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ETF Comparison

FDN vs QQQ: Which Is the Better Pick in 2026?

A head-to-head comparison of First Trust Dow Jones Internet Index Fund and Invesco QQQ Trust covering yield, cost, risk, and income potential.

Data updated July 16, 2026

ETFs306
Total AUM$271B

ETFs and AUM reflect what Dividend Vision tracks β€” the issuer's full lineup may be larger.

First Trust operates a broad multi-strategy ETF platform with 50 funds spanning allocation, income, alternatives, and thematic investing. The issuer focuses heavily on specialized income strategies, including dividend funds, covered call strategies (Buffer series), and sector-specific income plays, alongside factor-based and alternative investments. Notable tickers like FDN (tech), FAN (clean energy), and the Buffer series (BUFD, BUFQ, BUFR) reflect the issuer's emphasis on income generation and downside protection strategies across diverse market segments.

See our curated list of related YouTube videos on FDN.

ETFs256
Total AUM$971B

ETFs and AUM reflect what Dividend Vision tracks β€” the issuer's full lineup may be larger.

Invesco is a major player in the ETF space known for offering a broad, diversified lineup of 71 funds spanning multiple investment themes and strategies. Their portfolio spans income-focused funds, factor-based equity strategies, commodity exposure, digital assets, ESG investing, and the popular Invesco QQQ family tracking the Nasdaq-100, serving both income-seeking and growth-oriented investors. The issuer is particularly recognized for specialized offerings like BulletShares (laddered bond funds), sector rotation strategies, and thematic investing options, making it a comprehensive choice for investors seeking varied exposures beyond traditional index funds.

See our curated list of related YouTube videos on QQQ.

Side-by-side snapshot

FDNQQQ
Full nameFirst Trust Dow Jones Internet Index FundInvesco QQQ Trust
IssuerFirst TrustInvesco
Last Close$272.98 as of July 16, 2026$705.94 as of July 16, 2026
Distribution yield0.01%0.45%
Distribution Safety Score 7995
Expense ratio0.52%0.18%
AUM$5.08B$481B
Distribution frequencySemi-AnnualQuarterly
Underlying indexFirst Trust Dow Jones Internet IndexNasdaq-100 Index
Objectiveβ€”Track the Nasdaq-100 Index, which includes 100 of the largest non-financial Nasdaq stocks.
Asset classEquityEquity
Inception date06/19/200603/10/1999
Beta1.241.24
Last dividend$0.0110$0.7941
Ex-dividend date09/24/202612/21/2026

Bottom lineChoose FDN if you want broad equity exposure. Choose QQQ if you want a growth tilt and can accept bigger swings for higher upside.

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Visual comparison

Key metrics

Projected income on $10K

Projections assume the current yield and share price remain constant. Actual results will vary.

Total returns

FDN has lagged QQQ over the trailing twelve months, posting a 2.85% total return against 27.41%. The lead holds up over 10 years too: QQQ has compounded at 21.08% a year, against 13.74% for FDN. Figures are total returns: price change plus every distribution reinvested.

SymbolYTD1Y3Y5Y10YSince Jun 2006Volatility Sharpe Sortino Max drawdown
FDN2.80%2.85%16.60%2.54%13.74%13.79%21.8%0.500.69-25.0%
QQQ15.41%27.41%23.38%15.06%21.08%16.55%20.3%0.821.17-22.8%

Total return with all distributions reinvested on the ex-dividend date, split-adjusted, as of July 16, 2026. YTD and 1Y are cumulative; longer windows are annualized. β€œSince Jun 2006” measures every fund from June 23, 2006 β€” the youngest fund's first trading day β€” so all funds share one comparison window. Volatility is the annualized standard deviation of daily total returns over the trailing 3 years. Sharpe and Sortino divide the annualized return in excess of the risk-free rate by, respectively, that volatility and the downside deviation (both over the trailing 3 years) β€” higher is better. Max drawdown is the largest peak-to-trough total-return decline over the same window β€” shallower is better.

Quick verdict

FDN (First Trust Dow Jones Internet Index Fund) and QQQ (Invesco QQQ Trust) are both dividend ETFs, but they take different approaches.

QQQ offers the higher yield at 0.45% vs 0.01% for FDN. A higher yield means more current income per dollar invested, though it may come with different risk characteristics.

QQQ is cheaper with an expense ratio of 0.18% compared to 0.52%.

They track different benchmarks: FDN is linked to First Trust Dow Jones Internet Index while QQQ tracks Nasdaq-100 Index, which means their performance drivers differ.

QQQ is the larger fund by assets ($481B), which generally means tighter spreads and better liquidity.

Deep dive

Yield & income

On a $10,000 investment, FDN would generate roughly $0.08/month, while QQQ would produce $3.75/month, at current distribution rates.

FDN yield0.01%
QQQ yield0.45%
Monthly diff on $10K$3.67

Cost & efficiency

Over 10 years on $10,000, FDN would cost approximately $520 in fees vs $180 for QQQ (simplified, not compounded). The $340.00 difference may be offset by yield or performance.

FDN ER0.52%
QQQ ER0.18%

Strategy & risk

FDN tracks First Trust Dow Jones Internet Index with a technology approach, while QQQ tracks Nasdaq-100 Index with a growth approach.

FDN beta1.24
QQQ beta1.24

Fund details

FDN is managed by First Trust (launched 06/19/2006) with $5.08B in assets. QQQ is managed by Invesco (launched 03/10/1999) with $481B in assets.

FDN AUM$5.08B
QQQ AUM$481B

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Frequently asked questions

Is FDN or QQQ better for dividend income?

It depends on your goals. QQQ currently offers the higher distribution yield, which means more income per dollar invested. However, a lower-yield fund may offer better total return or lower volatility. Consider your time horizon and risk tolerance.

What is the difference between FDN and QQQ?

FDN (First Trust Dow Jones Internet Index Fund) tracks First Trust Dow Jones Internet Index with a technology approach, while QQQ (Invesco QQQ Trust) tracks Nasdaq-100 Index with a growth approach. They are issued by First Trust and Invesco respectively.

Can I hold both FDN and QQQ?

Yes β€” nothing prevents holding both. Whether the combination actually diversifies depends on how much the underlying exposures overlap, which isn't fully measurable from the data on this page; review each security's holdings, sector, and strategy before treating them as complementary.

Which has lower fees, FDN or QQQ?

FDN has an expense ratio of 0.52% while QQQ charges 0.18%. Lower fees mean more of your investment returns stay in your pocket over time.

How much income does $10,000 in FDN vs QQQ generate?

At current rates, $10,000 in FDN would generate roughly $0.08 per month ($1.00 annually). The same in QQQ would produce about $3.75 per month ($45.00 annually).

Which has performed better historically, FDN or QQQ?

FDN has lagged QQQ over the trailing twelve months, posting a 2.85% total return against 27.41%. The lead holds up over 10 years too: QQQ has compounded at 21.08% a year, against 13.74% for FDN. Figures are total returns: price change plus every distribution reinvested. Past performance does not guarantee future results.

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