharpe Ratios of CQQQ and AAXJ, 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

	CQQQ	AAXJ	Difference
Sharpe Ratio (1Y) Calculated over the trailing 1-year period	1.11	2.93	-1.82
Sharpe Ratio (5Y) Calculated over the trailing 5-year period	-0.20	0.35	-0.55
Sharpe Ratio (10Y) Calculated over the trailing 10-year period	0.16	0.52	-0.36
Sharpe Ratio (All Time) Calculated using the full available price history	0.19	0.28	-0.10

Drawdowns

CQQQ vs. AAXJ - Drawdown Comparison

The maximum CQQQ drawdown since its inception was -73.99%, which is greater than AAXJ's maximum drawdown of -49.37%. Use the drawdown chart below to compare losses from any high point for CQQQ and AAXJ.

Drawdown Indicators

	CQQQ	AAXJ	Difference
Max Drawdown Largest peak-to-trough decline	-73.99%	-49.37%	-24.62%
Max Drawdown (1Y) Largest decline over 1 year	-24.41%	-13.66%	-10.75%
Max Drawdown (3Y) Largest decline over 3 years	-35.93%	-19.74%	-16.19%
Max Drawdown (5Y) Largest decline over 5 years	-66.96%	-40.74%	-26.22%
Max Drawdown (10Y) Largest decline over 10 years	-73.99%	-44.52%	-29.47%
Current Drawdown Current decline from peak	-49.18%	-1.06%	-48.12%
Average Drawdown Average peak-to-trough decline	-28.29%	-14.03%	-14.26%
Ulcer Index Depth and duration of drawdowns from previous peaks	10.39%	3.53%	+6.86%

Volatility

CQQQ vs. AAXJ - Volatility Comparison

Invesco China Technology ETF (CQQQ) has a higher volatility of 11.60% compared to iShares MSCI All Country Asia ex-Japan ETF (AAXJ) at 8.93%. This indicates that CQQQ's price experiences larger fluctuations and is considered to be riskier than AAXJ based on this measure. The chart below showcases a comparison of their rolling one-month volatility.

Volatility by Period

	CQQQ	AAXJ	Difference
Volatility (1M) Calculated over the trailing 1-month period	11.60%	8.93%	+2.67%
Volatility (6M) Calculated over the trailing 6-month period	21.88%	17.46%	+4.42%
Volatility (1Y) Calculated over the trailing 1-year period	29.78%	20.25%	+9.53%
Volatility (5Y) Calculated over the trailing 5-year period, annualized	38.02%	19.94%	+18.08%
Volatility (10Y) Calculated over the trailing 10-year period, annualized	33.30%	20.25%	+13.05%

CQQQ vs. AAXJ - Expense Ratio Comparison

CQQQ has a 0.70% expense ratio, which is higher than AAXJ's 0.68% expense ratio.

Dividends

CQQQ vs. AAXJ - Dividend Comparison

CQQQ's dividend yield for the trailing twelve months is around 2.11%, more than AAXJ's 1.38% yield.

Position	TTM	2025	2024	2023	2022	2021	2020	2019	2018	2017	2016	2015
AAXJ iShares MSCI All Country Asia ex-Japan ETF	1.38%	1.81%	1.86%	1.95%	1.74%	2.21%	1.06%	1.83%	2.10%	1.99%	1.77%	2.44%
CQQQ Invesco China Technology ETF	2.11%	2.17%	0.28%	0.55%	0.08%	0.00%	0.47%	0.01%	0.43%	1.41%	1.69%	1.77%

Frequently Asked Questions

Can I hold both CQQQ and AAXJ in my portfolio?

CQQQ and AAXJ have a correlation of 0.72, meaning they provide meaningful diversification benefit when combined. Depending on your allocation goals, holding both could reduce overall portfolio risk.

Which is riskier, CQQQ or AAXJ?

CQQQ has higher volatility (11.60%) compared to AAXJ (8.93%). In terms of maximum drawdown, CQQQ dropped -73.99% vs AAXJ's -49.37%.

Which ETF is better, CQQQ or AAXJ?

On 10-year performance, AAXJ leads with 10.50% vs 5.40% for CQQQ. On fees, AAXJ is cheaper at 0.68% per year. On volatility, AAXJ has been the lower-risk option at 8.93%. The better choice depends on whether you care most about return, fees, risk, or income.

Which ETF has performed better, CQQQ or AAXJ?

Over the 10-year period, AAXJ has performed better with a 10.50% return vs 5.40%. Past performance does not guarantee future results, so compare this with risk, fees, and fund exposure.

Which ETF is cheaper, CQQQ or AAXJ?

AAXJ is cheaper with a 0.68% expense ratio, compared with 0.70% for CQQQ.

Which ETF pays a higher dividend yield, CQQQ or AAXJ?

CQQQ has the higher dividend yield at 2.11%, compared with 1.38% for AAXJ.

What is the main difference between CQQQ and AAXJ?

CQQQ is categorized as China Equities, while AAXJ is Asia Pacific Equities. CQQQ tracks AlphaShares China Technology Index, while AAXJ tracks MSCI All Country Asia ex Japan Index. They also come from different issuers: Invesco and iShares. Their fees differ too: 0.70% for CQQQ and 0.68% for AAXJ.

Which has better risk-adjusted returns?

AAXJ currently has the higher Sharpe Ratio (2.93 vs 1.11), 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.