ETF Comparison
QQQ vs SPY: Which Is the Better Pick in 2026?
A head-to-head comparison of Invesco QQQ Trust and SPDR S&P 500 ETF Trust covering yield, cost, risk, and income potential.
Data updated April 5, 2026
Side-by-side snapshot
| QQQ | SPY | |
|---|---|---|
| Full name | Invesco QQQ Trust | SPDR S&P 500 ETF Trust |
| Issuer | Invesco | State Street |
| Price | $584.31 | $655.24 |
| Distribution yield | 0.46% | 1.06% |
| Expense ratio | 0.18% | 0.09% |
| AUM | $395.0B | $698.3B |
| Distribution frequency | Quarterly | Quarterly |
| Underlying index | Nasdaq-100 Index | S&P 500 Index |
| Objective | Track the Nasdaq-100 Index, which includes 100 of the largest non-financial Nasdaq stocks. | Track the S&P 500 Index before expenses. |
| Asset class | Equity | Equity |
| Inception date | 03/10/1999 | 01/22/1993 |
| Beta | 1.15 | 1.0 |
| Last dividend | $0.73 | $1.80 |
| Ex-dividend date | 03/23/2026 | 03/20/2026 |
Visual comparison
Key metrics
Projected income on $10K
Projections assume the current yield and share price remain constant. Actual results will vary.
Quick verdict
QQQ (Invesco QQQ Trust) and SPY (SPDR S&P 500 ETF Trust) are both popular quarterly-pay track the nasdaq-100 index, which includes 100 of the largest non-financial nasdaq stocks. ETFs, but they take different approaches.
SPY offers the higher yield at 1.06% vs 0.46% for QQQ. A higher yield means more current income per dollar invested, though it may come with different risk characteristics.
SPY is cheaper with an expense ratio of 0.09% compared to 0.18%.
They track different benchmarks: QQQ is linked to Nasdaq-100 Index while SPY tracks S&P 500 Index, which means their performance drivers differ.
SPY is the larger fund by assets ($698.3B), which generally means tighter spreads and better liquidity.
Deep dive
Yield & income
On a $10,000 investment, QQQ would generate roughly $3.83/month while SPY would produce $8.83/month at current distribution rates. Both pay quarterly distributions.
Cost & efficiency
Over 10 years on $10,000, QQQ would cost approximately $180 in fees vs $90 for SPY (simplified, not compounded). The $90.00 difference may be offset by yield or performance.
Strategy & risk
QQQ tracks Nasdaq-100 Index with a track the nasdaq-100 index, which includes 100 of the largest non-financial nasdaq stocks. approach, while SPY tracks S&P 500 Index using a track the s&p 500 index before expenses. strategy. Beta is 1.15 for QQQ and 1.0 for SPY, indicating SPY is less volatile relative to the market.
Fund details
QQQ is managed by Invesco (launched 03/10/1999) with $395.0B in assets. SPY is managed by State Street (launched 01/22/1993) with $698.3B in assets.
Income calculator
See how much monthly income a hypothetical investment would generate in each ETF at current yields.
Frequently asked questions
Is QQQ or SPY better for dividend income?
It depends on your goals. SPY 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 QQQ and SPY?
QQQ (Invesco QQQ Trust) tracks Nasdaq-100 Index with a track the nasdaq-100 index, which includes 100 of the largest non-financial nasdaq stocks. strategy, while SPY (SPDR S&P 500 ETF Trust) tracks S&P 500 Index with a track the s&p 500 index before expenses. approach. They are issued by Invesco and State Street respectively.
Can I hold both QQQ and SPY?
Yes. Many income investors hold both to diversify across different strategies and underlying indexes. This can reduce concentration risk while maintaining a strong income stream.
Which has lower fees, QQQ or SPY?
QQQ has an expense ratio of 0.18% while SPY charges 0.09%. Lower fees mean more of your investment returns stay in your pocket over time.
How much income does $10,000 in QQQ vs SPY generate?
At current yields, $10,000 in QQQ would generate roughly $3.83 per month ($46.00 annually). The same in SPY would produce about $8.83 per month ($106.00 annually).
More comparisons to explore
People also compare QQQ with
People also compare SPY with
Popular comparisons
Go deeper
Use the full ETF Comparator to add more funds, view radar charts, and generate AI reports.