ISVL vs. QQQ

Last updated Jun 13, 2026

ISVL (iShares International Developed Small Cap Value Factor ETF) and QQQ (Invesco QQQ ETF) are both exchange-traded funds - ISVL is a Small Cap Value Equities fund tracking the FTSE Developed ex US ex Korea Small Cap Focused Value Index, while QQQ is a Nasdaq-100 fund tracking the NASDAQ-100 Index. Both are passively managed. Over the past 5 years, ISVL returned 10.55%/yr vs 16.85%/yr for QQQ. A 0.60 correlation means they provide meaningful diversification when combined. ISVL charges 0.30%/yr vs 0.18%/yr for QQQ.

Performance

ISVL vs. QQQ - Performance Comparison

The chart below illustrates the hypothetical performance of a $10,000 investment in iShares International Developed Small Cap Value Factor ETF (ISVL) 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, ISVL achieves a 10.51% return, which is significantly lower than QQQ's 17.57% return.

ISVL

• 1D: 0.50%
• 1M: 1.31%
• YTD: 10.51%
• 6M: 13.02%
• 1Y: 28.56%
• 3Y*: 21.36%
• 5Y*: 10.55%
• 10Y*: —

QQQ

• 1D: 0.59%
• 1M: 0.93%
• YTD: 17.57%
• 6M: 17.85%
• 1Y: 35.82%
• 3Y*: 26.43%
• 5Y*: 16.85%
• 10Y*: 21.79%

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

ISVL vs. QQQ - Yearly Performance Comparison

	2026 (YTD)	2025	2024	2023	2022	2021
ISVL iShares International Developed Small Cap Value Factor ETF	10.51%	42.84%	4.58%	17.56%	-13.69%	8.32%
QQQ Invesco QQQ ETF	17.57%	20.77%	25.58%	54.86%	-32.58%	28.02%

Correlation

The correlation between ISVL and QQQ is 0.57, 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	0.57
Correlation (3Y) Calculated over the trailing 3-year period	0.54
Correlation (5Y) Calculated over the trailing 5-year period	0.60
Correlation (All Time) Calculated using the full available price history since Mar 25, 2021	0.60

The correlation between ISVL and QQQ has been stable across timeframes, ranging from 0.54 to 0.60 - a consistent structural relationship.

ISVL vs. QQQ - Sectors Allocation Comparison

Sectors	ISVL	QQQ
Industrials	23.3%	2.8%
Financial Services	20.8%	0.2%
Real Estate	11.1%	0.1%
Consumer Cyclical	10.4%	12.3%
Basic Materials	9.1%	1.1%
Energy	7.3%	0.6%
Consumer Defensive	5.3%	7.7%
Technology	4.7%	53.8%
Healthcare	3.7%	4.2%
Communication Services	3.0%	15.8%
Utilities	1.5%	1.4%

Return for Risk

ISVL vs. QQQ — Risk / Return Rank

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

ISVL

ISVL Risk / Return Rank: 63
ISVL Sharpe Ratio Rank: 69
ISVL Sortino Ratio Rank: 70
ISVL Omega Ratio Rank: 68
ISVL Calmar Ratio Rank: 53
ISVL Martin Ratio Rank: 58

QQQ

QQQ Risk / Return Rank: 71
QQQ Sharpe Ratio Rank: 75
QQQ Sortino Ratio Rank: 70
QQQ Omega Ratio Rank: 73
QQQ Calmar Ratio Rank: 69
QQQ Martin Ratio Rank: 70

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.

ISVL vs. QQQ - Risk-Adjusted Trends Comparison

This table presents a comparison of risk-adjusted performance metrics for iShares International Developed Small Cap Value Factor ETF (ISVL) 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.

	ISVL	QQQ	Difference
Sharpe ratio: Return per unit of total volatility	1.94	2.09	-0.15
Sortino ratio: Return per unit of downside risk	2.74	2.73	+0.01
Omega ratio: Gain probability vs. loss probability	1.35	1.37	-0.02
Calmar ratio: Return relative to maximum drawdown	2.30	3.01	-0.71
Martin ratio: Return relative to average drawdown	8.97	11.22	-2.25

ISVL vs. QQQ - Sharpe Ratio Comparison

The current ISVL Sharpe Ratio is 1.94, which is comparable to the QQQ Sharpe Ratio of 2.09. The chart below compares the historical Sharpe Ratios of ISVL 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

ISVL vs. QQQ - Drawdown Comparison

The maximum ISVL drawdown since its inception was -30.48%, smaller than the maximum QQQ drawdown of -82.97%. Use the drawdown chart below to compare losses from any high point for ISVL and QQQ.

Drawdown Indicators

	ISVL	QQQ	Difference
Max Drawdown Largest peak-to-trough decline	-30.48%	-82.97%	+52.49%
Max Drawdown (1Y) Largest decline over 1 year	-12.48%	-11.96%	-0.52%
Max Drawdown (3Y) Largest decline over 3 years	-12.93%	-22.77%	+9.84%
Max Drawdown (5Y) Largest decline over 5 years	-30.48%	-35.12%	+4.64%
Max Drawdown (10Y) Largest decline over 10 years	—	-35.12%	—
Current Drawdown Current decline from peak	-0.30%	-3.33%	+3.03%
Average Drawdown Average peak-to-trough decline	-6.63%	-32.75%	+26.12%
Ulcer Index Depth and duration of drawdowns from previous peaks	3.20%	3.20%	0.00%

Volatility

ISVL vs. QQQ - Volatility Comparison

The current volatility for iShares International Developed Small Cap Value Factor ETF (ISVL) is 4.96%, while Invesco QQQ ETF (QQQ) has a volatility of 7.56%. This indicates that ISVL 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

	ISVL	QQQ	Difference
Volatility (1M) Calculated over the trailing 1-month period	4.96%	7.56%	-2.60%
Volatility (6M) Calculated over the trailing 6-month period	12.44%	13.81%	-1.37%
Volatility (1Y) Calculated over the trailing 1-year period	14.80%	17.19%	-2.39%
Volatility (5Y) Calculated over the trailing 5-year period, annualized	16.95%	22.55%	-5.60%
Volatility (10Y) Calculated over the trailing 10-year period, annualized	16.79%	22.38%	-5.59%

ISVL vs. QQQ - Expense Ratio Comparison

ISVL has a 0.30% expense ratio, which is higher than QQQ's 0.18% expense ratio.

Dividends

ISVL vs. QQQ - Dividend Comparison

ISVL's dividend yield for the trailing twelve months is around 2.43%, more than QQQ's 0.39% yield.

Position	TTM	2025	2024	2023	2022	2021	2020	2019	2018	2017	2016	2015
ISVL iShares International Developed Small Cap Value Factor ETF	2.43%	2.69%	3.92%	3.82%	3.37%	2.82%	0.00%	0.00%	0.00%	0.00%	0.00%	0.00%
QQQ Invesco QQQ ETF	0.39%	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 ISVL and QQQ in my portfolio?

ISVL and QQQ have a correlation of 0.57, meaning they provide meaningful diversification benefit when combined. Depending on your allocation goals, holding both could reduce overall portfolio risk.

Which is riskier, ISVL or QQQ?

QQQ has higher volatility (7.56%) compared to ISVL (4.96%). In terms of maximum drawdown, ISVL dropped -30.48% vs QQQ's -82.97%.

Which ETF is better, ISVL or QQQ?

On 5-year performance, QQQ leads with 16.85% vs 10.55% for ISVL. On fees, QQQ is cheaper at 0.18% per year. On volatility, ISVL has been the lower-risk option at 4.96%. The better choice depends on whether you care most about return, fees, risk, or income.

Which ETF has performed better, ISVL or QQQ?

Over the 5-year period, QQQ has performed better with a 16.85% return vs 10.55%. Past performance does not guarantee future results, so compare this with risk, fees, and fund exposure.

Which ETF is cheaper, ISVL or QQQ?

QQQ is cheaper with a 0.18% expense ratio, compared with 0.30% for ISVL.

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

ISVL has the higher dividend yield at 2.43%, compared with 0.39% for QQQ.

What is the main difference between ISVL and QQQ?

ISVL is categorized as Small Cap Value Equities, while QQQ is Nasdaq-100. ISVL tracks FTSE Developed ex US ex Korea Small Cap Focused Value Index, while QQQ tracks NASDAQ-100 Index. They also come from different issuers: iShares and Invesco. Their fees differ too: 0.30% for ISVL and 0.18% for QQQ.

Which has better risk-adjusted returns?

QQQ currently has the higher Sharpe Ratio (2.09 vs 1.94), 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.