QQQJ vs. FAD

Last updated Jun 23, 2026

QQQJ (Invesco NASDAQ Next Gen 100 ETF) and FAD (First Trust Multi Cap Growth AlphaDEX Fund) are both Mid Cap Growth Equities funds - QQQJ tracks the NASDAQ Next Generation 100 Index while FAD tracks the NASDAQ AlphaDEX Multi Cap Growth Index. Both are passively managed. Over the past 5 years, QQQJ returned 6.66%/yr vs 11.39%/yr for FAD. Their correlation of 0.91 suggests significant overlap in exposure. QQQJ charges 0.15%/yr vs 0.63%/yr for FAD.

Performance

QQQJ vs. FAD - Performance Comparison

The chart below illustrates the hypothetical performance of a $10,000 investment in Invesco NASDAQ Next Gen 100 ETF (QQQJ) and First Trust Multi Cap Growth AlphaDEX Fund (FAD). The values are adjusted to include any dividend payments, if applicable.

Returns By Period

The year-to-date returns for both investments are quite close, with QQQJ having a 21.43% return and FAD slightly higher at 22.02%.

QQQJ

• 1D: 0.18%
• 1M: 3.40%
• YTD: 21.43%
• 6M: 18.32%
• 1Y: 44.44%
• 3Y*: 21.75%
• 5Y*: 6.66%
• 10Y*: —

FAD

• 1D: 1.04%
• 1M: 7.38%
• YTD: 22.02%
• 6M: 18.82%
• 1Y: 40.18%
• 3Y*: 25.41%
• 5Y*: 11.39%
• 10Y*: 15.21%

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

QQQJ vs. FAD - Yearly Performance Comparison

	2026 (YTD)	2025	2024	2023	2022	2021	2020
QQQJ Invesco NASDAQ Next Gen 100 ETF	21.43%	20.44%	15.36%	13.68%	-28.25%	9.76%	15.34%
FAD First Trust Multi Cap Growth AlphaDEX Fund	22.02%	17.23%	23.85%	19.07%	-24.06%	21.17%	12.56%

Correlation

The correlation between QQQJ and FAD is 0.89, 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	0.89
Correlation (3Y) Calculated over the trailing 3-year period	0.90
Correlation (5Y) Calculated over the trailing 5-year period	0.91
Correlation (All Time) Calculated using the full available price history since Oct 13, 2020	0.91

The correlation between QQQJ and FAD has been stable across timeframes, ranging from 0.89 to 0.91 - a consistent structural relationship.

QQQJ vs. FAD - Sectors Allocation Comparison

Sectors	QQQJ	FAD
Technology	40.4%	27.4%
Healthcare	18.7%	14.8%
Consumer Cyclical	11.3%	10.1%
Industrials	11.1%	25.0%
Communication Services	7.8%	3.1%
Basic Materials	2.6%	2.9%
Consumer Defensive	2.6%	2.2%
Utilities	2.6%	1.5%
Financial Services	2.0%	7.8%
Energy	1.0%	1.3%
Real Estate	-	3.9%

Return for Risk

QQQJ vs. FAD — Risk / Return Rank

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

QQQJ

QQQJ Risk / Return Rank: 76
QQQJ Sharpe Ratio Rank: 77
QQQJ Sortino Ratio Rank: 72
QQQJ Omega Ratio Rank: 72
QQQJ Calmar Ratio Rank: 76
QQQJ Martin Ratio Rank: 81

FAD

FAD Risk / Return Rank: 68
FAD Sharpe Ratio Rank: 65
FAD Sortino Ratio Rank: 62
FAD Omega Ratio Rank: 60
FAD Calmar Ratio Rank: 76
FAD Martin Ratio Rank: 77

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.

QQQJ vs. FAD - Risk-Adjusted Trends Comparison

This table presents a comparison of risk-adjusted performance metrics for Invesco NASDAQ Next Gen 100 ETF (QQQJ) and First Trust Multi Cap Growth AlphaDEX Fund (FAD). 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.

	QQQJ	FAD	Difference
Sharpe ratio: Return per unit of total volatility	2.36	2.07	+0.29
Sortino ratio: Return per unit of downside risk	3.12	2.79	+0.33
Omega ratio: Gain probability vs. loss probability	1.41	1.35	+0.05
Calmar ratio: Return relative to maximum drawdown	3.77	3.79	-0.01
Martin ratio: Return relative to average drawdown	15.67	14.43	+1.24

QQQJ vs. FAD - Sharpe Ratio Comparison

The current QQQJ Sharpe Ratio is 2.36, which is comparable to the FAD Sharpe Ratio of 2.07. The chart below compares the historical Sharpe Ratios of QQQJ and FAD, 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

QQQJ vs. FAD - Drawdown Comparison

The maximum QQQJ drawdown since its inception was -39.57%, smaller than the maximum FAD drawdown of -54.33%. Use the drawdown chart below to compare losses from any high point for QQQJ and FAD.

Drawdown Indicators

	QQQJ	FAD	Difference
Max Drawdown Largest peak-to-trough decline	-39.57%	-54.33%	+14.76%
Max Drawdown (1Y) Largest decline over 1 year	-11.84%	-10.66%	-1.18%
Max Drawdown (3Y) Largest decline over 3 years	-22.46%	-23.55%	+1.09%
Max Drawdown (5Y) Largest decline over 5 years	-39.57%	-31.99%	-7.58%
Max Drawdown (10Y) Largest decline over 10 years	—	-37.25%	—
Current Drawdown Current decline from peak	-2.13%	0.00%	-2.13%
Average Drawdown Average peak-to-trough decline	-15.63%	-9.62%	-6.01%
Ulcer Index Depth and duration of drawdowns from previous peaks	2.84%	2.79%	+0.05%

Volatility

QQQJ vs. FAD - Volatility Comparison

Invesco NASDAQ Next Gen 100 ETF (QQQJ) and First Trust Multi Cap Growth AlphaDEX Fund (FAD) have volatilities of 7.13% and 7.37%, respectively, indicating that both stocks experience similar levels of price fluctuations. This suggests that the risk associated with both stocks, as measured by volatility, is nearly the same. The chart below showcases a comparison of their rolling one-month volatility.

Volatility by Period

	QQQJ	FAD	Difference
Volatility (1M) Calculated over the trailing 1-month period	7.13%	7.37%	-0.24%
Volatility (6M) Calculated over the trailing 6-month period	15.65%	15.27%	+0.38%
Volatility (1Y) Calculated over the trailing 1-year period	18.99%	19.54%	-0.55%
Volatility (5Y) Calculated over the trailing 5-year period, annualized	22.17%	20.72%	+1.45%
Volatility (10Y) Calculated over the trailing 10-year period, annualized	22.11%	21.29%	+0.82%

QQQJ vs. FAD - Expense Ratio Comparison

QQQJ has a 0.15% expense ratio, which is lower than FAD's 0.63% expense ratio.

Dividends

QQQJ vs. FAD - Dividend Comparison

QQQJ's dividend yield for the trailing twelve months is around 0.75%, more than FAD's 0.09% yield.

Position	TTM	2025	2024	2023	2022	2021	2020	2019	2018	2017	2016	2015
FAD First Trust Multi Cap Growth AlphaDEX Fund	0.09%	0.09%	0.59%	0.51%	0.60%	0.09%	0.32%	0.48%	0.20%	0.22%	0.64%	0.41%
QQQJ Invesco NASDAQ Next Gen 100 ETF	0.55%	0.85%	0.77%	0.67%	0.76%	0.91%	0.09%	0.00%	0.00%	0.00%	0.00%	0.00%

Frequently Asked Questions

Can I hold both QQQJ and FAD in my portfolio?

QQQJ and FAD have a correlation of 0.89, meaning they provide meaningful diversification benefit when combined. Depending on your allocation goals, holding both could reduce overall portfolio risk.

Which is riskier, QQQJ or FAD?

FAD has higher volatility (7.37%) compared to QQQJ (7.13%). In terms of maximum drawdown, QQQJ dropped -39.57% vs FAD's -54.33%.

Which ETF is better, QQQJ or FAD?

On 5-year performance, FAD leads with 11.39% vs 6.66% for QQQJ. On fees, QQQJ is cheaper at 0.15% per year. On volatility, QQQJ has been the lower-risk option at 7.13%. The better choice depends on whether you care most about return, fees, risk, or income.

Which ETF has performed better, QQQJ or FAD?

Over the 5-year period, FAD has performed better with a 11.39% return vs 6.66%. Past performance does not guarantee future results, so compare this with risk, fees, and fund exposure.

Which ETF is cheaper, QQQJ or FAD?

QQQJ is cheaper with a 0.15% expense ratio, compared with 0.63% for FAD.

Which ETF pays a higher dividend yield, QQQJ or FAD?

QQQJ has the higher dividend yield at 0.75%, compared with 0.09% for FAD.

What is the main difference between QQQJ and FAD?

QQQJ tracks NASDAQ Next Generation 100 Index, while FAD tracks NASDAQ AlphaDEX Multi Cap Growth Index. They also come from different issuers: Invesco and First Trust. Their fees differ too: 0.15% for QQQJ and 0.63% for FAD.

Which has better risk-adjusted returns?

QQQJ currently has the higher Sharpe Ratio (2.36 vs 2.07), 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.