QQQ vs VOO
NASDAQ 100 (QQQ) vs S&P 500 (VOO) — Tech-heavy growth or broad market diversification?
Understanding QQQ and VOO
QQQ (Invesco QQQ Trust) tracks the NASDAQ-100 Index, holding the 100 largest non-financial companies listed on the NASDAQ exchange. With approximately 50% of assets in technology stocks, QQQ offers concentrated exposure to America's most innovative companies including Apple, Microsoft, Amazon, and NVIDIA.
VOO (Vanguard S&P 500 ETF) tracks the S&P 500 Index, representing the 500 largest U.S. companies across all sectors. As one of the most popular index funds with over $1.5T in assets, VOO provides broad market exposure with rock-bottom expenses of just 0.03%.
The core question for investors: Do you want concentrated tech growth (QQQ) or diversified market exposure (VOO)? Over the past 10 years, QQQ has returned +482.59% compared to VOO's +292.23% — but with significantly higher volatility (14.3% vs 11.6%).
Head to Head
Compare QQQ and VOO across key metrics that matter to long-term investors: expense ratios, historical returns, volatility, and maximum drawdown. The "Winner" column highlights which ETF performs better on each metric.
| Metric | QQQ | VOO | Winner |
|---|---|---|---|
| Expense Ratio | 0.18% | 0.03% | VOO |
| Total Assets | $395.0B | $1.5T | VOO |
| Number of Holdings | ~100 | ~500 | VOO |
| 1 Year Return | +27.08% | +21.60% | QQQ |
| 5 Year Return | +91.41% | +83.88% | QQQ |
| 10 Year Return | +482.59% | +292.23% | QQQ |
| Volatility (3Y) | 14.3% | 11.6% | VOO |
| Max Drawdown | -81.1% | -23.9% | VOO |
| Current Price | $593.72 | $609.09 | — |
Growth of $10,000
The table below shows what $10,000 invested at different points in time would be worth today. The chart visualizes long-term growth starting from the same inception date for both ETFs.
Monthly Returns Comparison
These heatmaps reveal the month-by-month performance patterns of each ETF. Green indicates positive returns, red indicates negative returns, with darker colors showing larger moves. Use these to identify volatility patterns — notice how QQQ tends to have more extreme months (both positive and negative) compared to VOO's more moderate swings.
QQQ Monthly Returns
VOO Monthly Returns
Key Differences
QQQ (NASDAQ 100)
- • Tracks 100 largest non-financial NASDAQ companies
- • Heavy tech concentration (~50% in tech)
- • Higher growth potential, higher volatility
- • Excludes financial sector entirely
- • Best for tech-focused growth investors
VOO (S&P 500)
- • Tracks 500 largest US companies
- • More diversified across all sectors
- • Lower volatility, steadier returns
- • Includes financials, energy, utilities
- • Best for broad market exposure
The Bottom Line
Choose QQQ if you believe tech will continue to outperform and can tolerate higher volatility. Choose VOO if you want broad market diversification with lower risk. Many investors hold both — VOO as a core holding and QQQ for growth tilt.
Frequently Asked Questions
What is the difference between QQQ and VOO?
QQQ tracks the NASDAQ 100 (100 largest non-financial NASDAQ companies, heavily tech-weighted), while VOO tracks the S&P 500 (500 largest US companies across all sectors). QQQ is more concentrated and volatile; VOO is more diversified.
Which is better: QQQ or VOO?
QQQ has historically outperformed VOO due to tech sector growth, but with higher volatility and drawdowns. VOO offers broader diversification and lower risk. Your choice depends on your risk tolerance and belief in continued tech outperformance.
Should I buy both QQQ and VOO?
Many investors hold both — VOO as a core position for broad market exposure and QQQ to increase their tech allocation. However, there's significant overlap since QQQ's largest holdings are also top S&P 500 stocks.
What is the expense ratio for QQQ vs VOO?
VOO has an expense ratio of 0.03%, while QQQ has an expense ratio of 0.18%. VOO is significantly cheaper to hold long-term.
Other NASDAQ 100 & S&P 500 ETFs
QQQ and VOO aren't the only options. Here are alternative ETFs and mutual funds:
NASDAQ 100 Alternatives
- QQQM — Invesco NASDAQ 100 ETF. Same index as QQQ but lower expense ratio (0.15% vs 0.20%). Best for buy-and-hold.
- ONEQ — Fidelity NASDAQ Composite ETF. ~1,000 NASDAQ stocks, broader exposure.
- TQQQ — ProShares UltraPro QQQ. 3x daily leveraged. Short-term trading only.
- FNCMX — Fidelity NASDAQ Composite Index Fund. Mutual fund alternative.
More QQQ Comparisons
Last updated: 3/16/2026