IBMO vs. QQQ
IBMO (iShares iBonds Dec 2026 Term Muni Bond ETF) and QQQ (Invesco QQQ ETF) are both exchange-traded funds - IBMO is a Municipal Bonds fund tracking the S&P AMT-Free Municipal Series Callable-Adjusted Dec 2026 Index, while QQQ is a Nasdaq-100 fund tracking the NASDAQ-100 Index. Both are passively managed. Over the past 5 years, IBMO returned 0.72%/yr vs 16.01%/yr for QQQ. At a 0.04 correlation, their price movements are largely independent. Both charge a 0.18% expense ratio.
Performance
IBMO vs. QQQ - Performance Comparison
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Returns By Period
In the year-to-date period, IBMO achieves a 1.03% return, which is significantly lower than QQQ's 16.45% return.
IBMO
- 1D
- 0.02%
- 1M
- 0.19%
- YTD
- 1.03%
- 6M
- 1.02%
- 1Y
- 2.62%
- 3Y*
- 2.80%
- 5Y*
- 0.72%
- 10Y*
- —
QQQ
- 1D
- -3.29%
- 1M
- -0.43%
- YTD
- 16.45%
- 6M
- 14.99%
- 1Y
- 34.88%
- 3Y*
- 26.05%
- 5Y*
- 16.01%
- 10Y*
- 22.07%
IBMO vs. QQQ - Yearly Performance Comparison
| 2026 (YTD) | 2025 | 2024 | 2023 | 2022 | 2021 | 2020 | 2019 | |
|---|---|---|---|---|---|---|---|---|
IBMO iShares iBonds Dec 2026 Term Muni Bond ETF | 1.03% | 3.11% | 1.97% | 2.90% | -5.36% | -0.16% | 5.48% | 4.69% |
QQQ Invesco QQQ ETF | 16.45% | 20.77% | 25.58% | 54.86% | -32.58% | 27.42% | 48.62% | 16.43% |
Correlation
The correlation between IBMO and QQQ is 0.11, which is low. Their price movements are largely independent, making them effective diversification partners.
| Correlation | |
|---|---|
Correlation (1Y) Calculated over the trailing 1-year period | 0.11 |
Correlation (3Y) Calculated over the trailing 3-year period | 0.11 |
Correlation (5Y) Calculated over the trailing 5-year period | 0.11 |
Correlation (All Time) Calculated using the full available price history since Apr 4, 2019 | 0.04 |
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Return for Risk
IBMO vs. QQQ — Risk / Return Rank
IBMO
QQQ
IBMO vs. QQQ - Risk-Adjusted Trends Comparison
This table presents a comparison of risk-adjusted performance metrics for iShares iBonds Dec 2026 Term Muni Bond ETF (IBMO) 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.
| IBMO | QQQ | Difference | |
|---|---|---|---|
| Sharpe ratioReturn per unit of total volatility | +0.44 | ||
| Sortino ratioReturn per unit of downside risk | +1.27 | ||
| Omega ratioGain probability vs. loss probability | 1.49 | 1.35 | +0.14 |
| Calmar ratioReturn relative to maximum drawdown | 6.95 | 2.93 | +4.02 |
| Martin ratioReturn relative to average drawdown | 20.64 | 10.86 | +9.78 |
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Drawdowns
IBMO vs. QQQ - Drawdown Comparison
The maximum IBMO drawdown since its inception was -14.77%, smaller than the maximum QQQ drawdown of -82.97%. Use the drawdown chart below to compare losses from any high point for IBMO and QQQ.
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Drawdown Indicators
| IBMO | QQQ | Difference | |
|---|---|---|---|
Max DrawdownLargest peak-to-trough decline | -14.77% | -82.97% | +68.20% |
Max Drawdown (1Y)Largest decline over 1 year | -0.38% | -11.96% | +11.58% |
Max Drawdown (3Y)Largest decline over 3 years | -1.76% | -22.77% | +21.01% |
Max Drawdown (5Y)Largest decline over 5 years | -8.86% | -35.12% | +26.26% |
Max Drawdown (10Y)Largest decline over 10 years | — | -35.12% | — |
Current DrawdownCurrent decline from peak | 0.00% | -4.25% | +4.25% |
Average DrawdownAverage peak-to-trough decline | -2.31% | -32.73% | +30.42% |
Ulcer IndexDepth and duration of drawdowns from previous peaks | 0.13% | 3.22% | -3.09% |
Volatility
IBMO vs. QQQ - Volatility Comparison
The current volatility for iShares iBonds Dec 2026 Term Muni Bond ETF (IBMO) is 0.22%, while Invesco QQQ ETF (QQQ) has a volatility of 9.17%. This indicates that IBMO 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.
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Volatility by Period
| IBMO | QQQ | Difference | |
|---|---|---|---|
Volatility (1M)Calculated over the trailing 1-month period | 0.22% | 9.17% | -8.95% |
Volatility (6M)Calculated over the trailing 6-month period | 0.79% | 14.57% | -13.78% |
Volatility (1Y)Calculated over the trailing 1-year period | 1.10% | 17.96% | -16.86% |
Volatility (5Y)Calculated over the trailing 5-year period, annualized | 2.14% | 22.69% | -20.55% |
Volatility (10Y)Calculated over the trailing 10-year period, annualized | 4.50% | 22.42% | -17.92% |
IBMO vs. QQQ - Expense Ratio Comparison
Both IBMO and QQQ have an expense ratio of 0.18%, making them cost-effective options compared to the broader market, where average expense ratios typically range from 0.3% to 0.9%.
Dividends
IBMO vs. QQQ - Dividend Comparison
IBMO's dividend yield for the trailing twelve months is around 2.39%, more than QQQ's 0.43% yield.
| Position | TTM | 2025 | 2024 | 2023 | 2022 | 2021 | 2020 | 2019 | 2018 | 2017 | 2016 | 2015 |
|---|---|---|---|---|---|---|---|---|---|---|---|---|
IBMO iShares iBonds Dec 2026 Term Muni Bond ETF | 2.39% | 2.37% | 2.15% | 1.65% | 0.89% | 0.62% | 1.03% | 1.01% | 0.00% | 0.00% | 0.00% | 0.00% |
QQQ Invesco QQQ ETF | 0.43% | 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
IBMO and QQQ have a correlation of 0.11, meaning they provide meaningful diversification benefit when combined. Depending on your allocation goals, holding both could reduce overall portfolio risk.
QQQ has higher volatility (9.17%) compared to IBMO (0.22%). In terms of maximum drawdown, IBMO dropped -14.77% vs QQQ's -82.97%.
On 5-year performance, QQQ leads with 16.01% vs 0.72% for IBMO. Both ETFs have the same 0.18% expense ratio. On volatility, IBMO has been the lower-risk option at 0.22%. The better choice depends on whether you care most about return, fees, risk, or income.
Over the 5-year period, QQQ has performed better with a 16.01% return vs 0.72%. Past performance does not guarantee future results, so compare this with risk, fees, and fund exposure.
IBMO and QQQ have the same expense ratio: 0.18% per year.
IBMO has the higher dividend yield at 2.39%, compared with 0.43% for QQQ.
IBMO is categorized as Municipal Bonds, while QQQ is Nasdaq-100. IBMO tracks S&P AMT-Free Municipal Series Callable-Adjusted Dec 2026 Index, while QQQ tracks NASDAQ-100 Index. They also come from different issuers: iShares and Invesco.
IBMO currently has the higher Sharpe Ratio (2.39 vs 1.95), 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.
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