The State Street SPDR S&P 500 ETF (NYSEMKT:SPY) provides broad-market exposure at half the cost of Invesco QQQ Trust, Series 1 (NASDAQ:QQQ), which offers concentrated tech growth and higher historical returns. These two funds are benchmarks for different segments of the market. While one tracks the broader large-cap universe, the other focuses on the tech-heavy Nasdaq-100.
This comparison highlights how their cost structures and portfolio tilts may appeal to different investment strategies. Beta measures price volatility relative to the S&P 500; beta is calculated from monthly returns over the available fund history (up to five years). The 1-year return represents total return over the trailing 12 months.
Dividend yield is the trailing-12-month distribution yield. The State Street SPDR S&P 500 ETF is more affordable than the Invesco fund, charging a fee that is half as high. It also provides a higher dividend payout for investors prioritizing income over aggressive growth.
Growth of $1,000 over 5 years (total return) The State Street SPDR S&P 500 ETF tracks 504 holdings. It offers exposure to the Technology (37%), Financial Services (12%), and Communication Services (10%) sectors. Its largest positions include Nvidia (NASDAQ:NVDA) at 8.14%, Apple (NASDAQ:AAPL) at 6.66%, and Microsoft (NASDAQ:MSFT) at 5.49%.
The fund was launched in 1993. It has paid $7.52 per share over the trailing 12 months, which on its recent ~$777.88 share price works out to a 1% yield. The Invesco QQQ Trust, Series 1 holds 103 stocks.
Its sector weights are heavily tilted toward Technology at 59%, followed by Communication Services at 12% and Consumer Cyclical at 11%. Top holdings include Nvidia at 8.56%, Apple at 7.01%, and Microsoft at 5.77%. The Invesco fund has paid $3.03 per share over the trailing 12 months, which on its recent ~$732.07 share price works out to a 0.4% yield.
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