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QQQ vs. SPY
Performance
Return for Risk
Drawdowns
Volatility
Dividends

QQQ vs. SPY

Last updated Jun 17, 2026

QQQ (Invesco QQQ ETF) and SPY (State Street SPDR S&P 500 ETF) are both exchange-traded funds - QQQ is a Nasdaq-100 fund tracking the NASDAQ-100 Index, while SPY is a S&P 500 fund tracking the S&P 500 Index. Both are passively managed. Over the past 10 years, QQQ returned 22.07%/yr vs 15.58%/yr for SPY. Their correlation of 0.87 suggests significant overlap in exposure. QQQ charges 0.18%/yr vs 0.09%/yr for SPY.

Performance

QQQ vs. SPY - Performance Comparison

The chart below illustrates the hypothetical performance of a $10,000 investment in Invesco QQQ ETF (QQQ) and State Street SPDR S&P 500 ETF (SPY). The values are adjusted to include any dividend payments, if applicable.

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Returns By Period

In the year-to-date period, QQQ achieves a 18.96% return, which is significantly higher than SPY's 10.33% return. Over the past 10 years, QQQ has outperformed SPY with an annualized return of 22.07%, while SPY has yielded a comparatively lower 15.58% annualized return.

QQQ

1D
-1.90%
1M
2.95%
YTD
18.96%
6M
19.61%
1Y
37.26%
3Y*
26.39%
5Y*
16.84%
10Y*
22.07%

SPY

1D
-0.60%
1M
1.51%
YTD
10.33%
6M
11.16%
1Y
25.93%
3Y*
20.91%
5Y*
13.74%
10Y*
15.58%
*Multi-year figures are annualized to reflect compound growth (CAGR)

QQQ vs. SPY - Yearly Performance Comparison

2026 (YTD)202520242023202220212020201920182017
QQQ
Invesco QQQ ETF		18.96%20.77%25.58%54.86%-32.58%27.42%48.62%38.96%-0.13%32.66%
SPY
State Street SPDR S&P 500 ETF		10.33%17.72%24.89%26.18%-18.18%28.73%18.33%31.22%-4.57%21.71%

Correlation

The correlation between QQQ and SPY is 0.93, indicating a strong positive relationship between their price movements. Combining them offers limited diversification - they tend to fall together during downturns.

Correlation
Correlation (1Y)
Calculated over the trailing 1-year period

0.93

Correlation (3Y)
Calculated over the trailing 3-year period

0.93

Correlation (5Y)
Calculated over the trailing 5-year period

0.94

Correlation (10Y)
Calculated over the trailing 10-year period

0.91

Correlation (All Time)
Calculated using the full available price history since Mar 10, 1999

0.87

The correlation between QQQ and SPY has been stable across timeframes, ranging from 0.87 to 0.94 - a consistent structural relationship.

QQQ vs. SPY - Sectors Allocation Comparison

Sectors
QQQ
SPY

Technology

58.7%
39.0%

Communication Services

14.3%
10.6%

Consumer Cyclical

11.4%
9.9%

Consumer Defensive

6.4%
4.5%

Healthcare

3.7%
8.3%

Industrials

2.6%
7.8%

Utilities

1.2%
2.1%

Basic Materials

1.0%
1.7%

Energy

0.5%
3.1%

Financial Services

0.2%
11.1%

Real Estate

0.1%
1.8%

Technology

QQQ
58.7%
SPY
39.0%

Communication Services

QQQ
14.3%
SPY
10.6%

Consumer Cyclical

QQQ
11.4%
SPY
9.9%

Consumer Defensive

QQQ
6.4%
SPY
4.5%

Healthcare

QQQ
3.7%
SPY
8.3%

Industrials

QQQ
2.6%
SPY
7.8%

Utilities

QQQ
1.2%
SPY
2.1%

Basic Materials

QQQ
1.0%
SPY
1.7%

Energy

QQQ
0.5%
SPY
3.1%

Financial Services

QQQ
0.2%
SPY
11.1%

Real Estate

QQQ
0.1%
SPY
1.8%

Compare stocks, funds, or ETFs

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Invesco QQQ ETF

State Street SPDR S&P 500 ETF

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Return for Risk

QQQ vs. SPY — Risk / Return Rank

Compare risk-adjusted metric ranks to identify better-performing investments over the past 12 months.
QQQ
QQQ Risk / Return Rank: 6565
Overall Rank
QQQ Sharpe Ratio Rank: 6868
Sharpe Ratio Rank
QQQ Sortino Ratio Rank: 6363
Sortino Ratio Rank
QQQ Omega Ratio Rank: 6565
Omega Ratio Rank
QQQ Calmar Ratio Rank: 6464
Calmar Ratio Rank
QQQ Martin Ratio Rank: 6666
Martin Ratio Rank
SPY
SPY Risk / Return Rank: 6666
Overall Rank
SPY Sharpe Ratio Rank: 6767
Sharpe Ratio Rank
SPY Sortino Ratio Rank: 6464
Sortino Ratio Rank
SPY Omega Ratio Rank: 6767
Omega Ratio Rank
SPY Calmar Ratio Rank: 6060
Calmar Ratio Rank
SPY Martin Ratio Rank: 7373
Martin Ratio Rank
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.

QQQ vs. SPY - Risk-Adjusted Trends Comparison

This table presents a comparison of risk-adjusted performance metrics for Invesco QQQ ETF (QQQ) and State Street SPDR S&P 500 ETF (SPY). 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.

QQQSPYDifference
Sharpe ratioReturn per unit of total volatility
2.14
2.11

+0.03

Sortino ratioReturn per unit of downside risk
2.80
2.86

-0.06

Omega ratioGain probability vs. loss probability

1.38

1.38

-0.01

Calmar ratioReturn relative to maximum drawdown

3.13

2.93

+0.20

Martin ratioReturn relative to average drawdown

11.67

13.24

-1.57

QQQ vs. SPY - Sharpe Ratio Comparison

The current QQQ Sharpe Ratio is 2.14, which is comparable to the SPY Sharpe Ratio of 2.11. The chart below compares the historical Sharpe Ratios of QQQ and SPY, calculated using daily returns over the previous 12 months. A higher Sharpe Ratio indicates better risk-adjusted performance relative to the risk-free rate.

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Drawdowns

QQQ vs. SPY - Drawdown Comparison

The maximum QQQ drawdown since its inception was -82.97%, which is greater than SPY's maximum drawdown of -55.19%. Use the drawdown chart below to compare losses from any high point for QQQ and SPY.

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Drawdown Indicators

QQQSPYDifference

Max Drawdown

Largest peak-to-trough decline

-82.97%

-55.19%

-27.78%

Max Drawdown (1Y)

Largest decline over 1 year

-11.96%

-8.88%

-3.08%

Max Drawdown (3Y)

Largest decline over 3 years

-22.77%

-18.76%

-4.01%

Max Drawdown (5Y)

Largest decline over 5 years

-35.12%

-24.50%

-10.62%

Max Drawdown (10Y)

Largest decline over 10 years

-35.12%

-33.72%

-1.40%

Current Drawdown

Current decline from peak

-2.18%

-1.22%

-0.96%

Average Drawdown

Average peak-to-trough decline

-32.74%

-9.04%

-23.70%

Ulcer Index

Depth and duration of drawdowns from previous peaks

3.20%

1.97%

+1.23%

Volatility

QQQ vs. SPY - Volatility Comparison

Invesco QQQ ETF (QQQ) has a higher volatility of 8.23% compared to State Street SPDR S&P 500 ETF (SPY) at 4.48%. This indicates that QQQ's price experiences larger fluctuations and is considered to be riskier than SPY based on this measure. The chart below showcases a comparison of their rolling one-month volatility.

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Volatility by Period

QQQSPYDifference

Volatility (1M)

Calculated over the trailing 1-month period

8.23%

4.48%

+3.75%

Volatility (6M)

Calculated over the trailing 6-month period

14.12%

9.68%

+4.44%

Volatility (1Y)

Calculated over the trailing 1-year period

17.52%

12.36%

+5.16%

Volatility (5Y)

Calculated over the trailing 5-year period, annualized

22.61%

17.14%

+5.47%

Volatility (10Y)

Calculated over the trailing 10-year period, annualized

22.41%

17.98%

+4.43%

QQQ vs. SPY - Expense Ratio Comparison

QQQ has a 0.18% expense ratio, which is higher than SPY's 0.09% expense ratio. However, both funds are considered low-cost compared to the broader market, where average expense ratios usually range from 0.3% to 0.9%.

Dividends

QQQ vs. SPY - Dividend Comparison

QQQ's dividend yield for the trailing twelve months is around 0.39%, less than SPY's 0.98% yield.

PositionTTM20252024202320222021202020192018201720162015
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%
SPY
State Street SPDR S&P 500 ETF		0.98%1.07%1.21%1.40%1.65%1.20%1.52%1.75%2.04%1.80%2.03%2.06%

Frequently Asked Questions

With a correlation of 0.93, QQQ and SPY move almost identically. Holding both adds very little diversification - you're essentially doubling your position in the same market segment. Choosing one is usually more capital-efficient.

QQQ has higher volatility (8.23%) compared to SPY (4.48%). In terms of maximum drawdown, QQQ dropped -82.97% vs SPY's -55.19%.

On 10-year performance, QQQ leads with 22.07% vs 15.58% for SPY. On fees, SPY is cheaper at 0.09% per year. On volatility, SPY has been the lower-risk option at 4.48%. The better choice depends on whether you care most about return, fees, risk, or income.

Over the 10-year period, QQQ has performed better with a 22.07% return vs 15.58%. Past performance does not guarantee future results, so compare this with risk, fees, and fund exposure.

SPY is cheaper with a 0.09% expense ratio, compared with 0.18% for QQQ.

SPY has the higher dividend yield at 0.98%, compared with 0.39% for QQQ.

QQQ is categorized as Nasdaq-100, while SPY is S&P 500. QQQ tracks NASDAQ-100 Index, while SPY tracks S&P 500 Index. They also come from different issuers: Invesco and State Street. Their fees differ too: 0.18% for QQQ and 0.09% for SPY.

QQQ currently has the higher Sharpe Ratio (2.14 vs 2.11), 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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