VFFVX vs. QQQ
Compare and contrast key facts about Vanguard Target Retirement 2055 Fund (VFFVX) and Invesco QQQ (QQQ).
VFFVX is managed by Vanguard. It was launched on Aug 18, 2010. QQQ is a passively managed fund by Invesco that tracks the performance of the NASDAQ-100 Index. It was launched on Mar 10, 1999.
Scroll down to visually compare performance, riskiness, drawdowns, and other indicators and decide which better suits your portfolio: VFFVX or QQQ.
Key characteristics
| VFFVX | QQQ | |
|---|---|---|
| YTD Return | 17.21% | 26.09% |
| 1Y Return | 29.59% | 39.88% |
| 3Y Return (Ann) | 4.99% | 9.90% |
| 5Y Return (Ann) | 10.41% | 21.46% |
| 10Y Return (Ann) | 8.99% | 18.52% |
| Sharpe Ratio | 2.60 | 2.22 |
| Sortino Ratio | 3.60 | 2.92 |
| Omega Ratio | 1.48 | 1.40 |
| Calmar Ratio | 2.64 | 2.86 |
| Martin Ratio | 16.87 | 10.44 |
| Ulcer Index | 1.71% | 3.72% |
| Daily Std Dev | 11.08% | 17.47% |
| Max Drawdown | -31.40% | -82.98% |
| Current Drawdown | -0.19% | 0.00% |
Correlation
The correlation between VFFVX and QQQ is 0.86, 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
VFFVX vs. QQQ - Performance Comparison
In the year-to-date period, VFFVX achieves a 17.21% return, which is significantly lower than QQQ's 26.09% return. Over the past 10 years, VFFVX has underperformed QQQ with an annualized return of 8.99%, while QQQ has yielded a comparatively higher 18.52% annualized 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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VFFVX vs. QQQ - Expense Ratio Comparison
VFFVX has a 0.08% 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
VFFVX vs. QQQ - Risk-Adjusted Performance Comparison
This table presents a comparison of risk-adjusted performance metrics for Vanguard Target Retirement 2055 Fund (VFFVX) 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
VFFVX vs. QQQ - Dividend Comparison
VFFVX's dividend yield for the trailing twelve months is around 1.86%, more than QQQ's 0.59% yield.
| TTM | 2023 | 2022 | 2021 | 2020 | 2019 | 2018 | 2017 | 2016 | 2015 | 2014 | 2013 | |
|---|---|---|---|---|---|---|---|---|---|---|---|---|
VFFVX Vanguard Target Retirement 2055 Fund | 1.86% | 2.18% | 2.10% | 2.10% | 1.60% | 2.15% | 2.35% | 1.83% | 1.99% | 1.92% | 1.73% | 1.57% |
QQQ Invesco QQQ | 0.59% | 0.62% | 0.80% | 0.43% | 0.55% | 0.74% | 0.91% | 0.84% | 1.06% | 0.99% | 1.41% | 1.02% |
Drawdowns
VFFVX vs. QQQ - Drawdown Comparison
The maximum VFFVX drawdown since its inception was -31.40%, smaller than the maximum QQQ drawdown of -82.98%. Use the drawdown chart below to compare losses from any high point for VFFVX and QQQ. For additional features, visit the drawdowns tool.
Volatility
VFFVX vs. QQQ - Volatility Comparison
The current volatility for Vanguard Target Retirement 2055 Fund (VFFVX) is 2.92%, while Invesco QQQ (QQQ) has a volatility of 5.17%. This indicates that VFFVX 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.