ETF Comparison
VOO vs QQQ: Which Is the Better Pick in 2026?
A head-to-head comparison of Vanguard S&P 500 ETF and Invesco QQQ Trust covering yield, cost, risk, and income potential.
Data updated April 5, 2026
Side-by-side snapshot
| VOO | QQQ | |
|---|---|---|
| Full name | Vanguard S&P 500 ETF | Invesco QQQ Trust |
| Issuer | Vanguard | Invesco |
| Price | $602.30 | $584.31 |
| Distribution yield | 1.12% | 0.46% |
| Expense ratio | 0.03% | 0.18% |
| AUM | $1512.9B | $395.0B |
| Distribution frequency | Quarterly | Quarterly |
| Underlying index | S&P 500 Index | Nasdaq-100 Index |
| Objective | Track the performance of the S&P 500 Index, representing 500 of the largest U.S. companies. | Track the Nasdaq-100 Index, which includes 100 of the largest non-financial Nasdaq stocks. |
| Asset class | Equity | Equity |
| Inception date | 09/07/2010 | 03/10/1999 |
| Beta | 1.0 | 1.15 |
| Last dividend | $1.87 | $0.73 |
| Ex-dividend date | 03/27/2026 | 03/23/2026 |
Visual comparison
Key metrics
Projected income on $10K
Projections assume the current yield and share price remain constant. Actual results will vary.
Quick verdict
VOO (Vanguard S&P 500 ETF) and QQQ (Invesco QQQ Trust) are both popular quarterly-pay track the performance of the s&p 500 index, representing 500 of the largest u.s. companies. ETFs, but they take different approaches.
VOO offers the higher yield at 1.12% vs 0.46% for QQQ. A higher yield means more current income per dollar invested, though it may come with different risk characteristics.
VOO is cheaper with an expense ratio of 0.03% compared to 0.18%.
They track different benchmarks: VOO is linked to S&P 500 Index while QQQ tracks Nasdaq-100 Index, which means their performance drivers differ.
VOO is the larger fund by assets ($1512.9B), which generally means tighter spreads and better liquidity.
Deep dive
Yield & income
On a $10,000 investment, VOO would generate roughly $9.33/month while QQQ would produce $3.83/month at current distribution rates. Both pay quarterly distributions.
Cost & efficiency
Over 10 years on $10,000, VOO would cost approximately $30 in fees vs $180 for QQQ (simplified, not compounded). The $150.00 difference may be offset by yield or performance.
Strategy & risk
VOO tracks S&P 500 Index with a track the performance of the s&p 500 index, representing 500 of the largest u.s. companies. approach, while QQQ tracks Nasdaq-100 Index using a track the nasdaq-100 index, which includes 100 of the largest non-financial nasdaq stocks. strategy. Beta is 1.0 for VOO and 1.15 for QQQ, indicating VOO is less volatile relative to the market.
Fund details
VOO is managed by Vanguard (launched 09/07/2010) with $1512.9B in assets. QQQ is managed by Invesco (launched 03/10/1999) with $395.0B in assets.
Income calculator
See how much monthly income a hypothetical investment would generate in each ETF at current yields.
Frequently asked questions
Is VOO or QQQ better for dividend income?
It depends on your goals. VOO 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 VOO and QQQ?
VOO (Vanguard S&P 500 ETF) tracks S&P 500 Index with a track the performance of the s&p 500 index, representing 500 of the largest u.s. companies. strategy, while 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. approach. They are issued by Vanguard and Invesco respectively.
Can I hold both VOO and QQQ?
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, VOO or QQQ?
VOO has an expense ratio of 0.03% 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 VOO vs QQQ generate?
At current yields, $10,000 in VOO would generate roughly $9.33 per month ($112.00 annually). The same in QQQ would produce about $3.83 per month ($46.00 annually).
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