JOET vs. QQQ

Last updated Jun 3, 2026

JOET (Virtus Terranova U.S. Quality Momentum ETF) and QQQ (Invesco QQQ ETF) are both exchange-traded funds - JOET is a Momentum fund tracking the Terranova U.S. Quality Momentum Index, while QQQ is a Nasdaq-100 fund tracking the NASDAQ-100 Index. Both are passively managed. Over the past 5 years, JOET returned 11.09%/yr vs 18.43%/yr for QQQ. Their correlation of 0.84 suggests significant overlap in exposure. JOET charges 0.29%/yr vs 0.18%/yr for QQQ.

Performance

JOET vs. QQQ - Performance Comparison

The chart below illustrates the hypothetical performance of a $10,000 investment in Virtus Terranova U.S. Quality Momentum ETF (JOET) 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, JOET achieves a 7.43% return, which is significantly lower than QQQ's 21.62% return.

JOET

• 1D: 0.76%
• 1M: 5.28%
• YTD: 7.43%
• 6M: 7.54%
• 1Y: 14.71%
• 3Y*: 18.62%
• 5Y*: 11.09%
• 10Y*: —

QQQ

• 1D: 0.46%
• 1M: 10.68%
• YTD: 21.62%
• 6M: 20.27%
• 1Y: 43.30%
• 3Y*: 28.89%
• 5Y*: 18.43%
• 10Y*: 21.97%

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

JOET vs. QQQ - Yearly Performance Comparison

	2026 (YTD)	2025	2024	2023	2022	2021	2020
JOET Virtus Terranova U.S. Quality Momentum ETF	7.43%	11.89%	24.01%	16.34%	-18.04%	26.79%	6.00%
QQQ Invesco QQQ ETF	21.62%	20.77%	25.58%	54.86%	-32.58%	27.42%	8.34%

Correlation

The correlation between JOET and QQQ is 0.79, 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	0.79
Correlation (3Y) Calculated over the trailing 3-year period	0.81
Correlation (5Y) Calculated over the trailing 5-year period	0.83
Correlation (All Time) Calculated using the full available price history since Nov 19, 2020	0.84

The correlation between JOET and QQQ has been stable across timeframes, ranging from 0.79 to 0.84 - a consistent structural relationship.

JOET vs. QQQ - Sectors Allocation Comparison

Sectors	JOET	QQQ
Technology	23.1%	53.8%
Industrials	22.6%	2.8%
Financial Services	15.1%	0.2%
Healthcare	11.1%	4.2%
Consumer Cyclical	10.3%	12.3%
Energy	5.8%	0.6%
Communication Services	4.0%	15.8%
Basic Materials	3.2%	1.1%
Real Estate	2.4%	0.1%
Consumer Defensive	1.6%	7.7%
Utilities	0.8%	1.4%

Return for Risk

JOET vs. QQQ — Risk / Return Rank

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

JOET

JOET Risk / Return Rank: 31
JOET Sharpe Ratio Rank: 31
JOET Sortino Ratio Rank: 30
JOET Omega Ratio Rank: 28
JOET Calmar Ratio Rank: 29
JOET Martin Ratio Rank: 36

QQQ

QQQ Risk / Return Rank: 77
QQQ Sharpe Ratio Rank: 83
QQQ Sortino Ratio Rank: 78
QQQ Omega Ratio Rank: 77
QQQ Calmar Ratio Rank: 73
QQQ Martin Ratio Rank: 74

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.

JOET vs. QQQ - Risk-Adjusted Trends Comparison

This table presents a comparison of risk-adjusted performance metrics for Virtus Terranova U.S. Quality Momentum ETF (JOET) 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.

	JOET	QQQ	Difference
Sharpe ratio Return per unit of total volatility	1.10	2.73	-1.63
Sortino ratio Return per unit of downside risk	1.63	3.55	-1.91
Omega ratio Gain probability vs. loss probability	1.19	1.47	-0.27
Calmar ratio Return relative to maximum drawdown	1.45	3.71	-2.27
Martin ratio Return relative to average drawdown	5.56	14.30	-8.74
Data is calculated on a 1-year rolling basis and updated daily. The trend shows the change in the indicator over the past month.

JOET vs. QQQ - Sharpe Ratio Comparison

The current JOET Sharpe Ratio is 1.10, which is lower than the QQQ Sharpe Ratio of 2.73. The chart below compares the historical Sharpe Ratios of JOET 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

	JOET	QQQ	Difference
Sharpe Ratio (1Y) Calculated over the trailing 1-year period	1.10	2.73	-1.63
Sharpe Ratio (5Y) Calculated over the trailing 5-year period	0.63	0.83	-0.20
Sharpe Ratio (10Y) Calculated over the trailing 10-year period	—	0.99	—
Sharpe Ratio (All Time) Calculated using the full available price history	0.71	0.41	+0.30

Drawdowns

JOET vs. QQQ - Drawdown Comparison

The maximum JOET drawdown since its inception was -26.58%, smaller than the maximum QQQ drawdown of -82.97%. Use the drawdown chart below to compare losses from any high point for JOET and QQQ.

Drawdown Indicators

	JOET	QQQ	Difference
Max Drawdown Largest peak-to-trough decline	-26.58%	-82.97%	+56.39%
Max Drawdown (1Y) Largest decline over 1 year	-10.42%	-11.96%	+1.54%
Max Drawdown (3Y) Largest decline over 3 years	-19.55%	-22.77%	+3.22%
Max Drawdown (5Y) Largest decline over 5 years	-26.58%	-35.12%	+8.54%
Max Drawdown (10Y) Largest decline over 10 years	—	-35.12%	—
Current Drawdown Current decline from peak	0.00%	0.00%	0.00%
Average Drawdown Average peak-to-trough decline	-7.19%	-32.79%	+25.60%
Ulcer Index Depth and duration of drawdowns from previous peaks	2.71%	3.11%	-0.40%

Volatility

JOET vs. QQQ - Volatility Comparison

The current volatility for Virtus Terranova U.S. Quality Momentum ETF (JOET) is 3.56%, while Invesco QQQ ETF (QQQ) has a volatility of 4.48%. This indicates that JOET 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

	JOET	QQQ	Difference
Volatility (1M) Calculated over the trailing 1-month period	3.56%	4.48%	-0.92%
Volatility (6M) Calculated over the trailing 6-month period	10.40%	12.11%	-1.71%
Volatility (1Y) Calculated over the trailing 1-year period	13.45%	15.95%	-2.50%
Volatility (5Y) Calculated over the trailing 5-year period, annualized	17.71%	22.39%	-4.68%
Volatility (10Y) Calculated over the trailing 10-year period, annualized	17.53%	22.30%	-4.77%

JOET vs. QQQ - Expense Ratio Comparison

JOET has a 0.29% expense ratio, which is higher than QQQ's 0.18% expense ratio.

Dividends

JOET vs. QQQ - Dividend Comparison

JOET's dividend yield for the trailing twelve months is around 0.61%, more than QQQ's 0.38% yield.

Position	TTM	2025	2024	2023	2022	2021	2020	2019	2018	2017	2016	2015
JOET Virtus Terranova U.S. Quality Momentum ETF	0.61%	0.65%	0.71%	1.32%	1.25%	0.42%	0.08%	0.00%	0.00%	0.00%	0.00%	0.00%
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 JOET and QQQ in my portfolio?

JOET and QQQ have a correlation of 0.79, meaning they provide meaningful diversification benefit when combined. Depending on your allocation goals, holding both could reduce overall portfolio risk.

Which is riskier, JOET or QQQ?

QQQ has higher volatility (4.48%) compared to JOET (3.56%). In terms of maximum drawdown, JOET dropped -26.58% vs QQQ's -82.97%.

Which ETF is better, JOET or QQQ?

On 5-year performance, QQQ leads with 18.43% vs 11.09% for JOET. On fees, QQQ is cheaper at 0.18% per year. On volatility, JOET has been the lower-risk option at 3.56%. The better choice depends on whether you care most about return, fees, risk, or income.

Which ETF has performed better, JOET or QQQ?

Over the 5-year period, QQQ has performed better with a 18.43% return vs 11.09%. Past performance does not guarantee future results, so compare this with risk, fees, and fund exposure.

Which ETF is cheaper, JOET or QQQ?

QQQ is cheaper with a 0.18% expense ratio, compared with 0.29% for JOET.

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

JOET has the higher dividend yield at 0.61%, compared with 0.38% for QQQ.

What is the main difference between JOET and QQQ?

JOET is categorized as Momentum, while QQQ is Nasdaq-100. JOET tracks Terranova U.S. Quality Momentum Index, while QQQ tracks NASDAQ-100 Index. They also come from different issuers: Virtus Investment Partners and Invesco. Their fees differ too: 0.29% for JOET and 0.18% for QQQ.

Which has better risk-adjusted returns?

QQQ currently has the higher Sharpe Ratio (2.73 vs 1.10), 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.