IHF vs. QQQ

Last updated Jun 5, 2026

IHF (iShares U.S. Healthcare Providers ETF) and QQQ (Invesco QQQ ETF) are both exchange-traded funds - IHF is a Health & Biotech Equities fund tracking the Dow Jones U.S. Select Health Care Providers Index, while QQQ is a Nasdaq-100 fund tracking the NASDAQ-100 Index. Both are passively managed. Over the past 10 years, IHF returned 8.27%/yr vs 21.84%/yr for QQQ. A 0.54 correlation means they provide meaningful diversification when combined. IHF charges 0.43%/yr vs 0.18%/yr for QQQ.

Performance

IHF vs. QQQ - Performance Comparison

The chart below illustrates the hypothetical performance of a $10,000 investment in iShares U.S. Healthcare Providers ETF (IHF) 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, IHF achieves a 7.93% return, which is significantly lower than QQQ's 20.71% return. Over the past 10 years, IHF has underperformed QQQ with an annualized return of 8.27%, while QQQ has yielded a comparatively higher 21.84% annualized return.

IHF

• 1D: 3.14%
• 1M: 7.98%
• YTD: 7.93%
• 6M: 6.98%
• 1Y: 10.08%
• 3Y*: 1.25%
• 5Y*: 0.09%
• 10Y*: 8.27%

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)

IHF vs. QQQ - Yearly Performance Comparison

	2026 (YTD)	2025	2024	2023	2022	2021	2020	2019	2018	2017
IHF iShares U.S. Healthcare Providers ETF	7.93%	0.92%	-7.90%	-1.11%	-7.11%	24.46%	17.67%	22.34%	9.56%	25.45%
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 IHF and QQQ is 0.20, which is low. Their price movements are largely independent, making them effective diversification partners.

	Correlation
Correlation (1Y) Calculated over the trailing 1-year period	0.20
Correlation (3Y) Calculated over the trailing 3-year period	0.23
Correlation (5Y) Calculated over the trailing 5-year period	0.39
Correlation (10Y) Calculated over the trailing 10-year period	0.44
Correlation (All Time) Calculated using the full available price history since May 8, 2006	0.54

Over the past year, the correlation between IHF and QQQ has dropped to 0.20 - well below their long-term average of 0.54, suggesting their price drivers have been diverging.

IHF vs. QQQ - Sectors Allocation Comparison

Sectors	IHF	QQQ
Healthcare	99.1%	4.2%
Financial Services	0.6%	0.2%
Technology	0.3%	53.8%
Basic Materials	-	1.1%
Communication Services	-	15.8%
Consumer Cyclical	-	12.3%
Consumer Defensive	-	7.7%
Energy	-	0.6%
Industrials	-	2.8%
Real Estate	-	0.1%
Utilities	-	1.4%

Return for Risk

IHF vs. QQQ — Risk / Return Rank

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

IHF

IHF Risk / Return Rank: 16
IHF Sharpe Ratio Rank: 17
IHF Sortino Ratio Rank: 16
IHF Omega Ratio Rank: 18
IHF Calmar Ratio Rank: 15
IHF Martin Ratio Rank: 15

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.

IHF vs. QQQ - Risk-Adjusted Trends Comparison

This table presents a comparison of risk-adjusted performance metrics for iShares U.S. Healthcare Providers ETF (IHF) 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.

	IHF	QQQ	Difference
Sharpe ratio: Return per unit of total volatility	0.47	2.57	-2.10
Sortino ratio: Return per unit of downside risk	0.73	3.37	-2.64
Omega ratio: Gain probability vs. loss probability	1.11	1.44	-0.33
Calmar ratio: Return relative to maximum drawdown	0.51	3.42	-2.91
Martin ratio: Return relative to average drawdown	1.19	13.14	-11.96
Data is calculated on a 1-year rolling basis and updated daily. The trend shows the change in the indicator over the past month.

IHF vs. QQQ - Sharpe Ratio Comparison

The current IHF Sharpe Ratio is 0.47, which is lower than the QQQ Sharpe Ratio of 2.57. The chart below compares the historical Sharpe Ratios of IHF 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

	IHF	QQQ	Difference
Sharpe Ratio (1Y) Calculated over the trailing 1-year period	0.47	2.57	-2.10
Sharpe Ratio (5Y) Calculated over the trailing 5-year period	0.00	0.80	-0.80
Sharpe Ratio (10Y) Calculated over the trailing 10-year period	0.39	0.98	-0.59
Sharpe Ratio (All Time) Calculated using the full available price history	0.39	0.41	-0.02

Drawdowns

IHF vs. QQQ - Drawdown Comparison

The maximum IHF drawdown since its inception was -58.42%, smaller than the maximum QQQ drawdown of -82.97%. Use the drawdown chart below to compare losses from any high point for IHF and QQQ.

Drawdown Indicators

	IHF	QQQ	Difference
Max Drawdown Largest peak-to-trough decline	-58.42%	-82.97%	+24.55%
Max Drawdown (1Y) Largest decline over 1 year	-19.72%	-11.96%	-7.76%
Max Drawdown (3Y) Largest decline over 3 years	-29.85%	-22.77%	-7.08%
Max Drawdown (5Y) Largest decline over 5 years	-29.85%	-35.12%	+5.27%
Max Drawdown (10Y) Largest decline over 10 years	-35.23%	-35.12%	-0.11%
Current Drawdown Current decline from peak	-10.44%	-0.74%	-9.70%
Average Drawdown Average peak-to-trough decline	-10.65%	-32.78%	+22.13%
Ulcer Index Depth and duration of drawdowns from previous peaks	8.51%	3.11%	+5.40%

Volatility

IHF vs. QQQ - Volatility Comparison

iShares U.S. Healthcare Providers ETF (IHF) has a higher volatility of 5.89% compared to Invesco QQQ ETF (QQQ) at 4.51%. This indicates that IHF'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

	IHF	QQQ	Difference
Volatility (1M) Calculated over the trailing 1-month period	5.89%	4.51%	+1.38%
Volatility (6M) Calculated over the trailing 6-month period	16.11%	12.10%	+4.01%
Volatility (1Y) Calculated over the trailing 1-year period	21.73%	15.94%	+5.79%
Volatility (5Y) Calculated over the trailing 5-year period, annualized	19.15%	22.37%	-3.22%
Volatility (10Y) Calculated over the trailing 10-year period, annualized	21.02%	22.29%	-1.27%

IHF vs. QQQ - Expense Ratio Comparison

IHF has a 0.43% expense ratio, which is higher than QQQ's 0.18% expense ratio.

Dividends

IHF vs. QQQ - Dividend Comparison

IHF's dividend yield for the trailing twelve months is around 1.03%, more than QQQ's 0.38% yield.

Position	TTM	2025	2024	2023	2022	2021	2020	2019	2018	2017	2016	2015
IHF iShares U.S. Healthcare Providers ETF	1.03%	1.05%	0.86%	0.79%	0.74%	0.56%	0.53%	0.58%	4.01%	0.19%	0.25%	0.20%
QQQ Invesco QQQ ETF	0.38%	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 IHF and QQQ in my portfolio?

IHF and QQQ have a correlation of 0.20, meaning they provide meaningful diversification benefit when combined. Depending on your allocation goals, holding both could reduce overall portfolio risk.

Which is riskier, IHF or QQQ?

IHF has higher volatility (5.89%) compared to QQQ (4.51%). In terms of maximum drawdown, IHF dropped -58.42% vs QQQ's -82.97%.

Which ETF is better, IHF or QQQ?

On 10-year performance, QQQ leads with 21.84% vs 8.27% for IHF. On fees, QQQ is cheaper at 0.18% per year. On volatility, QQQ has been the lower-risk option at 4.51%. The better choice depends on whether you care most about return, fees, risk, or income.

Which ETF has performed better, IHF or QQQ?

Over the 10-year period, QQQ has performed better with a 21.84% return vs 8.27%. Past performance does not guarantee future results, so compare this with risk, fees, and fund exposure.

Which ETF is cheaper, IHF or QQQ?

QQQ is cheaper with a 0.18% expense ratio, compared with 0.43% for IHF.

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

IHF has the higher dividend yield at 1.03%, compared with 0.38% for QQQ.

What is the main difference between IHF and QQQ?

IHF is categorized as Health & Biotech Equities, while QQQ is Nasdaq-100. IHF tracks Dow Jones U.S. Select Health Care Providers Index, while QQQ tracks NASDAQ-100 Index. They also come from different issuers: iShares and Invesco. Their fees differ too: 0.43% for IHF and 0.18% for QQQ.

Which has better risk-adjusted returns?

QQQ currently has the higher Sharpe Ratio (2.57 vs 0.47), 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.