QQA vs. PAPI

Last updated Jun 4, 2026

QQA (Invesco QQQ Income Advantage ETF) and PAPI (Parametric Equity Premium Income ETF) are both Derivative Income funds. Both are actively managed. Over the past year, QQA returned 32.22% vs 12.39% for PAPI. At a 0.26 correlation, their price movements are largely independent. Both charge a 0.29% expense ratio.

Performance

QQA vs. PAPI - Performance Comparison

The chart below illustrates the hypothetical performance of a $10,000 investment in Invesco QQQ Income Advantage ETF (QQA) and Parametric Equity Premium Income ETF (PAPI). The values are adjusted to include any dividend payments, if applicable.

Returns By Period

In the year-to-date period, QQA achieves a 14.57% return, which is significantly higher than PAPI's 5.81% return.

QQA

• 1D: -0.10%
• 1M: 7.03%
• YTD: 14.57%
• 6M: 14.20%
• 1Y: 32.22%
• 3Y*: —
• 5Y*: —
• 10Y*: —

PAPI

• 1D: -0.26%
• 1M: 0.28%
• YTD: 5.81%
• 6M: 5.78%
• 1Y: 12.39%
• 3Y*: —
• 5Y*: —
• 10Y*: —

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

QQA vs. PAPI - Yearly Performance Comparison

	2026 (YTD)	2025	2024
QQA Invesco QQQ Income Advantage ETF	14.57%	17.24%	7.11%
PAPI Parametric Equity Premium Income ETF	5.81%	6.33%	-0.25%

Correlation

The correlation between QQA and PAPI is 0.16, which is low. Their price movements are largely independent, making them effective diversification partners.

	Correlation
Correlation (1Y) Calculated over the trailing 1-year period	0.16
Correlation (All Time) Calculated using the full available price history since Jul 18, 2024	0.26

QQA vs. PAPI - Sectors Allocation Comparison

Sectors	QQA	PAPI
Technology	53.8%	12.5%
Communication Services	15.8%	5.4%
Consumer Cyclical	12.3%	12.1%
Consumer Defensive	7.7%	10.1%
Healthcare	4.2%	10.7%
Industrials	2.8%	9.9%
Utilities	1.4%	10.1%
Basic Materials	1.1%	7.8%
Energy	0.6%	11.6%
Financial Services	0.2%	9.9%
Real Estate	0.1%	-

Return for Risk

QQA vs. PAPI — Risk / Return Rank

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

QQA

QQA Risk / Return Rank: 77
QQA Sharpe Ratio Rank: 77
QQA Sortino Ratio Rank: 75
QQA Omega Ratio Rank: 76
QQA Calmar Ratio Rank: 73
QQA Martin Ratio Rank: 81

PAPI

PAPI Risk / Return Rank: 33
PAPI Sharpe Ratio Rank: 32
PAPI Sortino Ratio Rank: 34
PAPI Omega Ratio Rank: 30
PAPI Calmar Ratio Rank: 37
PAPI Martin Ratio Rank: 33

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.

QQA vs. PAPI - Risk-Adjusted Trends Comparison

This table presents a comparison of risk-adjusted performance metrics for Invesco QQQ Income Advantage ETF (QQA) and Parametric Equity Premium Income ETF (PAPI). 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.

	QQA	PAPI	Difference
Sharpe ratio: Return per unit of total volatility	2.57	1.19	+1.38
Sortino ratio: Return per unit of downside risk	3.47	1.82	+1.64
Omega ratio: Gain probability vs. loss probability	1.46	1.21	+0.26
Calmar ratio: Return relative to maximum drawdown	3.70	1.81	+1.88
Martin ratio: Return relative to average drawdown	16.59	4.90	+11.69
Data is calculated on a 1-year rolling basis and updated daily. The trend shows the change in the indicator over the past month.

QQA vs. PAPI - Sharpe Ratio Comparison

The current QQA Sharpe Ratio is 2.57, which is higher than the PAPI Sharpe Ratio of 1.19. The chart below compares the historical Sharpe Ratios of QQA and PAPI, 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

	QQA	PAPI	Difference
Sharpe Ratio (1Y) Calculated over the trailing 1-year period	2.57	1.19	+1.38
Sharpe Ratio (All Time) Calculated using the full available price history	1.18	0.88	+0.30

Drawdowns

QQA vs. PAPI - Drawdown Comparison

The maximum QQA drawdown since its inception was -19.73%, which is greater than PAPI's maximum drawdown of -14.27%. Use the drawdown chart below to compare losses from any high point for QQA and PAPI.

Drawdown Indicators

	QQA	PAPI	Difference
Max Drawdown Largest peak-to-trough decline	-19.73%	-14.27%	-5.46%
Max Drawdown (1Y) Largest decline over 1 year	-8.76%	-6.86%	-1.90%
Current Drawdown Current decline from peak	-0.10%	-5.06%	+4.96%
Average Drawdown Average peak-to-trough decline	-2.44%	-2.73%	+0.29%
Ulcer Index Depth and duration of drawdowns from previous peaks	1.95%	2.53%	-0.58%

Volatility

QQA vs. PAPI - Volatility Comparison

Invesco QQQ Income Advantage ETF (QQA) has a higher volatility of 2.91% compared to Parametric Equity Premium Income ETF (PAPI) at 2.23%. This indicates that QQA's price experiences larger fluctuations and is considered to be riskier than PAPI based on this measure. The chart below showcases a comparison of their rolling one-month volatility.

Volatility by Period

	QQA	PAPI	Difference
Volatility (1M) Calculated over the trailing 1-month period	2.91%	2.23%	+0.68%
Volatility (6M) Calculated over the trailing 6-month period	9.68%	7.00%	+2.68%
Volatility (1Y) Calculated over the trailing 1-year period	12.59%	10.55%	+2.04%
Volatility (5Y) Calculated over the trailing 5-year period, annualized	18.27%	11.76%	+6.51%
Volatility (10Y) Calculated over the trailing 10-year period, annualized	18.27%	11.76%	+6.51%

QQA vs. PAPI - Expense Ratio Comparison

Both QQA and PAPI have an expense ratio of 0.29%.

Dividends

QQA vs. PAPI - Dividend Comparison

QQA's dividend yield for the trailing twelve months is around 9.29%, more than PAPI's 7.62% yield.

Position	TTM	2025	2024	2023
PAPI Parametric Equity Premium Income ETF	7.62%	7.59%	7.07%	1.45%
QQA Invesco QQQ Income Advantage ETF	9.29%	9.78%	4.29%	0.00%

Frequently Asked Questions

Can I hold both QQA and PAPI in my portfolio?

QQA and PAPI have a correlation of 0.16, meaning they provide meaningful diversification benefit when combined. Depending on your allocation goals, holding both could reduce overall portfolio risk.

Which is riskier, QQA or PAPI?

QQA has higher volatility (2.91%) compared to PAPI (2.23%). In terms of maximum drawdown, QQA dropped -19.73% vs PAPI's -14.27%.

Which ETF is better, QQA or PAPI?

On 1-year performance, QQA leads with 32.22% vs 12.39% for PAPI. Both ETFs have the same 0.29% expense ratio. On volatility, PAPI has been the lower-risk option at 2.23%. The better choice depends on whether you care most about return, fees, risk, or income.

Which ETF has performed better, QQA or PAPI?

Over the 1-year period, QQA has performed better with a 32.22% return vs 12.39%. Past performance does not guarantee future results, so compare this with risk, fees, and fund exposure.

Which ETF is cheaper, QQA or PAPI?

QQA and PAPI have the same expense ratio: 0.29% per year.

Which ETF pays a higher dividend yield, QQA or PAPI?

QQA has the higher dividend yield at 9.29%, compared with 7.62% for PAPI.

What is the main difference between QQA and PAPI?

They also come from different issuers: Invesco and Morgan Stanley.

Which has better risk-adjusted returns?

QQA currently has the higher Sharpe Ratio (2.57 vs 1.19), 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.