TMFX vs. QQQJ

Last updated Jun 24, 2026

TMFX (Motley Fool Next Index ETF) and QQQJ (Invesco NASDAQ Next Gen 100 ETF) are both Mid Cap Growth Equities funds - TMFX tracks the Motley Fool Next Index while QQQJ tracks the NASDAQ Next Generation 100 Index. Both are passively managed. Over the past 3 years, TMFX returned 12.37%/yr vs 21.29%/yr for QQQJ. Their correlation of 0.93 suggests significant overlap in exposure. TMFX charges 0.50%/yr vs 0.15%/yr for QQQJ.

Performance

TMFX vs. QQQJ - Performance Comparison

The chart below illustrates the hypothetical performance of a $10,000 investment in Motley Fool Next Index ETF (TMFX) and Invesco NASDAQ Next Gen 100 ETF (QQQJ). The values are adjusted to include any dividend payments, if applicable.

Returns By Period

In the year-to-date period, TMFX achieves a 1.68% return, which is significantly lower than QQQJ's 20.04% return.

TMFX

• 1D: -0.47%
• 1M: 0.30%
• YTD: 1.68%
• 6M: -0.26%
• 1Y: 10.28%
• 3Y*: 12.37%
• 5Y*: —
• 10Y*: —

QQQJ

• 1D: -1.14%
• 1M: 2.22%
• YTD: 20.04%
• 6M: 17.68%
• 1Y: 41.94%
• 3Y*: 21.29%
• 5Y*: 6.21%
• 10Y*: —

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

TMFX vs. QQQJ - Yearly Performance Comparison

	2026 (YTD)	2025	2024	2023	2022	2021
TMFX Motley Fool Next Index ETF	1.68%	10.41%	16.04%	17.95%	-28.16%	-0.65%
QQQJ Invesco NASDAQ Next Gen 100 ETF	20.04%	20.44%	15.36%	13.68%	-28.25%	-0.53%

Correlation

The correlation between TMFX and QQQJ is 0.87, 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	0.87
Correlation (3Y) Calculated over the trailing 3-year period	0.90
Correlation (All Time) Calculated using the full available price history since Dec 31, 2021	0.93

The correlation between TMFX and QQQJ has been stable across timeframes, ranging from 0.87 to 0.93 - a consistent structural relationship.

Return for Risk

TMFX vs. QQQJ — Risk / Return Rank

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

TMFX

TMFX Risk / Return Rank: 18
TMFX Sharpe Ratio Rank: 19
TMFX Sortino Ratio Rank: 18
TMFX Omega Ratio Rank: 17
TMFX Calmar Ratio Rank: 18
TMFX Martin Ratio Rank: 20

QQQJ

QQQJ Risk / Return Rank: 72
QQQJ Sharpe Ratio Rank: 72
QQQJ Sortino Ratio Rank: 68
QQQJ Omega Ratio Rank: 67
QQQJ Calmar Ratio Rank: 73
QQQJ Martin Ratio Rank: 79

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.

TMFX vs. QQQJ - Risk-Adjusted Trends Comparison

This table presents a comparison of risk-adjusted performance metrics for Motley Fool Next Index ETF (TMFX) and Invesco NASDAQ Next Gen 100 ETF (QQQJ). 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.

	TMFX	QQQJ	Difference
Sharpe ratio: Return per unit of total volatility	0.60	2.22	-1.62
Sortino ratio: Return per unit of downside risk	0.97	2.97	-2.01
Omega ratio: Gain probability vs. loss probability	1.11	1.38	-0.27
Calmar ratio: Return relative to maximum drawdown	0.74	3.56	-2.82
Martin ratio: Return relative to average drawdown	2.34	14.75	-12.41

TMFX vs. QQQJ - Sharpe Ratio Comparison

The current TMFX Sharpe Ratio is 0.60, which is lower than the QQQJ Sharpe Ratio of 2.22. The chart below compares the historical Sharpe Ratios of TMFX and QQQJ, 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

TMFX vs. QQQJ - Drawdown Comparison

The maximum TMFX drawdown since its inception was -34.72%, smaller than the maximum QQQJ drawdown of -39.57%. Use the drawdown chart below to compare losses from any high point for TMFX and QQQJ.

Drawdown Indicators

	TMFX	QQQJ	Difference
Max Drawdown Largest peak-to-trough decline	-34.72%	-39.57%	+4.85%
Max Drawdown (1Y) Largest decline over 1 year	-13.95%	-11.84%	-2.11%
Max Drawdown (3Y) Largest decline over 3 years	-24.05%	-22.46%	-1.59%
Max Drawdown (5Y) Largest decline over 5 years	—	-39.57%	—
Current Drawdown Current decline from peak	-4.06%	-3.24%	-0.82%
Average Drawdown Average peak-to-trough decline	-14.57%	-15.62%	+1.05%
Ulcer Index Depth and duration of drawdowns from previous peaks	4.40%	2.85%	+1.55%

Volatility

TMFX vs. QQQJ - Volatility Comparison

The current volatility for Motley Fool Next Index ETF (TMFX) is 5.40%, while Invesco NASDAQ Next Gen 100 ETF (QQQJ) has a volatility of 7.18%. This indicates that TMFX experiences smaller price fluctuations and is considered to be less risky than QQQJ based on this measure. The chart below showcases a comparison of their rolling one-month volatility.

Volatility by Period

	TMFX	QQQJ	Difference
Volatility (1M) Calculated over the trailing 1-month period	5.40%	7.18%	-1.78%
Volatility (6M) Calculated over the trailing 6-month period	12.80%	15.70%	-2.90%
Volatility (1Y) Calculated over the trailing 1-year period	17.13%	19.00%	-1.87%
Volatility (5Y) Calculated over the trailing 5-year period, annualized	23.33%	22.18%	+1.15%
Volatility (10Y) Calculated over the trailing 10-year period, annualized	23.33%	22.11%	+1.22%

TMFX vs. QQQJ - Expense Ratio Comparison

TMFX has a 0.50% expense ratio, which is higher than QQQJ's 0.15% expense ratio.

Dividends

TMFX vs. QQQJ - Dividend Comparison

TMFX's dividend yield for the trailing twelve months is around 0.05%, less than QQQJ's 0.55% yield.

Position	TTM	2025	2024	2023	2022	2021	2020
QQQJ Invesco NASDAQ Next Gen 100 ETF	0.55%	0.85%	0.77%	0.67%	0.76%	0.91%	0.09%
TMFX Motley Fool Next Index ETF	0.05%	0.05%	0.06%	0.16%	0.22%	0.00%	0.00%

Frequently Asked Questions

Can I hold both TMFX and QQQJ in my portfolio?

TMFX and QQQJ have a correlation of 0.87, meaning they provide meaningful diversification benefit when combined. Depending on your allocation goals, holding both could reduce overall portfolio risk.

Which is riskier, TMFX or QQQJ?

QQQJ has higher volatility (7.18%) compared to TMFX (5.40%). In terms of maximum drawdown, TMFX dropped -34.72% vs QQQJ's -39.57%.

Which ETF is better, TMFX or QQQJ?

On 3-year performance, QQQJ leads with 21.29% vs 12.37% for TMFX. On fees, QQQJ is cheaper at 0.15% per year. On volatility, TMFX has been the lower-risk option at 5.40%. The better choice depends on whether you care most about return, fees, risk, or income.

Which ETF has performed better, TMFX or QQQJ?

Over the 3-year period, QQQJ has performed better with a 21.29% return vs 12.37%. Past performance does not guarantee future results, so compare this with risk, fees, and fund exposure.

Which ETF is cheaper, TMFX or QQQJ?

QQQJ is cheaper with a 0.15% expense ratio, compared with 0.50% for TMFX.

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

QQQJ has the higher dividend yield at 0.55%, compared with 0.05% for TMFX.

What is the main difference between TMFX and QQQJ?

TMFX tracks Motley Fool Next Index, while QQQJ tracks NASDAQ Next Generation 100 Index. They also come from different issuers: Motley Fool and Invesco. Their fees differ too: 0.50% for TMFX and 0.15% for QQQJ.

Which has better risk-adjusted returns?

QQQJ currently has the higher Sharpe Ratio (2.22 vs 0.60), 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.