SCHG vs QQQ: Head-to-Head Comparison
SCHG vs QQQ: Schwab U.S. Large-Cap Growth ETF has an expense ratio of 0.04% while Invesco QQQ Trust charges 0.20%. SCHG holds 250 securities vs QQQ's 101. 5-year returns: 19.50% vs 19.50%.
Last updated: April 2026
US Large-Cap Growth
Quick Verdict
Both ETFs score equally well for beginners (8.5/10). Your choice depends on your specific investment goals.
Side-by-Side Comparison
| Metric | SCHG | QQQ |
|---|---|---|
| Expense Ratio | 0.04% | 0.20% |
| AUM | $30.0B | $310.0B |
| Dividend Yield | 0.50% | 0.60% |
| Holdings | 250 | 101 |
| 1-Year Return | 33.50% | 29.80% |
| 5-Year Return (Ann.) | 19.50% | 19.50% |
| 10-Year Return (Ann.) | 17.00% | 18.50% |
| Beta | 1.15 | 1.15 |
| P/E Ratio | 35.2 | 33.2 |
SCHG 5-year annualized return is 19.50% compared to QQQ's 19.50%. Over 10 years, SCHG returned 17.00% vs QQQ's 18.50%.
View data table
| Period | SCHG Return | QQQ Return |
|---|---|---|
| YTD | 3.80% | 3.50% |
| 1 Year | 33.50% | 29.80% |
| 3 Year | 13.50% | 13.20% |
| 5 Year | 19.50% | 19.50% |
| 10 Year | 17.00% | 18.50% |
Key Differences Between SCHG and QQQ
SCHG (Schwab U.S. Large-Cap Growth ETF) is a u.s. large-cap growth fund managed by Schwab. SCHG focuses on large-cap U.S. growth stocks, companies that are expected to increase their earnings faster than the overall market. It holds about 250 stocks and is heavily tilted toward technology and consumer discretionary sectors. For beginners who believe in the long-term potential of innovative, fast-growing companies, SCHG provides that exposure at an extremely low cost.
QQQ (Invesco QQQ Trust) is a u.s. large-cap growth fund managed by Invesco. QQQ tracks the Nasdaq-100 index, which includes 100 of the largest non-financial companies listed on the Nasdaq stock exchange. It is heavily tilted toward technology and growth stocks, making it a favorite for investors who want concentrated exposure to the tech sector. Beginners should understand that QQQ can deliver higher returns than the S&P 500 in good years but also experiences sharper declines during downturns.
The most notable differences are in fees (0.04% vs 0.20%), number of holdings (250 vs 101), and 5-year returns (19.50% vs 19.50%).
SCHG vs QQQ multi-factor comparison: SCHG has a 0.04% expense ratio, 19.50% 5-year return, 250 holdings, 1.15 beta, and 0.50% yield. QQQ has 0.20% expense ratio, 19.50% 5-year return, 101 holdings, 1.15 beta, and 0.60% yield.
View data table
| Metric | SCHG | QQQ |
|---|---|---|
| Expense Ratio | 0.04% | 0.20% |
| 5-Year Return | 19.50% | 19.50% |
| Holdings | 250 | 101 |
| Beta | 1.15 | 1.15 |
| Dividend Yield | 0.50% | 0.60% |
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Holdings Overlap Analysis
82%
Holdings Overlap
SCHG and QQQ share 82% of their top holdings. This means they are very similar funds — owning both would result in significant duplication in your portfolio. For most beginners, choosing one is sufficient.
SCHG and QQQ share 82% of their top holdings (high overlap). SCHG has 250 total holdings and QQQ has 101. Common holdings include AAPL, MSFT, NVDA.
View data table
| Metric | SCHG | QQQ |
|---|---|---|
| Overlap | 82% | 82% |
| Unique Holdings | 18% | 18% |
| Total Holdings | 250 | 101 |
Cost Comparison Over Time
If you invest $10,000 and hold for 20 years (assuming 8% annual returns):
SCHG
Fee cost: $344
QQQ
Fee cost: $1,696
Over 20 years, the fee difference amounts to $1,352 on a $10,000 investment. SCHG saves you more in fees over time.
On a $10,000 investment over 20 years at 8% return, SCHG (0.04% fee) grows to $46,266 while QQQ (0.20% fee) grows to $44,913. The fee difference costs $1,353.
View data table
| Year | SCHG Value | QQQ Value |
|---|---|---|
| 0 | $10,000 | $10,000 |
| 5 | $14,666 | $14,558 |
| 10 | $21,509 | $21,193 |
| 15 | $31,546 | $30,852 |
| 20 | $46,266 | $44,913 |
Which One Should a Beginner Choose?
Choose SCHG if: You want growth-oriented investors with a long time horizon and higher risk tolerance, schwab customers who want low-cost access to large-cap growth stocks, younger investors willing to ride out volatility for potentially higher returns. It's managed by Schwab with an expense ratio of 0.04%.
Choose QQQ if: You want growth-oriented investors with a long time horizon and higher risk tolerance, investors who want concentrated exposure to technology and innovation leaders, younger investors who can tolerate short-term volatility for potentially higher long-term returns. It's managed by Invesco with an expense ratio of 0.20%.
Can You Own Both SCHG and QQQ?
With 82% holdings overlap, owning both means you're essentially doubling down on the same stocks. For beginners, we recommend picking one to keep things simple. If you want more diversification, consider pairing your choice with an international ETF like VXUS or a bond ETF like BND instead.
Frequently Asked Questions
Should I buy SCHG or QQQ?▾
Both ETFs score equally well for beginners (8.5/10). Your choice depends on your specific investment goals. However, both are solid options. SCHG is best for investors who want growth-oriented investors with a long time horizon and higher risk tolerance, while QQQ is better suited for growth-oriented investors with a long time horizon and higher risk tolerance.
What is the difference between SCHG and QQQ?▾
SCHG (Schwab U.S. Large-Cap Growth ETF) tracks u.s. large-cap growth investments with 250 holdings and a 0.04% expense ratio. QQQ (Invesco QQQ Trust) focuses on u.s. large-cap growth with 101 holdings at 0.20%. Their top holdings overlap by 82%.
Can I own both SCHG and QQQ?▾
Since SCHG and QQQ have 82% holdings overlap, owning both means significant duplication. Most beginners are better off choosing one.