FDLO vs. QQQ

Last updated Jul 12, 2026

FDLO (Fidelity Low Volatility Factor ETF) and QQQ (Invesco QQQ ETF) are both exchange-traded funds - FDLO is a Volatility Hedged Equity fund tracking the Fidelity U.S. Low Volatility Factor Index, while QQQ is a Nasdaq-100 fund tracking the NASDAQ-100 Index. Both are passively managed. Over the past 5 years, FDLO returned 9.31%/yr vs 15.67%/yr for QQQ. A 0.76 correlation means they provide meaningful diversification when combined. FDLO charges 0.15%/yr vs 0.18%/yr for QQQ.

Performance

FDLO vs. QQQ - Performance Comparison

The chart below illustrates the hypothetical performance of a $10,000 investment in Fidelity Low Volatility Factor ETF (FDLO) 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, FDLO achieves a 5.94% return, which is significantly lower than QQQ's 18.38% return.

FDLO

• 1D: 0.10%
• 1M: 1.59%
• 6M: 4.33%
• YTD: 5.94%
• 1Y: 13.05%
• 3Y*: 13.78%
• 5Y*: 9.31%
• 10Y*: —

QQQ

• 1D: 0.31%
• 1M: 0.69%
• 6M: 16.05%
• YTD: 18.38%
• 1Y: 31.54%
• 3Y*: 26.10%
• 5Y*: 15.67%
• 10Y*: 21.45%

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

FDLO vs. QQQ - Yearly Performance Comparison

	2026 (YTD)	2025	2024	2023	2022	2021	2020	2019	2018	2017
FDLO Fidelity Low Volatility Factor ETF	5.94%	11.77%	16.06%	16.38%	-10.38%	24.00%	12.19%	31.10%	-0.26%	20.44%
QQQ Invesco QQQ ETF	18.38%	20.77%	25.58%	54.86%	-32.58%	27.42%	48.62%	38.96%	-0.13%	32.66%

Correlation

The correlation between FDLO and QQQ is 0.55, 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	0.55
Correlation (3Y) Calculated over the trailing 3-year period	0.65
Correlation (5Y) Calculated over the trailing 5-year period	0.75
Correlation (All Time) Calculated using the full available price history since Sep 15, 2016	0.76

Over the past year, the correlation between FDLO and QQQ has dropped to 0.55 - well below their long-term average of 0.76, suggesting their price drivers have been diverging.

FDLO vs. QQQ - Sectors Allocation Comparison

Sectors	FDLO	QQQ
Technology	35.5%	58.7%
Financial Services	12.1%	0.2%
Communication Services	10.6%	14.3%
Consumer Cyclical	10.1%	11.4%
Healthcare	9.6%	3.7%
Industrials	8.3%	2.6%
Consumer Defensive	4.6%	6.4%
Energy	3.2%	0.5%
Utilities	2.2%	1.2%
Real Estate	2.2%	0.1%
Basic Materials	1.7%	1.0%

Return for Risk

FDLO vs. QQQ — Risk / Return Rank

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

FDLO

FDLO Risk / Return Rank: 49
FDLO Sharpe Ratio Rank: 51
FDLO Sortino Ratio Rank: 50
FDLO Omega Ratio Rank: 49
FDLO Calmar Ratio Rank: 44
FDLO Martin Ratio Rank: 53

QQQ

QQQ Risk / Return Rank: 64
QQQ Sharpe Ratio Rank: 65
QQQ Sortino Ratio Rank: 60
QQQ Omega Ratio Rank: 62
QQQ Calmar Ratio Rank: 66
QQQ Martin Ratio Rank: 66

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.

FDLO vs. QQQ - Risk-Adjusted Trends Comparison

This table presents a comparison of risk-adjusted performance metrics for Fidelity Low Volatility Factor ETF (FDLO) 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.

Values are calculated on a 1-year rolling basis and updated daily. Risk-adjusted metrics are more stable over longer periods — use the period switch above to explore them.

	FDLO	QQQ	Difference
Sharpe ratio: Return per unit of total volatility	1.42	1.70	-0.28
Sortino ratio: Return per unit of downside risk	2.01	2.28	-0.27
Omega ratio: Gain probability vs. loss probability	1.25	1.30	-0.05
Calmar ratio: Return relative to maximum drawdown	1.77	2.62	-0.85
Martin ratio: Return relative to average drawdown	7.20	9.43	-2.23

FDLO vs. QQQ - Sharpe Ratio Comparison

The current FDLO Sharpe Ratio is 1.42, which is comparable to the QQQ Sharpe Ratio of 1.70. The chart below compares the historical Sharpe Ratios of FDLO 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.

Drawdowns

FDLO vs. QQQ - Drawdown Comparison

The maximum FDLO drawdown since its inception was -34.35%, smaller than the maximum QQQ drawdown of -82.97%. Use the drawdown chart below to compare losses from any high point for FDLO and QQQ.

Drawdown Indicators

	FDLO	QQQ	Difference
Max Drawdown Largest peak-to-trough decline	-34.35%	-82.97%	+48.62%
Max Drawdown (1Y) Largest decline over 1 year	-7.13%	-11.96%	+4.83%
Max Drawdown (3Y) Largest decline over 3 years	-13.68%	-22.77%	+9.09%
Max Drawdown (5Y) Largest decline over 5 years	-19.23%	-35.12%	+15.89%
Max Drawdown (10Y) Largest decline over 10 years	—	-35.12%	—
Current Drawdown Current decline from peak	-0.28%	-2.66%	+2.38%
Average Drawdown Average peak-to-trough decline	-3.36%	-32.67%	+29.31%
Ulcer Index Depth and duration of drawdowns from previous peaks	1.75%	3.32%	-1.57%

Volatility

FDLO vs. QQQ - Volatility Comparison

The current volatility for Fidelity Low Volatility Factor ETF (FDLO) is 3.14%, while Invesco QQQ ETF (QQQ) has a volatility of 8.71%. This indicates that FDLO experiences smaller price fluctuations and is considered to be less risky than QQQ based on this measure. The chart below showcases a comparison of their rolling one-month volatility.

Volatility by Period

	FDLO	QQQ	Difference
Volatility (1M) Calculated over the trailing 1-month period	3.14%	8.71%	-5.57%
Volatility (6M) Calculated over the trailing 6-month period	6.88%	15.28%	-8.40%
Volatility (1Y) Calculated over the trailing 1-year period	8.93%	18.47%	-9.54%
Volatility (5Y) Calculated over the trailing 5-year period, annualized	13.09%	22.77%	-9.68%
Volatility (10Y) Calculated over the trailing 10-year period, annualized	15.46%	22.43%	-6.97%

FDLO vs. QQQ - Expense Ratio Comparison

FDLO has a 0.15% expense ratio, which is lower than QQQ's 0.18% expense ratio. Despite the difference, both funds are considered low-cost compared to the broader market, where average expense ratios usually range from 0.3% to 0.9%.

Dividends

FDLO vs. QQQ - Dividend Comparison

FDLO's dividend yield for the trailing twelve months is around 1.40%, more than QQQ's 0.42% yield.

Position	TTM	2025	2024	2023	2022	2021	2020	2019	2018	2017	2016	2015
FDLO Fidelity Low Volatility Factor ETF	1.40%	1.37%	1.40%	1.35%	1.49%	1.11%	1.38%	1.55%	1.76%	1.61%	0.55%	0.00%
QQQ Invesco QQQ ETF	0.42%	0.45%	0.56%	0.62%	0.80%	0.43%	0.55%	0.74%	0.91%	0.84%	1.06%	0.99%

Frequently Asked Questions

Can I hold both FDLO and QQQ in my portfolio?

FDLO and QQQ have a correlation of 0.55, meaning they provide meaningful diversification benefit when combined. Depending on your allocation goals, holding both could reduce overall portfolio risk.

Which is riskier, FDLO or QQQ?

QQQ has higher volatility (8.71%) compared to FDLO (3.14%). In terms of maximum drawdown, FDLO dropped -34.35% vs QQQ's -82.97%.

Which ETF is better, FDLO or QQQ?

On 5-year performance, QQQ leads with 15.67% vs 9.31% for FDLO. On fees, FDLO is cheaper at 0.15% per year. On volatility, FDLO has been the lower-risk option at 3.14%. The better choice depends on whether you care most about return, fees, risk, or income.

Which ETF has performed better, FDLO or QQQ?

Over the 5-year period, QQQ has performed better with a 15.67% return vs 9.31%. Past performance does not guarantee future results, so compare this with risk, fees, and fund exposure.

Which ETF is cheaper, FDLO or QQQ?

FDLO is cheaper with a 0.15% expense ratio, compared with 0.18% for QQQ.

Which ETF pays a higher dividend yield, FDLO or QQQ?

FDLO has the higher dividend yield at 1.40%, compared with 0.42% for QQQ.

What is the main difference between FDLO and QQQ?

FDLO is categorized as Volatility Hedged Equity, while QQQ is Nasdaq-100. FDLO tracks Fidelity U.S. Low Volatility Factor Index, while QQQ tracks NASDAQ-100 Index. They also come from different issuers: Fidelity and Invesco. Their fees differ too: 0.15% for FDLO and 0.18% for QQQ.

Which has better risk-adjusted returns?

QQQ currently has the higher Sharpe Ratio (1.70 vs 1.42), 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.