RDTE vs. QQQ

Last updated Jun 5, 2026

RDTE (Roundhill Small Cap 0DTE Covered Call Strategy ETF) and QQQ (Invesco QQQ ETF) are both exchange-traded funds - RDTE is a Derivative Income fund actively managed by Roundhill, while QQQ is a Nasdaq-100 fund tracking the NASDAQ-100 Index. RDTE is actively managed, while QQQ is passively managed. Over the past year, RDTE returned 29.84% vs 40.74% for QQQ. A 0.70 correlation means they provide meaningful diversification when combined. RDTE charges 0.95%/yr vs 0.18%/yr for QQQ.

Performance

RDTE vs. QQQ - Performance Comparison

The chart below illustrates the hypothetical performance of a $10,000 investment in Roundhill Small Cap 0DTE Covered Call Strategy ETF (RDTE) 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, RDTE achieves a 13.89% return, which is significantly lower than QQQ's 20.71% return.

RDTE

• 1D: 1.07%
• 1M: 2.01%
• YTD: 13.89%
• 6M: 12.63%
• 1Y: 29.84%
• 3Y*: —
• 5Y*: —
• 10Y*: —

QQQ

• 1D: -0.48%
• 1M: 8.66%
• YTD: 20.71%
• 6M: 19.19%
• 1Y: 40.74%
• 3Y*: 28.54%
• 5Y*: 17.86%
• 10Y*: 21.84%

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

RDTE vs. QQQ - Yearly Performance Comparison

	2026 (YTD)	2025	2024
RDTE Roundhill Small Cap 0DTE Covered Call Strategy ETF	13.89%	9.46%	8.81%
QQQ Invesco QQQ ETF	20.71%	20.77%	11.80%

Correlation

The correlation between RDTE and QQQ is 0.69, 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	0.69
Correlation (All Time) Calculated using the full available price history since Sep 11, 2024	0.70

The correlation between RDTE and QQQ has been stable across timeframes, ranging from 0.69 to 0.70 - a consistent structural relationship.

RDTE vs. QQQ - Sectors Allocation Comparison

Sectors	RDTE	QQQ
Financial Services	6.4%	0.2%
Basic Materials	-	1.1%
Communication Services	-	15.8%
Consumer Cyclical	-	12.3%
Consumer Defensive	-	7.7%
Energy	-	0.6%
Healthcare	-	4.2%
Industrials	-	2.8%
Real Estate	-	0.1%
Technology	-	53.8%
Utilities	-	1.4%

Return for Risk

RDTE vs. QQQ — Risk / Return Rank

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

RDTE

RDTE Risk / Return Rank: 57
RDTE Sharpe Ratio Rank: 53
RDTE Sortino Ratio Rank: 51
RDTE Omega Ratio Rank: 48
RDTE Calmar Ratio Rank: 67
RDTE Martin Ratio Rank: 64

QQQ

QQQ Risk / Return Rank: 74
QQQ Sharpe Ratio Rank: 80
QQQ Sortino Ratio Rank: 76
QQQ Omega Ratio Rank: 75
QQQ Calmar Ratio Rank: 70
QQQ Martin Ratio Rank: 71

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.

RDTE vs. QQQ - Risk-Adjusted Trends Comparison

This table presents a comparison of risk-adjusted performance metrics for Roundhill Small Cap 0DTE Covered Call Strategy ETF (RDTE) 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.

	RDTE	QQQ	Difference
Sharpe ratio: Return per unit of total volatility	1.79	2.57	-0.78
Sortino ratio: Return per unit of downside risk	2.46	3.37	-0.91
Omega ratio: Gain probability vs. loss probability	1.30	1.44	-0.14
Calmar ratio: Return relative to maximum drawdown	3.27	3.42	-0.15
Martin ratio: Return relative to average drawdown	11.37	13.14	-1.77
Data is calculated on a 1-year rolling basis and updated daily. The trend shows the change in the indicator over the past month.

RDTE vs. QQQ - Sharpe Ratio Comparison

The current RDTE Sharpe Ratio is 1.79, which is lower than the QQQ Sharpe Ratio of 2.57. The chart below compares the historical Sharpe Ratios of RDTE 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

	RDTE	QQQ	Difference
Sharpe Ratio (1Y) Calculated over the trailing 1-year period	1.79	2.57	-0.78
Sharpe Ratio (5Y) Calculated over the trailing 5-year period	—	0.80	—
Sharpe Ratio (10Y) Calculated over the trailing 10-year period	—	0.98	—
Sharpe Ratio (All Time) Calculated using the full available price history	1.01	0.41	+0.60

Drawdowns

RDTE vs. QQQ - Drawdown Comparison

The maximum RDTE drawdown since its inception was -24.32%, smaller than the maximum QQQ drawdown of -82.97%. Use the drawdown chart below to compare losses from any high point for RDTE and QQQ.

Drawdown Indicators

	RDTE	QQQ	Difference
Max Drawdown Largest peak-to-trough decline	-24.32%	-82.97%	+58.65%
Max Drawdown (1Y) Largest decline over 1 year	-9.17%	-11.96%	+2.79%
Max Drawdown (3Y) Largest decline over 3 years	—	-22.77%	—
Max Drawdown (5Y) Largest decline over 5 years	—	-35.12%	—
Max Drawdown (10Y) Largest decline over 10 years	—	-35.12%	—
Current Drawdown Current decline from peak	-0.05%	-0.74%	+0.69%
Average Drawdown Average peak-to-trough decline	-4.66%	-32.78%	+28.12%
Ulcer Index Depth and duration of drawdowns from previous peaks	2.63%	3.11%	-0.48%

Volatility

RDTE vs. QQQ - Volatility Comparison

Roundhill Small Cap 0DTE Covered Call Strategy ETF (RDTE) has a higher volatility of 4.98% compared to Invesco QQQ ETF (QQQ) at 4.51%. This indicates that RDTE's price experiences larger fluctuations and is considered to be riskier than QQQ based on this measure. The chart below showcases a comparison of their rolling one-month volatility.

Volatility by Period

	RDTE	QQQ	Difference
Volatility (1M) Calculated over the trailing 1-month period	4.98%	4.51%	+0.47%
Volatility (6M) Calculated over the trailing 6-month period	12.37%	12.10%	+0.27%
Volatility (1Y) Calculated over the trailing 1-year period	16.73%	15.94%	+0.79%
Volatility (5Y) Calculated over the trailing 5-year period, annualized	19.17%	22.37%	-3.20%
Volatility (10Y) Calculated over the trailing 10-year period, annualized	19.17%	22.29%	-3.12%

RDTE vs. QQQ - Expense Ratio Comparison

RDTE has a 0.95% expense ratio, which is higher than QQQ's 0.18% expense ratio.

Dividends

RDTE vs. QQQ - Dividend Comparison

RDTE's dividend yield for the trailing twelve months is around 46.02%, more than QQQ's 0.38% yield.

Position	TTM	2025	2024	2023	2022	2021	2020	2019	2018	2017	2016	2015
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%
RDTE Roundhill Small Cap 0DTE Covered Call Strategy ETF	46.02%	50.16%	10.70%	0.00%	0.00%	0.00%	0.00%	0.00%	0.00%	0.00%	0.00%	0.00%

Frequently Asked Questions

Can I hold both RDTE and QQQ in my portfolio?

RDTE and QQQ have a correlation of 0.69, meaning they provide meaningful diversification benefit when combined. Depending on your allocation goals, holding both could reduce overall portfolio risk.

Which is riskier, RDTE or QQQ?

RDTE has higher volatility (4.98%) compared to QQQ (4.51%). In terms of maximum drawdown, RDTE dropped -24.32% vs QQQ's -82.97%.

Which ETF is better, RDTE or QQQ?

On 1-year performance, QQQ leads with 40.74% vs 29.84% for RDTE. On fees, QQQ is cheaper at 0.18% per year. On volatility, QQQ has been the lower-risk option at 4.51%. The better choice depends on whether you care most about return, fees, risk, or income.

Which ETF has performed better, RDTE or QQQ?

Over the 1-year period, QQQ has performed better with a 40.74% return vs 29.84%. Past performance does not guarantee future results, so compare this with risk, fees, and fund exposure.

Which ETF is cheaper, RDTE or QQQ?

QQQ is cheaper with a 0.18% expense ratio, compared with 0.95% for RDTE.

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

RDTE has the higher dividend yield at 46.02%, compared with 0.38% for QQQ.

What is the main difference between RDTE and QQQ?

RDTE is categorized as Derivative Income, while QQQ is Nasdaq-100. They also come from different issuers: Roundhill and Invesco. Their fees differ too: 0.95% for RDTE and 0.18% for QQQ.

Which has better risk-adjusted returns?

QQQ currently has the higher Sharpe Ratio (2.57 vs 1.79), 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.