USMC vs. QQQE

Last updated Aug 3, 2026

USMC (Principal U.S. Mega-Cap ETF) and QQQE (Direxion NASDAQ-100 Equal Weighted Index Shares) are both exchange-traded funds - USMC is a Large Cap Blend Equities fund actively managed by Principal, while QQQE is a Nasdaq-100 fund tracking the NASDAQ-100 Equal Weighted Index. USMC is actively managed, while QQQE is passively managed. Over the past 5 years, USMC returned 14.11%/yr vs 8.11%/yr for QQQE. Their correlation of 0.84 means they have usually moved in the same direction. USMC charges 0.12%/yr vs 0.35%/yr for QQQE.

Performance

USMC vs. QQQE - Performance Comparison

The chart below illustrates the hypothetical performance of a $10,000 investment in Principal U.S. Mega-Cap ETF (USMC) and Direxion NASDAQ-100 Equal Weighted Index Shares (QQQE). The values are adjusted to include any dividend payments, if applicable.

Returns By Period

In the year-to-date period, USMC achieves a 8.72% return, which is significantly lower than QQQE's 14.79% return.

USMC

• 1D: 0.44%
• 1M: 0.13%
• 6M: 9.88%
• YTD: 8.72%
• 1Y: 20.36%
• 3Y*: 19.26%
• 5Y*: 14.11%
• 10Y*: —
• ALL TIME*: 14.93%

QQQE

• 1D: 0.29%
• 1M: -2.56%
• 6M: 13.07%
• YTD: 14.79%
• 1Y: 21.68%
• 3Y*: 14.21%
• 5Y*: 8.11%
• 10Y*: 14.70%
• ALL TIME*: 14.32%

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

Liquidity Comparison

Position	Avg. Volume Value (2W)	Avg. Volume Value (1M)	Avg. Volume Value (3M)
QQQE Direxion NASDAQ-100 Equal Weighted Index Shares	$22.33M	$22.31M	$23.91M
USMC Principal U.S. Mega-Cap ETF	$7.10M	$6.59M	$6.39M

USMC vs. QQQE - Yearly Performance Comparison

	2026 (YTD)	2025	2024	2023	2022	2021	2020	2019	2018	2017
USMC Principal U.S. Mega-Cap ETF	8.72%	14.99%	29.82%	31.57%	-17.17%	26.30%	16.05%	27.37%	-2.30%	5.48%
QQQE Direxion NASDAQ-100 Equal Weighted Index Shares	14.79%	14.58%	6.98%	33.76%	-24.47%	17.93%	37.85%	36.43%	-5.40%	3.47%

Correlation

The correlation between USMC and QQQE is 0.76, which is moderate. They have sometimes moved together and sometimes differently, sharing some price drivers without tracking each other closely.

	Correlation
Correlation (1Y) Focuses on recent behavior, but can change the most.	0.76
Correlation (3Y) Balances recent behavior with more history.	0.81
Correlation (5Y) Shows whether the relationship held over a longer period.	0.86
Correlation (All Time) Calculated using the full available price history since Oct 12, 2017	0.84

The correlation between USMC and QQQE has been stable across timeframes, ranging from 0.76 to 0.86 - a consistent structural relationship.

USMC vs. QQQE - Sectors Allocation Comparison

Sectors	USMC	QQQE
Technology	32.1%	44.3%
Financial Services	19.5%	1.0%
Communication Services	12.3%	9.6%
Healthcare	9.1%	8.8%
Consumer Defensive	8.5%	8.0%
Consumer Cyclical	8.0%	10.9%
Industrials	6.6%	10.8%
Energy	4.0%	1.8%
Basic Materials	-	1.0%
Real Estate	-	0.7%
Utilities	-	3.9%

Return for Risk

USMC vs. QQQE — Risk / Return Rank

Compare historical risk-adjusted metric ranks over the past 12 months.

USMC

USMC Risk / Return Rank: 59
USMC Sharpe Ratio Rank: 64
USMC Sortino Ratio Rank: 64
USMC Omega Ratio Rank: 61
USMC Calmar Ratio Rank: 51
USMC Martin Ratio Rank: 57

QQQE

QQQE Risk / Return Rank: 53
QQQE Sharpe Ratio Rank: 52
QQQE Sortino Ratio Rank: 50
QQQE Omega Ratio Rank: 48
QQQE Calmar Ratio Rank: 61
QQQE Martin Ratio Rank: 57

The rank (0–100) uses a weighted average of the Sharpe, Sortino, Omega, Calmar, and Martin percentile ranks for the trailing 12 months. Higher means stronger historical risk-adjusted performance within the peer group.

USMC vs. QQQE - Risk-Adjusted Trends Comparison

This table presents a comparison of risk-adjusted performance metrics for Principal U.S. Mega-Cap ETF (USMC) and Direxion NASDAQ-100 Equal Weighted Index Shares (QQQE). 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.

	USMC	QQQE	Difference
Sharpe ratio: Return per unit of total volatility	1.49	1.25	+0.24
Sortino ratio: Return per unit of downside risk	2.12	1.77	+0.35
Omega ratio: Gain probability vs. loss probability	1.26	1.22	+0.04
Calmar ratio: Return relative to maximum drawdown	1.82	2.11	-0.30
Martin ratio: Return relative to average drawdown	6.78	6.75	+0.03

USMC vs. QQQE - Sharpe Ratio Comparison

The current USMC Sharpe Ratio is 1.49, which is comparable to the QQQE Sharpe Ratio of 1.25. The chart below compares the historical Sharpe Ratios of USMC and QQQE, 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

USMC vs. QQQE - Drawdown Comparison

The maximum USMC drawdown since its inception was -29.97%, smaller than the maximum QQQE drawdown of -32.14%. Use the drawdown chart below to compare losses from any high point for USMC and QQQE.

Drawdown Indicators

	USMC	QQQE	Difference
Max Drawdown Largest peak-to-trough decline	-29.97%	-32.14%	+2.17%
Max Drawdown (1Y) Largest decline over 1 year	-10.30%	-9.41%	-0.89%
Max Drawdown (3Y) Largest decline over 3 years	-19.12%	-21.38%	+2.26%
Max Drawdown (5Y) Largest decline over 5 years	-24.09%	-32.14%	+8.05%
Max Drawdown (10Y) Largest decline over 10 years	—	-32.14%	—
Current Drawdown Current decline from peak	-1.03%	-4.46%	+3.43%
Average Drawdown Average peak-to-trough decline	-4.35%	-5.14%	+0.79%
Ulcer Index Depth and duration of drawdowns from previous peaks	2.75%	2.94%	-0.19%

Volatility

USMC vs. QQQE - Volatility Comparison

The current volatility for Principal U.S. Mega-Cap ETF (USMC) is 3.47%, while Direxion NASDAQ-100 Equal Weighted Index Shares (QQQE) has a volatility of 3.68%. This indicates that USMC experiences smaller price fluctuations and is considered to be less risky than QQQE based on this measure. The chart below showcases a comparison of their rolling one-month volatility.

Volatility by Period

	USMC	QQQE	Difference
Volatility (1M) Calculated over the trailing 1-month period	3.47%	3.68%	-0.21%
Volatility (6M) Calculated over the trailing 6-month period	9.64%	12.96%	-3.32%
Volatility (1Y) Calculated over the trailing 1-year period	12.60%	16.02%	-3.42%
Volatility (5Y) Calculated over the trailing 5-year period, annualized	16.46%	20.58%	-4.12%
Volatility (10Y) Calculated over the trailing 10-year period, annualized	18.18%	20.76%	-2.58%

USMC vs. QQQE - Expense Ratio Comparison

USMC has a 0.12% expense ratio, which is lower than QQQE's 0.35% expense ratio.

Dividends

USMC vs. QQQE - Dividend Comparison

USMC's dividend yield for the trailing twelve months is around 0.76%, more than QQQE's 0.58% yield.

Position	TTM	2025	2024	2023	2022	2021	2020	2019	2018	2017	2016	2015
QQQE Direxion NASDAQ-100 Equal Weighted Index Shares	0.58%	0.52%	0.86%	0.79%	0.98%	3.83%	0.54%	0.74%	0.80%	0.65%	1.17%	0.57%
USMC Principal U.S. Mega-Cap ETF	0.76%	0.79%	1.04%	1.35%	1.78%	1.53%	1.55%	2.01%	2.28%	0.24%	0.00%	0.00%

Frequently Asked Questions

Can I hold both USMC and QQQE in my portfolio?

USMC and QQQE have a correlation of 0.76, meaning they provide meaningful diversification benefit when combined. Depending on your allocation goals, holding both could reduce overall portfolio risk.

Which is riskier, USMC or QQQE?

QQQE has higher volatility (3.68%) compared to USMC (3.47%). In terms of maximum drawdown, USMC dropped -29.97% vs QQQE's -32.14%.

Which ETF is better, USMC or QQQE?

On 5-year performance, USMC leads with 14.11% vs 8.11% for QQQE. On fees, USMC is cheaper at 0.12% per year. On volatility, USMC has been the lower-risk option at 3.47%. The better choice depends on whether you care most about return, fees, risk, or income.

Which ETF has performed better, USMC or QQQE?

Over the 5-year period, USMC has performed better with a 14.11% return vs 8.11%. Past performance does not guarantee future results, so compare this with risk, fees, and fund exposure.

Which ETF is cheaper, USMC or QQQE?

USMC is cheaper with a 0.12% expense ratio, compared with 0.35% for QQQE.

Which ETF pays a higher dividend yield, USMC or QQQE?

USMC has the higher dividend yield at 0.76%, compared with 0.58% for QQQE.

What is the main difference between USMC and QQQE?

USMC is categorized as Large Cap Blend Equities, while QQQE is Nasdaq-100. They also come from different issuers: Principal and Direxion. Their fees differ too: 0.12% for USMC and 0.35% for QQQE.

Which has better risk-adjusted returns?

USMC currently has the higher Sharpe Ratio (1.49 vs 1.25), 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.