QQQM vs. GARP

Last updated Jun 14, 2026

QQQM (Invesco NASDAQ 100 ETF) and GARP (iShares MSCI USA Quality GARP ETF) are both exchange-traded funds - QQQM is a Nasdaq-100 fund tracking the NASDAQ-100 Index, while GARP is a Large Cap Growth Equities fund tracking the MSCI USA Quality GARP Select Index. Both are passively managed. Over the past 5 years, QQQM returned 16.94%/yr vs 18.96%/yr for GARP. With a 0.96 correlation, they move nearly in lockstep. Both charge a 0.15% expense ratio.

Performance

QQQM vs. GARP - Performance Comparison

The chart below illustrates the hypothetical performance of a $10,000 investment in Invesco NASDAQ 100 ETF (QQQM) and iShares MSCI USA Quality GARP ETF (GARP). The values are adjusted to include any dividend payments, if applicable.

Returns By Period

The year-to-date returns for both stocks are quite close, with QQQM having a 17.59% return and GARP slightly lower at 16.96%.

QQQM

• 1D: 0.67%
• 1M: 0.22%
• YTD: 17.59%
• 6M: 17.91%
• 1Y: 37.64%
• 3Y*: 26.52%
• 5Y*: 16.94%
• 10Y*: —

GARP

• 1D: 0.21%
• 1M: 2.03%
• YTD: 16.96%
• 6M: 17.70%
• 1Y: 38.39%
• 3Y*: 31.05%
• 5Y*: 18.96%
• 10Y*: —

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

QQQM vs. GARP - Yearly Performance Comparison

	2026 (YTD)	2025	2024	2023	2022	2021	2020
QQQM Invesco NASDAQ 100 ETF	17.59%	20.85%	25.68%	55.01%	-32.52%	27.45%	6.64%
GARP iShares MSCI USA Quality GARP ETF	16.96%	21.49%	37.42%	42.86%	-26.75%	27.99%	6.14%

Correlation

The correlation between QQQM and GARP is 0.94, 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	0.94
Correlation (3Y) Calculated over the trailing 3-year period	0.95
Correlation (5Y) Calculated over the trailing 5-year period	0.96
Correlation (All Time) Calculated using the full available price history since Oct 13, 2020	0.96

The correlation between QQQM and GARP has been stable across timeframes, ranging from 0.94 to 0.96 - a consistent structural relationship.

QQQM vs. GARP - Sectors Allocation Comparison

Sectors	QQQM	GARP
Technology	58.7%	55.2%
Communication Services	14.3%	11.9%
Consumer Cyclical	11.4%	8.5%
Consumer Defensive	6.4%	-
Healthcare	3.7%	5.3%
Industrials	2.6%	6.6%
Utilities	1.2%	1.2%
Basic Materials	1.0%	1.1%
Energy	0.5%	2.9%
Financial Services	0.2%	7.2%
Real Estate	0.1%	0.4%

Return for Risk

QQQM vs. GARP — Risk / Return Rank

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

QQQM

QQQM Risk / Return Rank: 72
QQQM Sharpe Ratio Rank: 76
QQQM Sortino Ratio Rank: 71
QQQM Omega Ratio Rank: 73
QQQM Calmar Ratio Rank: 69
QQQM Martin Ratio Rank: 70

GARP

GARP Risk / Return Rank: 64
GARP Sharpe Ratio Rank: 69
GARP Sortino Ratio Rank: 63
GARP Omega Ratio Rank: 63
GARP Calmar Ratio Rank: 61
GARP Martin Ratio Rank: 65

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.

QQQM vs. GARP - Risk-Adjusted Trends Comparison

This table presents a comparison of risk-adjusted performance metrics for Invesco NASDAQ 100 ETF (QQQM) and iShares MSCI USA Quality GARP ETF (GARP). 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.

	QQQM	GARP	Difference
Sharpe ratio: Return per unit of total volatility	2.11	1.93	+0.18
Sortino ratio: Return per unit of downside risk	2.74	2.53	+0.21
Omega ratio: Gain probability vs. loss probability	1.37	1.33	+0.04
Calmar ratio: Return relative to maximum drawdown	3.02	2.65	+0.36
Martin ratio: Return relative to average drawdown	11.23	10.37	+0.86

QQQM vs. GARP - Sharpe Ratio Comparison

The current QQQM Sharpe Ratio is 2.11, which is comparable to the GARP Sharpe Ratio of 1.93. The chart below compares the historical Sharpe Ratios of QQQM and GARP, 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

QQQM vs. GARP - Drawdown Comparison

The maximum QQQM drawdown since its inception was -35.04%, which is greater than GARP's maximum drawdown of -31.34%. Use the drawdown chart below to compare losses from any high point for QQQM and GARP.

Drawdown Indicators

	QQQM	GARP	Difference
Max Drawdown Largest peak-to-trough decline	-35.04%	-31.34%	-3.70%
Max Drawdown (1Y) Largest decline over 1 year	-11.96%	-13.69%	+1.73%
Max Drawdown (3Y) Largest decline over 3 years	-22.70%	-23.73%	+1.03%
Max Drawdown (5Y) Largest decline over 5 years	-35.04%	-30.61%	-4.43%
Current Drawdown Current decline from peak	-3.33%	-4.27%	+0.94%
Average Drawdown Average peak-to-trough decline	-8.23%	-7.35%	-0.88%
Ulcer Index Depth and duration of drawdowns from previous peaks	3.21%	3.49%	-0.28%

Volatility

QQQM vs. GARP - Volatility Comparison

Invesco NASDAQ 100 ETF (QQQM) and iShares MSCI USA Quality GARP ETF (GARP) have volatilities of 7.45% and 7.61%, 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

	QQQM	GARP	Difference
Volatility (1M) Calculated over the trailing 1-month period	7.45%	7.61%	-0.16%
Volatility (6M) Calculated over the trailing 6-month period	13.71%	15.12%	-1.41%
Volatility (1Y) Calculated over the trailing 1-year period	17.11%	18.79%	-1.68%
Volatility (5Y) Calculated over the trailing 5-year period, annualized	22.40%	22.11%	+0.29%
Volatility (10Y) Calculated over the trailing 10-year period, annualized	22.22%	23.95%	-1.73%

QQQM vs. GARP - Expense Ratio Comparison

Both QQQM and GARP have an expense ratio of 0.15%, making them cost-effective options compared to the broader market, where average expense ratios typically range from 0.3% to 0.9%.

Dividends

QQQM vs. GARP - Dividend Comparison

QQQM's dividend yield for the trailing twelve months is around 0.43%, more than GARP's 0.26% yield.

Position	TTM	2025	2024	2023	2022	2021	2020
GARP iShares MSCI USA Quality GARP ETF	0.26%	0.31%	0.38%	0.75%	1.85%	0.67%	0.75%
QQQM Invesco NASDAQ 100 ETF	0.43%	0.50%	0.61%	0.65%	0.83%	0.40%	0.16%

Frequently Asked Questions

Can I hold both QQQM and GARP in my portfolio?

With a correlation of 0.94, QQQM and GARP 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.

Which is riskier, QQQM or GARP?

GARP has higher volatility (7.61%) compared to QQQM (7.45%). In terms of maximum drawdown, QQQM dropped -35.04% vs GARP's -31.34%.

Which ETF is better, QQQM or GARP?

On 5-year performance, GARP leads with 18.96% vs 16.94% for QQQM. Both ETFs have the same 0.15% expense ratio. On volatility, QQQM has been the lower-risk option at 7.45%. The better choice depends on whether you care most about return, fees, risk, or income.

Which ETF has performed better, QQQM or GARP?

Over the 5-year period, GARP has performed better with a 18.96% return vs 16.94%. Past performance does not guarantee future results, so compare this with risk, fees, and fund exposure.

Which ETF is cheaper, QQQM or GARP?

QQQM and GARP have the same expense ratio: 0.15% per year.

Which ETF pays a higher dividend yield, QQQM or GARP?

QQQM has the higher dividend yield at 0.43%, compared with 0.26% for GARP.

What is the main difference between QQQM and GARP?

QQQM is categorized as Nasdaq-100, while GARP is Large Cap Growth Equities. QQQM tracks NASDAQ-100 Index, while GARP tracks MSCI USA Quality GARP Select Index. They also come from different issuers: Invesco and iShares.

Which has better risk-adjusted returns?

QQQM currently has the higher Sharpe Ratio (2.11 vs 1.93), 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.