SCHK vs. QQQ
Compare and contrast key facts about Schwab 1000 Index ETF (SCHK) and Invesco QQQ (QQQ).
SCHK and QQQ are both exchange-traded funds (ETFs), meaning they are traded on stock exchanges and can be bought and sold throughout the day. SCHK is a passively managed fund by Charles Schwab that tracks the performance of the Schwab 1000 Index. It was launched on Oct 11, 2017. QQQ is a passively managed fund by Invesco that tracks the performance of the NASDAQ-100 Index. It was launched on Mar 10, 1999. Both SCHK and QQQ are passive ETFs, meaning that they are not actively managed but aim to replicate the performance of the underlying index as closely as possible.
Scroll down to visually compare performance, riskiness, drawdowns, and other indicators and decide which better suits your portfolio: SCHK or QQQ.
Key characteristics
| SCHK | QQQ | |
|---|---|---|
| YTD Return | 5.64% | 3.82% |
| 1Y Return | 23.01% | 32.66% |
| 3Y Return (Ann) | 6.87% | 8.61% |
| 5Y Return (Ann) | 12.91% | 18.53% |
| Sharpe Ratio | 1.93 | 2.00 |
| Daily Std Dev | 11.96% | 16.23% |
| Max Drawdown | -34.80% | -82.98% |
| Current Drawdown | -4.26% | -4.88% |
Correlation
The correlation between SCHK and QQQ is 0.91, which is considered to be high. That indicates a strong positive relationship between their price movements. Having highly-correlated positions in a portfolio may signal a lack of diversification, potentially leading to increased risk during market downturns.
Performance
SCHK vs. QQQ - Performance Comparison
In the year-to-date period, SCHK achieves a 5.64% return, which is significantly higher than QQQ's 3.82% return. The chart below displays the growth of a $10,000 investment in both assets, with all prices adjusted for splits and dividends.
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SCHK vs. QQQ - Expense Ratio Comparison
SCHK has a 0.05% expense ratio, which is lower than QQQ's 0.20% expense ratio. Despite the difference, both funds are considered low-cost compared to the broader market, where average expense ratios usually range from 0.3% to 0.9%.
Risk-Adjusted Performance
SCHK vs. QQQ - Risk-Adjusted Performance Comparison
This table presents a comparison of risk-adjusted performance metrics for Schwab 1000 Index ETF (SCHK) and Invesco QQQ (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.
Dividends
SCHK vs. QQQ - Dividend Comparison
SCHK's dividend yield for the trailing twelve months is around 1.33%, more than QQQ's 0.62% yield.
| TTM | 2023 | 2022 | 2021 | 2020 | 2019 | 2018 | 2017 | 2016 | 2015 | 2014 | 2013 | |
|---|---|---|---|---|---|---|---|---|---|---|---|---|
SCHK Schwab 1000 Index ETF | 1.33% | 1.38% | 1.57% | 1.17% | 1.58% | 1.82% | 1.82% | 0.31% | 0.00% | 0.00% | 0.00% | 0.00% |
QQQ Invesco QQQ | 0.62% | 0.62% | 0.80% | 0.43% | 0.55% | 0.74% | 0.91% | 0.84% | 1.06% | 0.99% | 1.41% | 1.01% |
Drawdowns
SCHK vs. QQQ - Drawdown Comparison
The maximum SCHK drawdown since its inception was -34.80%, smaller than the maximum QQQ drawdown of -82.98%. Use the drawdown chart below to compare losses from any high point for SCHK and QQQ. For additional features, visit the drawdowns tool.
Volatility
SCHK vs. QQQ - Volatility Comparison
The current volatility for Schwab 1000 Index ETF (SCHK) is 4.01%, while Invesco QQQ (QQQ) has a volatility of 5.44%. This indicates that SCHK experiences smaller price fluctuations and is considered to be less risky than QQQ based on this measure. The chart below showcases a comparison of their rolling one-month volatility.