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SPY vs. QQQ
Performance
Return for Risk
Drawdowns
Volatility
Dividends

SPY vs. QQQ

Last updated Apr 9, 2026

SPY (State Street SPDR S&P 500 ETF) and QQQ (Invesco QQQ ETF) are both exchange-traded funds — SPY is a S&P 500 fund tracking the S&P 500 Index, while QQQ is a Large Cap Growth Equities fund tracking the NASDAQ-100 Index. Both are passively managed. Over the past 10 years, SPY returned 14.55%/yr vs 19.58%/yr for QQQ. Their correlation of 0.87 suggests significant overlap in exposure. SPY charges 0.09%/yr vs 0.18%/yr for QQQ.

Performance

SPY vs. QQQ - Performance Comparison

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

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Returns By Period

In the year-to-date period, SPY achieves a -0.60% return, which is significantly higher than QQQ's -1.21% return. Over the past 10 years, SPY has underperformed QQQ with an annualized return of 14.55%, while QQQ has yielded a comparatively higher 19.58% annualized return.

SPY

1D
2.55%
1M
-0.06%
YTD
-0.60%
6M
1.00%
1Y
37.72%
3Y*
19.74%
5Y*
11.96%
10Y*
14.55%

QQQ

1D
2.97%
1M
-0.15%
YTD
-1.21%
6M
-0.62%
1Y
46.38%
3Y*
24.71%
5Y*
13.13%
10Y*
19.58%
*Multi-year figures are annualized to reflect compound growth (CAGR)

SPY vs. QQQ - Yearly Performance Comparison

2026 (YTD)202520242023202220212020201920182017
SPY
State Street SPDR S&P 500 ETF		-0.60%17.72%24.89%26.18%-18.18%28.73%18.33%31.22%-4.57%21.71%
QQQ
Invesco QQQ ETF		-1.21%20.77%25.58%54.86%-32.58%27.42%48.62%38.96%-0.13%32.66%

Correlation

The correlation between SPY and QQQ is 0.87, indicating a strong positive relationship between their price movements. Combining them offers limited diversification — they'll tend to fall together during downturns. For meaningful risk reduction, look for holdings with correlations below 0.5.

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

0.95

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

0.93

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

0.94

Correlation (All Time)
Calculated using the full available price history since Mar 11, 1999

0.87

SPY vs. QQQ - Expense Ratio Comparison

SPY has a 0.09% expense ratio, which is lower than QQQ's 0.18% 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%.

QQQ
Invesco QQQ ETF
SPY
State Street SPDR S&P 500 ETF

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State Street SPDR S&P 500 ETF

Invesco QQQ ETF

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Return for Risk

SPY vs. QQQ — Risk / Return Rank

Compare risk-adjusted metric ranks to identify better-performing investments over the past 12 months.
SPY
SPY Risk / Return Rank: 7878
Overall Rank
SPY Sharpe Ratio Rank: 6666
Sharpe Ratio Rank
SPY Sortino Ratio Rank: 7575
Sortino Ratio Rank
SPY Omega Ratio Rank: 7878
Omega Ratio Rank
SPY Calmar Ratio Rank: 8383
Calmar Ratio Rank
SPY Martin Ratio Rank: 8989
Martin Ratio Rank
QQQ
QQQ Risk / Return Rank: 7474
Overall Rank
QQQ Sharpe Ratio Rank: 6868
Sharpe Ratio Rank
QQQ Sortino Ratio Rank: 7272
Sortino Ratio Rank
QQQ Omega Ratio Rank: 7272
Omega Ratio Rank
QQQ Calmar Ratio Rank: 7979
Calmar Ratio Rank
QQQ Martin Ratio Rank: 7979
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.

SPY vs. QQQ - Risk-Adjusted Trends Comparison

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

SPYQQQDifference

Sharpe ratio

Return per unit of total volatility

2.18

2.21

-0.03

Sortino ratio

Return per unit of downside risk

3.49

3.38

+0.11

Omega ratio

Gain probability vs. loss probability

1.50

1.46

+0.04

Calmar ratio

Return relative to maximum drawdown

3.98

3.69

+0.29

Martin ratio

Return relative to average drawdown

17.31

13.85

+3.46

Data is calculated on a 1-year rolling basis and updated daily. The trend shows the change in the indicator over the past month.

SPY vs. QQQ - Sharpe Ratio Comparison

The current SPY Sharpe Ratio is 2.18, which is comparable to the QQQ Sharpe Ratio of 2.21. The chart below compares the historical Sharpe Ratios of SPY 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.

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Sharpe Ratios by Period

SPYQQQDifference

Sharpe Ratio (1Y)

Calculated over the trailing 1-year period

2.18

2.21

-0.03

Sharpe Ratio (5Y)

Calculated over the trailing 5-year period

0.70

0.59

+0.11

Sharpe Ratio (10Y)

Calculated over the trailing 10-year period

0.81

0.88

-0.07

Sharpe Ratio (All Time)

Calculated using the full available price history

0.57

0.38

+0.19

Drawdowns

SPY vs. QQQ - Drawdown Comparison

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

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Drawdown Indicators

SPYQQQDifference

Max Drawdown

Largest peak-to-trough decline

-55.19%

-82.97%

+27.78%

Max Drawdown (1Y)

Largest decline over 1 year

-8.88%

-11.96%

+3.08%

Max Drawdown (5Y)

Largest decline over 5 years

-24.50%

-35.12%

+10.62%

Max Drawdown (10Y)

Largest decline over 10 years

-33.72%

-35.12%

+1.40%

Current Drawdown

Current decline from peak

-2.54%

-4.43%

+1.89%

Average Drawdown

Average peak-to-trough decline

-9.09%

-32.97%

+23.88%

Ulcer Index

Depth and duration of drawdowns from previous peaks

2.04%

3.18%

-1.14%

Volatility

SPY vs. QQQ - Volatility Comparison

The current volatility for State Street SPDR S&P 500 ETF (SPY) is 5.71%, while Invesco QQQ ETF (QQQ) has a volatility of 6.83%. This indicates that SPY 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.

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Volatility by Period

SPYQQQDifference

Volatility (1M)

Calculated over the trailing 1-month period

5.71%

6.83%

-1.12%

Volatility (6M)

Calculated over the trailing 6-month period

9.83%

13.13%

-3.30%

Volatility (1Y)

Calculated over the trailing 1-year period

17.58%

21.31%

-3.73%

Volatility (5Y)

Calculated over the trailing 5-year period, annualized

17.08%

22.40%

-5.32%

Volatility (10Y)

Calculated over the trailing 10-year period, annualized

17.93%

22.26%

-4.33%

Dividends

SPY vs. QQQ - Dividend Comparison

SPY's dividend yield for the trailing twelve months is around 1.09%, more than QQQ's 0.46% yield.

TTM20252024202320222021202020192018201720162015
SPY
State Street SPDR S&P 500 ETF		1.09%1.07%1.21%1.40%1.65%1.20%1.52%1.75%2.04%1.80%2.03%2.06%
QQQ
Invesco QQQ ETF		0.46%0.45%0.56%0.62%0.80%0.43%0.55%0.74%0.91%0.84%1.06%0.99%