ONEQ VS QQQ – Which NASDAQ Index ETF should you choose?

An Overview of ONEQ vs QQQ

(Fidelity NASDAQ Composite Index ETF)
(Invesco QQQ ETF)
Benchmark IndexNASDAQ Composite IndexNasdaq-100 Index
Expense Ratio0.21%0.20%
Number of Stocks1017102
% of 10 largest holdings44.11%50.74%
Dividend Yield0.75%0.53%
as of 22/01/2021
Source: and

ONEQ ETF aims to provide returns that closely matches the price and performance of the NASDAQ Composite Index. It normally invest at least 80% of the stocks that are in the index.

QQQ, on the other hand, tracks the Nasdaq-100 Index. This index includes 100 of the largest US and international non financial companies that are listed on Nasdaq based on Market Cap.

Because of this, we can see that ONEQ ETF holds 1017 number of stocks as compared to QQQ’s 102.

Another difference is that ONEQ invest approx. 25% in Mid, Small and Micro cap. companies, whereas QQQ invests 100% in large cap. companies.

ONEQ vs QQQ - Market cap

Top 10 Holdings

(Fidelity NASDAQ
Composite Index ETF)
(Invesco QQQ ETF)
Apple Inc
Apple Inc
Microsoft Corp
Microsoft Corp
(8.95%) Inc
(8.36%) Inc
Alphabet Inc C
Tesla Inc
Facebook Inc
Facebook Inc
Tesla Inc
Alphabet Inc C
Alphabet Inc A
Alphabet Inc A
PayPal Holdings Inc
PayPal Holdings Inc
Comcast Corp
Netflix Inc
As of 30/11/2020As of 22/01/2021
Source: and

ONEQ vs QQQ – Performance

Using the Portfolio Visualizer to back test these 2 ETFs, we can then compare the portfolio growth between Oct 2003 – Dec 2020. The time period was constrained by the available data for ONEQ (Fidelity NASDAQ Composite Index ETF).

ONEQ vs QQQ - Portfolio Growth

This is what you will end up with at the end of Dec 2020 if you have invest $10,000 in 2015.

ONEQ (Fidelity NASDAQ Composite Index ETF): $74,129
QQQ (Invesco QQQ): $98,844

This works out to be 33% more in returns if you had invested in QQQ compared to ONEQ.

Annual Returns

ONEQ vs QQQ - Annual Returns

In these 15 years period, ONEQ had 3 years of losses in 2008, 2011 and 2018, whereas QQQ only had losses in 2008 and 2018.

In 2008, ONEQ delivers -39.80% in losses vs QQQ’s -41.73%. From this, we can see that during a downturn, one must be able to stomach the huge losses that might happen when there is a massive market downturn.

Annualized Returns

1 Year3 Year5 Year10 Year

Both these ETFs delivers exceptionally high annualized returns for a passively managed ETF, with the QQQ performing slightly better.

Conclusion – Which NASDAQ Index ETF should you choose?

Based on past performance, QQQ performs slightly better. Which means having mid, small and micro caps in your portfolio doesn’t increase the performance. You might be better off investing in large cap. companies in this case.

However, if you do want to include mid to micro companies in your portfolio, then ONEQ ETF might be a better choice.

Ultimately, both ETFs performed really well for the last 10 year, so you can’t go wrong with choosing either of them.

As always, Past Performance is No Guarantee of Future Results.