# QQQ alternatives: 8 similar ETFs compared

> ETFs similar to QQQ, closest first, with each fund's fee, what it tracks, and returns and worst drops on the same dates as QQQ. Updated daily.

The ETFs most like QQQ are QQQM, ONEQ and QQEW. QQQM tracks the same index as QQQ, so it holds the same stocks. QQQM costs less: 0.15% a year against 0.18%.

Written by [the Tactfolio research team](https://tactfolio.com/about/editorial-policy). Fund facts checked October 17, 2026. Prices through October 16, 2026.

## Key points

- 8 funds can stand in for QQQ: 1 on the same index, 2 of the same kind and 5 related funds.
- QQQ charges 0.18% a year (about $18 on $10,000). The cheapest alternative here, VUG, charges 0.03%.
- QQQM moved most like QQQ: a daily correlation of 1.00 over about the last five years.
- Returns and drops for each pair use the same dates for both funds.

## QQQ alternatives at a glance

Each fund below can stand in for QQQ, closest first. "Same index" funds hold the same stocks as QQQ. "Same kind" funds hold the same kind of stocks through a different index. "Related" funds make a different bet that often moves the same way.

| ETF | How close | Yearly fee | Fee on $10,000 | Tracks |
| --- | --- | --- | --- | --- |
| **QQQ** | This fund | 0.18% | $18 | Nasdaq-100 Index |
| [QQQM](https://tactfolio.com/etf/QQQM.md) | Same index | 0.15% | $15 | Nasdaq-100 Index |
| [ONEQ](https://tactfolio.com/etf/ONEQ.md) | Same kind of fund | 0.21% | $21 | Nasdaq Composite Index |
| [QQEW](https://tactfolio.com/etf/QQEW.md) | Same kind of fund | 0.55% | $55 | Nasdaq-100 Select Equal Weight Index |
| [IYW](https://tactfolio.com/etf/IYW.md) | Related fund | 0.37% | $37 | Russell 1000 Technology RIC 22.5/45 Capped Index |
| [VUG](https://tactfolio.com/etf/VUG.md) | Related fund | 0.03% | $3 | Morningstar US Large Cap Growth Index |
| [XLK](https://tactfolio.com/etf/XLK.md) | Related fund | 0.08% | $8 | Technology Select Sector Index |
| [FTEC](https://tactfolio.com/etf/FTEC.md) | Related fund | 0.084% | $8.40 | MSCI USA IMI Information Technology 25/50 Index |
| [VGT](https://tactfolio.com/etf/VGT.md) | Related fund | 0.09% | $9 | MSCI US Investable Market Information Technology 25/50 Index |

Fees come from each fund company, checked on the dates shown on each fund's page.

## How QQQ and its alternatives did over the same dates

Each row measures the alternative and QQQ on the days both traded, so neither gets a head start. Correlation shows how closely their daily moves matched over about the last five years. A value of 1 means they always moved together.

| ETF | Moves with QQQ | Per year | QQQ per year | Worst drop | QQQ worst drop | Since |
| --- | --- | --- | --- | --- | --- | --- |
| [QQQM](https://tactfolio.com/etf/QQQM.md) | 1.00 | 16.5% | 16.4% | −35.0% | −35.1% | October 2020 |
| [ONEQ](https://tactfolio.com/etf/ONEQ.md) | 0.99 | 13.2% | 15.1% | −55.1% | −53.4% | October 2003 |
| [QQEW](https://tactfolio.com/etf/QQEW.md) | 0.94 | 11.2% | 15.8% | −58.2% | −53.4% | May 2006 |
| [IYW](https://tactfolio.com/etf/IYW.md) | 0.98 | 9.4% | 9.2% | −81.9% | −80.5% | May 2000 |
| [VUG](https://tactfolio.com/etf/VUG.md) | 0.98 | 12.1% | 14.8% | −50.7% | −53.4% | January 2004 |
| [XLK](https://tactfolio.com/etf/XLK.md) | 0.97 | 10.0% | 10.7% | −82.0% | −83.0% | March 1999 |
| [FTEC](https://tactfolio.com/etf/FTEC.md) | 0.97 | 21.7% | 19.0% | −34.9% | −35.1% | October 2013 |
| [VGT](https://tactfolio.com/etf/VGT.md) | 0.97 | 14.8% | 14.8% | −54.6% | −53.4% | January 2004 |

Prices through October 16, 2026. Figures use daily closing prices adjusted for splits, with dividends reinvested. They do not include taxes or the cost of buying and selling. Past results do not tell you what will happen next.

## Each QQQ alternative, compared

### QQQM: Invesco NASDAQ 100 ETF

QQQM tracks the same Nasdaq-100 Index as QQQ, so the two hold the same stocks. The main differences are the fee and the fund company.

It charges 0.15% a year, about $15 on $10,000, against $18 for QQQ.

From October 2020 to October 2026, QQQM returned about 16.5% a year and QQQ returned about 16.4% a year. Over about the last five years they moved almost exactly together (correlation 1.00).

Read [QQQ vs QQQM](https://tactfolio.com/etf-comparisons/QQQ-vs-QQQM.md) for the full side-by-side, or the [QQQM fund page](https://tactfolio.com/etf/QQQM.md).

### ONEQ: Fidelity Nasdaq Composite Index ETF

ONEQ also holds the 100 biggest companies on the Nasdaq outside finance, many of them in technology. It tracks the Nasdaq Composite Index, while QQQ tracks the Nasdaq-100 Index.

It charges 0.21% a year, about $21 on $10,000, against $18 for QQQ.

From October 2003 to October 2026, ONEQ returned about 13.2% a year and QQQ returned about 15.1% a year. Over about the last five years they moved almost exactly together (correlation 0.99).

Read the [ONEQ fund page](https://tactfolio.com/etf/ONEQ.md) for its returns by year and worst drop.

### QQEW: First Trust Nasdaq-100 Select Equal Weight ETF

QQEW also holds the 100 biggest companies on the Nasdaq outside finance, many of them in technology. It tracks the Nasdaq-100 Select Equal Weight Index, while QQQ tracks the Nasdaq-100 Index.

It charges 0.55% a year, about $55 on $10,000, against $18 for QQQ.

From May 2006 to October 2026, QQEW returned about 11.2% a year and QQQ returned about 15.8% a year. Over about the last five years they moved together on most days (correlation 0.94).

Read the [QQEW fund page](https://tactfolio.com/etf/QQEW.md) for its returns by year and worst drop.

### IYW: iShares U.S. Technology ETF

IYW is a looser match. It holds US technology companies, such as makers of chips, software and computers, while QQQ holds the 100 biggest companies on the Nasdaq outside finance, many of them in technology.

It charges 0.37% a year, about $37 on $10,000, against $18 for QQQ.

From May 2000 to October 2026, IYW returned about 9.4% a year and QQQ returned about 9.2% a year. Over about the last five years they moved almost exactly together (correlation 0.98).

Read the [IYW fund page](https://tactfolio.com/etf/IYW.md) for its returns by year and worst drop.

### VUG: Vanguard Morningstar Growth ETF

VUG is a looser match. It holds large US companies whose sales and profits are growing fast, while QQQ holds the 100 biggest companies on the Nasdaq outside finance, many of them in technology.

It charges 0.03% a year, about $3 on $10,000, against $18 for QQQ.

From January 2004 to October 2026, VUG returned about 12.1% a year and QQQ returned about 14.8% a year. Over about the last five years they moved almost exactly together (correlation 0.98).

Read the [VUG fund page](https://tactfolio.com/etf/VUG.md) for its returns by year and worst drop.

### XLK: State Street Technology Select Sector SPDR ETF

XLK is a looser match. It holds US technology companies, such as makers of chips, software and computers, while QQQ holds the 100 biggest companies on the Nasdaq outside finance, many of them in technology.

It charges 0.08% a year, about $8 on $10,000, against $18 for QQQ.

From March 1999 to October 2026, XLK returned about 10.0% a year and QQQ returned about 10.7% a year. Over about the last five years they moved almost exactly together (correlation 0.97).

Read the [XLK fund page](https://tactfolio.com/etf/XLK.md) for its returns by year and worst drop.

### FTEC: Fidelity MSCI Information Technology Index ETF

FTEC is a looser match. It holds US technology companies, such as makers of chips, software and computers, while QQQ holds the 100 biggest companies on the Nasdaq outside finance, many of them in technology.

It charges 0.084% a year, about $8.40 on $10,000, against $18 for QQQ.

From October 2013 to October 2026, FTEC returned about 21.7% a year and QQQ returned about 19.0% a year. Over about the last five years they moved almost exactly together (correlation 0.97).

Read the [FTEC fund page](https://tactfolio.com/etf/FTEC.md) for its returns by year and worst drop.

### VGT: Vanguard Information Technology ETF

VGT is a looser match. It holds US technology companies, such as makers of chips, software and computers, while QQQ holds the 100 biggest companies on the Nasdaq outside finance, many of them in technology.

It charges 0.09% a year, about $9 on $10,000, against $18 for QQQ.

From January 2004 to October 2026, VGT returned about 14.8% a year and QQQ returned about 14.8% a year. Over about the last five years they moved almost exactly together (correlation 0.97).

Read [QQQ vs VGT](https://tactfolio.com/etf-comparisons/QQQ-vs-VGT.md) for the full side-by-side, or the [VGT fund page](https://tactfolio.com/etf/VGT.md).

## QQQ versions from other fund companies

Some people keep all their funds with one company. Here is the closest fund to QQQ from each other company on this page:

- **Fidelity:** [ONEQ](https://tactfolio.com/etf/ONEQ.md), Fidelity Nasdaq Composite Index ETF (same kind of fund, 0.21% a year)
- **First Trust:** [QQEW](https://tactfolio.com/etf/QQEW.md), First Trust Nasdaq-100 Select Equal Weight ETF (same kind of fund, 0.55% a year)
- **iShares (BlackRock):** [IYW](https://tactfolio.com/etf/IYW.md), iShares U.S. Technology ETF (related fund, 0.37% a year)
- **Vanguard:** [VUG](https://tactfolio.com/etf/VUG.md), Vanguard Morningstar Growth ETF (related fund, 0.03% a year)
- **SPDR (State Street):** [XLK](https://tactfolio.com/etf/XLK.md), State Street Technology Select Sector SPDR ETF (related fund, 0.08% a year)

Most brokers let you buy any ETF, whoever runs it. Mutual fund versions, such as a fund company's index mutual fund, are not listed here.

## How to choose between QQQ and its alternatives

- **What it tracks.** A fund on the same index holds the same stocks. A different index can mean different weights, more or fewer holdings, or a different mix.
- **The fee.** The difference is often small. On $10,000, QQQ costs about $18 a year. VUG costs about $3.
- **History.** An older fund has been through more bad markets, so you can see how far it fell.
- **What you already own.** Two funds that move together add little variety. A fund with a low correlation behaves more on its own.

## Swapping QQQ to harvest a tax loss

Some investors sell a fund at a loss to lower their taxes, then buy a similar fund so they stay invested. This is called tax-loss harvesting.

The IRS wash sale rule blocks the loss if you buy a "substantially identical" security within 30 days before or after the sale. The IRS has not said exactly when two funds count. Funds on the same index are more likely to. Funds on a different index, such as ONEQ, QQEW or IYW, are less likely to.

Ask a tax professional before you rely on this. Read the IRS rules in [Publication 550](https://www.irs.gov/publications/p550).

## Test QQQ and its alternatives in a backtest

Tactfolio is a platform where you build rules-based investing strategies, backtest them on decades of real prices, share them, and run them automatically in your own Alpaca account. Open the [builder](https://tactfolio.com/builder), add QQQ and QQQM, and see how each would have done on the same dates, or how a mix of both would have done.

## The details

Alternatives are picked from facts, not from returns. First come funds that track the same index as QQQ. Then come funds that hold the same kind of stocks through another index. Last come funds from a close category that make a different bet. Leveraged funds are only listed as alternatives to other leveraged funds.

Within each group, the funds whose daily returns moved most like QQQ over about the last five years come first. Returns and worst drops use Tactfolio's stored daily prices, adjusted for splits, with dividends reinvested. Each alternative is measured with QQQ only on days both traded. Read [what a backtest simulates](https://tactfolio.com/docs/backtests.md) for more on these measures.

## Research and test it

- [S&P 500 index](https://tactfolio.com/learn/sp500-index): The S&P 500 tracks about 500 large US companies. Learn how stocks get in, how the index is weighted, how to invest in it, and how far it has fallen before.
- [What is an ETF](https://tactfolio.com/learn/what-is-an-etf): An ETF is a fund that trades like a stock. Learn how ETFs work, what they cost, the main types, and the risks, with SEC sources.
- [ETF screener](https://tactfolio.com/screener.md): A free ETF screener for 162 US-listed funds. Filter by type, issuer and fee, sort by returns or worst drop, and compare funds side by side.
- [ETF expense ratio](https://tactfolio.com/learn/etf-expense-ratio): What an ETF expense ratio is, how the fund charges it, and how 0.03% vs 1% adds up over 10 and 30 years, with real fund examples.
- [Backtest a portfolio](https://tactfolio.com/trading-tools/backtest-portfolio): Backtest a portfolio of US stocks and ETFs. Enter tickers and shares, pick when to rebalance, and get the results with a link to share.
- [Backtesting](https://tactfolio.com/backtesting): Free backtesting software for stocks, ETFs, and crypto perps.

## Common questions

### What ETF is most similar to QQQ?

QQQM is the closest. QQQM tracks the same Nasdaq-100 Index as QQQ, so the two hold the same stocks. The main differences are the fee and the fund company. Over about the last five years they moved almost exactly together.

### Is there a cheaper alternative to QQQ?

Yes. VUG charges 0.03% a year, XLK charges 0.08% a year and FTEC charges 0.084% a year, against 0.18% for QQQ. On $10,000 that is about $3 a year instead of $18.

### Is QQQ or QQQM better?

Neither is better for everyone. From October 2020 to October 2026, QQQ returned about 16.4% a year and QQQM returned about 16.5% a year. QQQ charges 0.18% a year and QQQM charges 0.15%. Past returns do not tell you what comes next.

### What if I had put $10,000 in QQQ 10 years ago?

It would have grown to about $64,814 by October 16, 2026, with dividends reinvested. That is about 20.5% a year. Past returns do not tell you what comes next.

## Sources

- [Invesco: Invesco QQQ Trust, Series 1 fund page](https://www.invesco.com/us/financial-products/etfs/product-detail?audienceType=Investor&ticker=QQQ)
- [Invesco: Invesco NASDAQ 100 ETF fund page](https://www.sec.gov/Archives/edgar/data/1378872/000119312525325643/d54028d497k.htm)
- [Fidelity: Fidelity Nasdaq Composite Index ETF fund page](https://institutional.fidelity.com/app/proxy/content?literatureURL=%2F9871761.PDF)
- [First Trust: First Trust Nasdaq-100 Select Equal Weight ETF fund page](https://www.ftportfolios.com/Retail/Etf/EtfSummary.aspx?Ticker=QQEW)
- [iShares (BlackRock): iShares U.S. Technology ETF fund page](https://www.ishares.com/us/products/239522/ishares-u-s-technology-etf)
- [Vanguard: Vanguard Morningstar Growth ETF fund page](https://investor.vanguard.com/investment-products/etfs/profile/vug)
- [SPDR (State Street): State Street Technology Select Sector SPDR ETF fund page](https://www.ssga.com/us/en/intermediary/etfs/state-street-technology-select-sector-spdr-etf-xlk)
- [Fidelity: Fidelity MSCI Information Technology Index ETF fund page](https://www.sec.gov/Archives/edgar/data/945908/000094590825000729/filing10088.htm)
- [Vanguard: Vanguard Information Technology ETF fund page](https://investor.vanguard.com/investment-products/etfs/profile/vgt)
- [IRS Publication 550: wash sales](https://www.irs.gov/publications/p550)

> Not financial advice. Tactfolio is a research and automation tool. It is not a broker or a financial adviser. This page is for education only. Backtests are hypothetical. They show how rules would have done on past prices, not how they will do. All investing involves risk, including losing the money you put in.