VOO vs QQQ: Head-to-Head Comparison
VOO vs QQQ: Vanguard S&P 500 ETF has an expense ratio of 0.03% while Invesco QQQ Trust charges 0.20%. VOO holds 503 securities vs QQQ's 101. 5-year returns: 15.80% vs 19.50%.
Last updated: April 2026
Broad vs Tech
Quick Verdict
VOO edges out QQQ with a stronger Beginner Suitability Score (9.5 vs 8.5). It offers lower fees for new investors.
Side-by-Side Comparison
| Metric | VOO | QQQ |
|---|---|---|
| Expense Ratio | 0.03% | 0.20% |
| AUM | $560.0B | $310.0B |
| Dividend Yield | 1.30% | 0.60% |
| Holdings | 503 | 101 |
| 1-Year Return | 26.70% | 29.80% |
| 5-Year Return (Ann.) | 15.80% | 19.50% |
| 10-Year Return (Ann.) | 13.30% | 18.50% |
| Beta | 1.00 | 1.15 |
| P/E Ratio | 25.8 | 33.2 |
VOO 5-year annualized return is 15.80% compared to QQQ's 19.50%. Over 10 years, VOO returned 13.30% vs QQQ's 18.50%.
View data table
| Period | VOO Return | QQQ Return |
|---|---|---|
| YTD | 3.20% | 3.50% |
| 1 Year | 26.70% | 29.80% |
| 3 Year | 11.20% | 13.20% |
| 5 Year | 15.80% | 19.50% |
| 10 Year | 13.30% | 18.50% |
Key Differences Between VOO and QQQ
VOO (Vanguard S&P 500 ETF) is a u.s. large-cap blend fund managed by Vanguard. VOO tracks the S&P 500 index, giving you ownership in 500 of the largest U.S. companies in a single investment. It is one of the most popular ETFs in the world thanks to its ultra-low expense ratio and broad market exposure. For beginners, VOO is often recommended as a core portfolio holding because it provides instant diversification across America's leading businesses.
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 (0.03% vs 0.20%), number of holdings (503 vs 101), and 5-year returns (15.80% vs 19.50%).
VOO vs QQQ multi-factor comparison: VOO has a 0.03% expense ratio, 15.80% 5-year return, 503 holdings, 1.00 beta, and 1.30% 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 | VOO | QQQ |
|---|---|---|
| Expense Ratio | 0.03% | 0.20% |
| 5-Year Return | 15.80% | 19.50% |
| Holdings | 503 | 101 |
| Beta | 1.00 | 1.15 |
| Dividend Yield | 1.30% | 0.60% |
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Holdings Overlap Analysis
82%
Holdings Overlap
VOO 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.
VOO and QQQ share 82% of their top holdings (high overlap). VOO has 503 total holdings and QQQ has 101. Common holdings include AAPL, MSFT, NVDA.
View data table
| Metric | VOO | QQQ |
|---|---|---|
| Overlap | 82% | 82% |
| Unique Holdings | 18% | 18% |
| Total Holdings | 503 | 101 |
Cost Comparison Over Time
If you invest $10,000 and hold for 20 years (assuming 8% annual returns):
VOO
Fee cost: $258
QQQ
Fee cost: $1,696
Over 20 years, the fee difference amounts to $1,438 on a $10,000 investment. VOO saves you more in fees over time.
On a $10,000 investment over 20 years at 8% return, VOO (0.03% fee) grows to $46,351 while QQQ (0.20% fee) grows to $44,913. The fee difference costs $1,438.
View data table
| Year | VOO Value | QQQ Value |
|---|---|---|
| 0 | $10,000 | $10,000 |
| 5 | $14,673 | $14,558 |
| 10 | $21,529 | $21,193 |
| 15 | $31,590 | $30,852 |
| 20 | $46,351 | $44,913 |
Which One Should a Beginner Choose?
Choose VOO if: You want beginning investors looking for a simple core portfolio holding, long-term buy-and-hold investors seeking broad u.s. market exposure, cost-conscious investors who want minimal fees. It's managed by Vanguard with an expense ratio of 0.03%.
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 VOO 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 VOO or QQQ?▾
VOO edges out QQQ with a stronger Beginner Suitability Score (9.5 vs 8.5). It offers lower fees for new investors. However, both are solid options. VOO is best for investors who want beginning investors looking for a simple core portfolio holding, while QQQ is better suited for growth-oriented investors with a long time horizon and higher risk tolerance.
What is the difference between VOO and QQQ?▾
VOO (Vanguard S&P 500 ETF) tracks u.s. large-cap blend investments with 503 holdings and a 0.03% 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 VOO and QQQ?▾
Since VOO and QQQ have 82% holdings overlap, owning both means significant duplication. Most beginners are better off choosing one.