XSMO vs. QQQM

Last updated Jun 5, 2026

XSMO (Invesco S&P SmallCap Momentum ETF) and QQQM (Invesco NASDAQ 100 ETF) are both exchange-traded funds - XSMO is a Momentum fund tracking the S&P SmallCap 600 Momentum Index, while QQQM is a Nasdaq-100 fund tracking the NASDAQ-100 Index. Both are passively managed. Over the past 5 years, XSMO returned 11.48%/yr vs 17.94%/yr for QQQM. A 0.65 correlation means they provide meaningful diversification when combined. XSMO charges 0.36%/yr vs 0.15%/yr for QQQM.

Performance

XSMO vs. QQQM - Performance Comparison

The chart below illustrates the hypothetical performance of a $10,000 investment in Invesco S&P SmallCap Momentum ETF (XSMO) and Invesco NASDAQ 100 ETF (QQQM). The values are adjusted to include any dividend payments, if applicable.

Returns By Period

In the year-to-date period, XSMO achieves a 23.45% return, which is significantly higher than QQQM's 20.73% return.

XSMO

• 1D: 1.22%
• 1M: 0.48%
• YTD: 23.45%
• 6M: 21.12%
• 1Y: 35.59%
• 3Y*: 25.70%
• 5Y*: 11.48%
• 10Y*: 14.63%

QQQM

• 1D: -0.54%
• 1M: 8.67%
• YTD: 20.73%
• 6M: 19.22%
• 1Y: 40.83%
• 3Y*: 28.64%
• 5Y*: 17.94%
• 10Y*: —

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

XSMO vs. QQQM - Yearly Performance Comparison

	2026 (YTD)	2025	2024	2023	2022	2021	2020
XSMO Invesco S&P SmallCap Momentum ETF	23.45%	9.80%	17.45%	21.55%	-15.44%	19.24%	9.59%
QQQM Invesco NASDAQ 100 ETF	20.73%	20.85%	25.68%	55.01%	-32.52%	27.45%	6.67%

Correlation

The correlation between XSMO and QQQM is 0.61, which is moderate. They share some common price drivers but move independently often enough to provide real diversification benefit when combined.

	Correlation
Correlation (1Y) Calculated over the trailing 1-year period	0.61
Correlation (3Y) Calculated over the trailing 3-year period	0.61
Correlation (5Y) Calculated over the trailing 5-year period	0.66
Correlation (All Time) Calculated using the full available price history since Oct 14, 2020	0.65

The correlation between XSMO and QQQM has been stable across timeframes, ranging from 0.61 to 0.66 - a consistent structural relationship.

XSMO vs. QQQM - Sectors Allocation Comparison

Sectors	XSMO	QQQM
Technology	20.9%	53.8%
Industrials	19.5%	2.8%
Healthcare	13.9%	4.2%
Financial Services	12.3%	0.2%
Consumer Cyclical	9.0%	12.3%
Basic Materials	5.8%	1.1%
Real Estate	5.0%	0.1%
Communication Services	4.1%	15.8%
Utilities	4.0%	1.4%
Energy	3.1%	0.6%
Consumer Defensive	2.4%	7.7%

Return for Risk

XSMO vs. QQQM — Risk / Return Rank

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

XSMO

XSMO Risk / Return Rank: 65
XSMO Sharpe Ratio Rank: 57
XSMO Sortino Ratio Rank: 59
XSMO Omega Ratio Rank: 54
XSMO Calmar Ratio Rank: 79
XSMO Martin Ratio Rank: 74

QQQM

QQQM Risk / Return Rank: 75
QQQM Sharpe Ratio Rank: 81
QQQM Sortino Ratio Rank: 76
QQQM Omega Ratio Rank: 75
QQQM Calmar Ratio Rank: 70
QQQM Martin Ratio Rank: 71

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.

XSMO vs. QQQM - Risk-Adjusted Trends Comparison

This table presents a comparison of risk-adjusted performance metrics for Invesco S&P SmallCap Momentum ETF (XSMO) and Invesco NASDAQ 100 ETF (QQQM). 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.

	XSMO	QQQM	Difference
Sharpe ratio: Return per unit of total volatility	1.91	2.58	-0.67
Sortino ratio: Return per unit of downside risk	2.73	3.38	-0.65
Omega ratio: Gain probability vs. loss probability	1.32	1.44	-0.12
Calmar ratio: Return relative to maximum drawdown	4.02	3.43	+0.59
Martin ratio: Return relative to average drawdown	13.74	13.15	+0.59
Data is calculated on a 1-year rolling basis and updated daily. The trend shows the change in the indicator over the past month.

XSMO vs. QQQM - Sharpe Ratio Comparison

The current XSMO Sharpe Ratio is 1.91, which is comparable to the QQQM Sharpe Ratio of 2.58. The chart below compares the historical Sharpe Ratios of XSMO and QQQM, calculated using daily returns over the previous 12 months. A higher Sharpe Ratio indicates better risk-adjusted performance relative to the risk-free rate.

Sharpe Ratios by Period

	XSMO	QQQM	Difference
Sharpe Ratio (1Y) Calculated over the trailing 1-year period	1.91	2.58	-0.67
Sharpe Ratio (5Y) Calculated over the trailing 5-year period	0.51	0.81	-0.30
Sharpe Ratio (10Y) Calculated over the trailing 10-year period	0.61	—	—
Sharpe Ratio (All Time) Calculated using the full available price history	0.39	0.84	-0.45

Drawdowns

XSMO vs. QQQM - Drawdown Comparison

The maximum XSMO drawdown since its inception was -58.06%, which is greater than QQQM's maximum drawdown of -35.04%. Use the drawdown chart below to compare losses from any high point for XSMO and QQQM.

Drawdown Indicators

	XSMO	QQQM	Difference
Max Drawdown Largest peak-to-trough decline	-58.06%	-35.04%	-23.02%
Max Drawdown (1Y) Largest decline over 1 year	-8.89%	-11.96%	+3.07%
Max Drawdown (3Y) Largest decline over 3 years	-24.76%	-22.70%	-2.06%
Max Drawdown (5Y) Largest decline over 5 years	-29.62%	-35.04%	+5.42%
Max Drawdown (10Y) Largest decline over 10 years	-39.39%	—	—
Current Drawdown Current decline from peak	-0.52%	-0.75%	+0.23%
Average Drawdown Average peak-to-trough decline	-11.13%	-8.24%	-2.89%
Ulcer Index Depth and duration of drawdowns from previous peaks	2.60%	3.11%	-0.51%

Volatility

XSMO vs. QQQM - Volatility Comparison

Invesco S&P SmallCap Momentum ETF (XSMO) has a higher volatility of 6.12% compared to Invesco NASDAQ 100 ETF (QQQM) at 4.51%. This indicates that XSMO's price experiences larger fluctuations and is considered to be riskier than QQQM based on this measure. The chart below showcases a comparison of their rolling one-month volatility.

Volatility by Period

	XSMO	QQQM	Difference
Volatility (1M) Calculated over the trailing 1-month period	6.12%	4.51%	+1.61%
Volatility (6M) Calculated over the trailing 6-month period	14.15%	12.06%	+2.09%
Volatility (1Y) Calculated over the trailing 1-year period	18.76%	15.91%	+2.85%
Volatility (5Y) Calculated over the trailing 5-year period, annualized	22.68%	22.23%	+0.45%
Volatility (10Y) Calculated over the trailing 10-year period, annualized	24.12%	22.11%	+2.01%

XSMO vs. QQQM - Expense Ratio Comparison

XSMO has a 0.36% expense ratio, which is higher than QQQM's 0.15% expense ratio.

Dividends

XSMO vs. QQQM - Dividend Comparison

XSMO's dividend yield for the trailing twelve months is around 0.52%, more than QQQM's 0.42% yield.

Position	TTM	2025	2024	2023	2022	2021	2020	2019	2018	2017	2016	2015
QQQM Invesco NASDAQ 100 ETF	0.42%	0.50%	0.61%	0.65%	0.83%	0.40%	0.16%	0.00%	0.00%	0.00%	0.00%	0.00%
XSMO Invesco S&P SmallCap Momentum ETF	0.52%	0.75%	0.63%	0.96%	1.19%	0.30%	0.82%	0.69%	0.66%	0.27%	0.30%	0.35%

Frequently Asked Questions

Can I hold both XSMO and QQQM in my portfolio?

XSMO and QQQM have a correlation of 0.61, meaning they provide meaningful diversification benefit when combined. Depending on your allocation goals, holding both could reduce overall portfolio risk.

Which is riskier, XSMO or QQQM?

XSMO has higher volatility (6.12%) compared to QQQM (4.51%). In terms of maximum drawdown, XSMO dropped -58.06% vs QQQM's -35.04%.

Which ETF is better, XSMO or QQQM?

On 5-year performance, QQQM leads with 17.94% vs 11.48% for XSMO. On fees, QQQM is cheaper at 0.15% per year. On volatility, QQQM has been the lower-risk option at 4.51%. The better choice depends on whether you care most about return, fees, risk, or income.

Which ETF has performed better, XSMO or QQQM?

Over the 5-year period, QQQM has performed better with a 17.94% return vs 11.48%. Past performance does not guarantee future results, so compare this with risk, fees, and fund exposure.

Which ETF is cheaper, XSMO or QQQM?

QQQM is cheaper with a 0.15% expense ratio, compared with 0.36% for XSMO.

Which ETF pays a higher dividend yield, XSMO or QQQM?

XSMO has the higher dividend yield at 0.52%, compared with 0.42% for QQQM.

What is the main difference between XSMO and QQQM?

XSMO is categorized as Momentum, while QQQM is Nasdaq-100. XSMO tracks S&P SmallCap 600 Momentum Index, while QQQM tracks NASDAQ-100 Index. Their fees differ too: 0.36% for XSMO and 0.15% for QQQM.

Which has better risk-adjusted returns?

QQQM currently has the higher Sharpe Ratio (2.58 vs 1.91), 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.