VOO holds the S&P 500, roughly 500 large US companies across every sector. QQQ holds the Nasdaq-100, which is 100 large companies listed on the Nasdaq, with no financial companies in it. VOO charges 0.03% a year and QQQ charges 0.18%. QQQ has returned more over the periods below, and it costs more and leans harder on a few companies. Both statements matter, and the tables show each.
What is the difference between VOO and QQQ?
| VOO | QQQ | |
|---|---|---|
| Issuer | Vanguard | Invesco |
| Tracks | S&P 500 Index | Nasdaq-100 Index |
| Holdings | 505 | 102 |
| Expense ratio | 0.03% | 0.18% |
| Inception | Sep 7, 2010 | Mar 10, 1999 |
| Financial companies | 12.29% of the fund | None, excluded by the index |
VOO tracks the S&P 500 Index. QQQ tracks the Nasdaq-100 Index, which Invesco describes as the 100 largest non-financial companies listed on the Nasdaq. Invesco lists 102 holdings as of Oct 5, 2026. Invesco also notes that, effective May 1, 2026, the index changed its methodology for weighting and maintenance, so performance after that date reflects the new rules.
The two funds share a lot of names, because the biggest US companies are in both indexes:
| Rank | QQQ, Oct 5, 2026 | VOO, Aug 31, 2026 |
|---|---|---|
| 1 | NVIDIA Corp. (8.53%) | NVIDIA Corp. (8.08%) |
| 2 | Apple Inc. (7.20%) | Apple Inc. (7.03%) |
| 3 | Microsoft Corp. (5.78%) | Microsoft Corp. (5.69%) |
| 4 | Micron Technology Inc. (4.92%) | Amazon.com Inc. (3.84%) |
| 5 | Advanced Micro Devices Inc. (4.22%) | Alphabet Inc. (GOOGL) (3.01%) |
| 6 | Amazon.com Inc. (4.02%) | Broadcom Inc. (2.65%) |
| 7 | Meta Platforms Inc. (3.27%) | Alphabet Inc. (GOOG) (2.39%) |
| 8 | Alphabet Inc. Class A (3.01%) | Meta Platforms Inc. (1.90%) |
| 9 | Space Exploration Technologies Corp. (3.00%) | Micron Technology Inc. (1.63%) |
| 10 | Tesla Inc. (2.95%) | Tesla Inc. (1.56%) |
| Top ten combined | 46.91% | 37.78% (sum of the ten rows) |
Eight of the ten names appear in both lists, counting Alphabet's share classes as one company. The order and the weights differ.
QQQ's ten largest holdings take a bigger share of the fund than VOO's do. That concentration is the practical difference to know about. When a few stocks move, QQQ moves with them more than VOO does. Invesco says as much in its own risk disclosure: funds focused on one sector such as technology carry more risk than diversified ones, and QQQ is non-diversified.
VOO vs QQQ returns
| Period | VOO | QQQ |
|---|---|---|
| 1 year | 15.70% | 23.74% |
| 3 years | 22.85% | 28.05% |
| 5 years | 13.75% | 16.33% |
| 10 years | 15.29% | 20.91% |
| Since inception (VOO Sep 7, 2010, QQQ Mar 10, 1999) | 14.94% | 10.88% |
QQQ returned more than VOO in each period shown, over 1, 3, 5 and 10 years. These are past periods, and a different cutoff date would change the gaps. The past decade has favored the Nasdaq-100. That does not tell you which fund will lead over your next decade.
Ignore the since-inception row when comparing. QQQ's starts in 1999 and includes the dot-com bust, which VOO's 2010 start misses entirely. It compares different time spans, not different funds.
For the long record of the S&P 500 itself, with dividends and inflation, see S&P 500 returns by decade.
Fees and fee drag
QQQ's expense ratio is 0.18% against 0.03% for VOO. That is $18 a year per $10,000 invested against $3, a difference of $15. The table puts both fees on the same assumed return, so it shows only what the fee gap costs:
| Years | VOO (0.03%) | QQQ (0.18%) | Difference |
|---|---|---|---|
| 10 | $105,796 | $104,868 | $928 |
| 20 | $388,634 | $381,027 | $7,607 |
| 30 | $1,151,995 | $1,115,263 | $36,731 |
The gap grows with the balance and the years, but it is small next to the difference in returns the funds have posted. A fee is the one number you know in advance. Returns are not, so the table is not a forecast for either fund.
To test a fee on your own plan, put your numbers into the VOO calculator or the Nasdaq-100 calculator.
Dividend yield
| VOO | QQQ | |
|---|---|---|
| SEC 30-day yield | 1.00% | 0.38% |
| SEC yield as of | Sep 30, 2026 | Oct 5, 2026 |
| Issuer’s own measure | Dividend yield 1.05% | 12-month distribution rate 0.41% |
| Own measure as of | Aug 31, 2026 | Oct 5, 2026 |
VOO pays a higher yield than QQQ on both rows. A yield is not a return, though. If you reinvest dividends, the calculators already count them in their return input, so don't add the yield on top.
How to choose between VOO and QQQ
That depends on what you already own and what you want to own. A few concrete points:
- Sector mix. VOO holds financial companies, health care and industrials alongside technology. QQQ leaves out financials by rule, and Invesco's risk disclosure singles out technology. If your 401(k) already holds a technology or growth fund, QQQ may repeat that tilt.
- Concentration. The ten largest holdings take a larger share of QQQ. If you would rather not rely on a few stocks, VOO spreads the weight more widely, though it is still concentrated at the top.
- Cost. The fee gap is $15 a year per $10,000. Whether higher past returns are worth it is a judgment about the future, which neither fund's history can settle.
- Holding both. Most of the top ten names sit in both funds, so owning both stacks the same large companies twice.
- Taxes. If one is already in a taxable account, switching means selling, and a sale can realize a taxable gain. That cost can outweigh a small difference between the funds. A tax professional can tell you how it applies to you.
Past returns don't settle it. VOO costs less, spreads across more sectors and pays more in dividends. QQQ has returned more and puts more of the fund in a handful of companies.
For the same comparison against Vanguard's total-market fund, see VOO vs VTI.
VOO vs QQQ questions
What is the main difference between VOO and QQQ?
VOO tracks the S&P 500, roughly 500 large US companies in every sector. QQQ tracks the Nasdaq-100, which Invesco describes as the 100 largest non-financial companies listed on the Nasdaq. VOO is a Vanguard fund with a 0.03% expense ratio; QQQ is an Invesco fund with a 0.18% expense ratio.
How much more does QQQ cost than VOO?
Vanguard lists 0.03% for VOO and Invesco lists 0.18% for QQQ. That is $3 against $18 a year per $10,000 invested, a gap of $15. Brokerage commissions, if your broker charges any, are separate.
Which one pays the higher dividend yield?
VOO. Vanguard reported a 1.00% SEC 30-day yield for VOO as of Sep 30, 2026, and Invesco reported 0.38% for QQQ as of Oct 5, 2026. Yields change every month and are not forecasts.
Is there a point in holding both VOO and QQQ?
Mostly no. Most of their ten largest holdings are the same companies, so holding both stacks the same exposure twice. The ten largest QQQ holdings were 46.91% of the fund as of Oct 5, 2026, and the S&P 500 holdings in VOO add sectors QQQ leaves out, such as financials.
Where to go next
- Project a VOO balance: VOO calculator
- Project a Nasdaq-100 balance: Nasdaq-100 calculator
- Compare VOO with Vanguard's total-market fund: VOO vs VTI
- Run any return you choose: S&P 500 investment calculator
- Compare more S&P 500 funds by fee: S&P 500 index fund comparison
- Accounts, costs and timing: how to invest in the S&P 500
How we calculate: methodology and sources.
Past returns don't guarantee future results. This article is educational and is not financial advice.
