⚖️ QQQ vs QQQM Comparison · Free & No Signup

QQQ vs QQQM: Same Nasdaq-100 Index, Different Price Tag

QQQ and QQQM are twins with one key difference: QQQM is 5 basis points cheaper. If you're a long-term investor, the choice is almost always QQQM.

💰 QQQM is cheaper 🔬 Compare top 10 holdings → 💡 Plain-English verdict
🤝 BFF Take
Identical Exposure — QQQM Wins on Cost for Long-Term Investors

QQQ and QQQM track the exact same Nasdaq-100 index, hold the identical 101 stocks in the same proportions, and are managed by the same team at Invesco. The difference: QQQ charges 0.20% while QQQM charges 0.15%. On $100,000 over 20 years, that 5 basis point gap compounds to roughly $2,500 more in fees for QQQ holders. Invesco launched QQQM specifically for retail long-term investors — QQQ remains for institutional traders and options market participants who need its extreme liquidity. If you're buying in a 401(k), IRA, or taxable account and plan to hold for years, QQQM is the straightforward winner.

📋 Quick Takeaways
🔄Identical Nasdaq-100 exposure — same 101 holdings, same index, same Invesco management team
💰QQQM saves 5 basis points per year (0.15% vs 0.20%) — roughly $50/year per $100K invested
🎯Choose QQQ only if you trade options or need the deepest possible liquidity for large institutional orders
📊 Data-Based Take: QQQM has the lower fee

Whether the lower-cost fund suits your situation depends on your existing holdings, account type, tax situation, and how you use each fund. This is a cost comparison, not a personalized recommendation.

✓ Reviewed by a CFA® Charterholder · Data as of Jul 14, 2026 · Educational only, not financial advice
QQQ
Invesco QQQ Trust
Expense Ratio
0.20%
1-Year Return
+30.4%
AUM
$490.1B
Holdings
101
QQQM
Invesco NASDAQ 100 ETF
Expense Ratio
0.15% ✓
1-Year Return
+30.5%
AUM
$101.3B
Holdings
101

📋 QQQ vs QQQM — Key Facts Side by Side

Metric QQQ QQQM
Fund Name Invesco QQQ Trust Invesco NASDAQ 100 ETF
Issuer Invesco Invesco
Tracks Index Nasdaq-100 Nasdaq-100
Expense Ratio 0.20% 0.15% ✓
Cost per $10K/yr $20.00 $15.00
AUM $490.1B $101.3B
Holdings 101 101
Inception 1999 2020
1-Year Return +30.44% +30.48%
3-Year Return +26.19% +26.25%
5-Year Return +15.60% +15.68%
Dividend Yield 0.41% 0.43%
Holdings Overlap 100% — identical Nasdaq-100 holdings — see full overlap →
Avg Bid-Ask Spread 0.00% 0.01%

Expense ratio, AUM, and returns updated Jul 14, 2026 from ETF BFF database. Returns are annualised. Not investment advice.

📊 QQQ vs QQQM — Annualised Returns

Annualised returns (trailing, price-based). Past performance does not guarantee future results.

🎯 Which Fund Fits Which Investor?

Often fits investors who...
QQQ
  • want tech-heavy large-cap growth exposure via Nasdaq-100
Often fits investors who...
QQQM
  • want the lowest fees: saves ~$5/yr per $10K vs QQQ
  • want tech-heavy large-cap growth exposure via Nasdaq-100

💰 What the Fee Difference Actually Costs

Adjust the numbers for your situation. This models each fund's expense ratio compounding against your balance over time.

Assumes a constant annual return reinvested, with each fund's expense ratio deducted yearly. Illustrative only; actual returns vary. Past performance does not guarantee future results.

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❓ QQQ vs QQQM — Frequently Asked Questions

The only meaningful differences are expense ratio (QQQ 0.20% vs QQQM 0.15%) and liquidity. Both track the Nasdaq-100 index with identical holdings. QQQ is one of the most traded ETFs in the world — that extreme liquidity benefits institutional traders and options market participants. QQQM is designed for regular investors who buy and hold, and its lower fee makes it the better choice for long-term accounts.
If you hold QQQ in a tax-advantaged account (IRA, 401k), selling QQQ and buying QQQM is a straightforward switch — you'll save 5 basis points annually with no tax consequences. In a taxable account, consider whether the embedded capital gains would create a tax bill that exceeds the fee savings before switching. Going forward, buying QQQM instead of QQQ for new money is almost always the right call.
Nearly identical, with QQQM slightly ahead over time due to its lower expense ratio. Both track the Nasdaq-100 index, so any return difference is almost entirely explained by the 5 basis point fee gap. Over long periods, QQQM's lower cost should result in marginally better net returns.
QQQ has been around since 1999 and built up enormous institutional interest — it's a primary vehicle for options trading and intraday hedging. QQQM launched in 2020 and is designed for individual investors rather than traders. QQQ's liquidity is unmatched in the options market; QQQM's volume is more than sufficient for individual investors buying at market or limit prices.
You can, but there's no reason to — they provide identical market exposure. If you hold QQQ in one account and QQQM in another, that's fine for organizational reasons, but you're not gaining diversification. For simplicity, pick QQQM for long-term investing and leave QQQ to those who need options liquidity.

New to ETF investing? See answers to the most common ETF questions →

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📄 QQQ & QQQM Fact Sheets

QQQ Fact Sheet→ QQQM Fact Sheet→
ℹ️ Data shown is for educational purposes and may not reflect the most current figures. Returns are trailing price-based and exclude dividend reinvestment. Past performance does not guarantee future results. ETF BFF is not a licensed financial advisor — this is not personalized financial advice.