What is the key difference between IVW and QQQ regarding their underlying indices?

IVW tracks the S&P 500 Growth Index, selecting large-cap companies from the S&P 500 that demonstrate specific growth characteristics. In contrast, QQQ tracks the Nasdaq-100 Index, which consists of the largest non-financial companies on the Nasdaq Stock Market. Although both funds are classified as Large Growth, their methodologies result in different company selections and sector exposures.

What do the expense ratios of IVW and QQQ indicate for investors?

Both IVW and QQQ have identical expense ratios of 0.18%. This represents the annual fee deducted from each fund's assets to cover management and operational costs. Since the fees are exactly the same, cost is not a differentiating factor between these two ETFs. However, the precise index tracking methodology for each fund is not available in the provided data.

How do the net asset values of IVW and QQQ differ and what does this imply?

QQQ has $484.3 billion in net assets, while IVW has $77.2 billion. Larger net assets often correlate with higher trading volume and liquidity, potentially leading to tighter bid-ask spreads for investors buying or selling shares throughout the day. Both funds are managed by established issuers: Invesco manages QQQ and iShares manages IVW. The difference in size reflects their varying market adoption since inception.

Do IVW and QQQ hold the same companies in their top positions?

There is significant overlap in the top holdings of both funds. Specifically, NVDA, MSFT, AAPL, GOOGL, GOOG, META, AMZN and MU appear in the top ten lists for both IVW and QQQ. However, the portfolio weights vary, with NVDA representing 14.80% of IVW but 8.52% of QQQ. While other companies like AVGO, BRK.B, AMD and TSLA appear in one list but not the other.

How do the dividend yields of IVW and QQQ compare?

IVW has a dividend yield of 0.34%, while QQQ has a yield of 0.41%. Both yields are considered relatively low, which is typical for growth-oriented exchange-traded funds that often reinvest earnings for capital appreciation rather than distributing them. These figures indicate modest income generation potential compared to equity funds focused on dividends. Investors seeking higher yields might need to explore other categories, though sector weights are not available.

What is the historical track record of IVW versus QQQ?

QQQ has a longer operational history, with an inception date of March 10, 1999. IVW was launched slightly later, with an inception date of May 22, 2000. Both funds have demonstrated resilience over decades, navigating various market cycles. QQQ's earlier start reflects its long-standing role as a primary vehicle for tracking the Nasdaq-100, while IVW has established itself as a core large-cap growth holding over its 20-plus-year history.

How does concentration risk compare between IVW and QQQ?

Concentration risk refers to the impact of a single holding on the fund's performance. IVW currently has a higher concentration in its top holding, NVDA, at 14.80%. QQQ's largest holding, also NVDA, accounts for 8.52% of the fund. While both funds are tech-heavy, QQQ spreads its risk across a broader base of non-financial Nasdaq companies, resulting in a slightly lower maximum weight for any single stock compared to IVW.

How does the difference in index methodology impact exposure to sectors?

IVW focuses on growth companies within the S&P 500, while QQQ targets the largest non-financial companies on the Nasdaq. This structural difference influences their exposure to various sectors. Although specific sector weights are not available for comparison, the exclusion of financials in QQQ means its performance is driven differently by market sectors than IVW, which could theoretically include financial firms if they meet growth criteria. The market caps of underlying companies are generally large, aligning with the 'Large Growth' category for both funds.

How does the size difference between IVW and QQQ affect their market liquidity?

QQQ's net assets of $484.3 billion are significantly larger than IVW's $77.2 billion. This larger asset base contributes to QQQ's status as a highly liquid instrument with deep trading volume, facilitating easier entry and exit for large orders. IVW is also liquid and suitable for most institutional investors, but its lower trading volume might result in slightly wider spreads compared to QQQ during high-volatility periods. Liquidity is a practical consideration for active traders.

What role do mega-cap tech stocks play in both ETFs?

Both IVW and QQQ have heavy exposure to mega-cap technology stocks. Companies like NVDA, AAPL and MSFT are top holdings in both funds, indicating that their performance is closely tied to the tech sector. This shared reliance means that market events affecting big tech often drive both ETFs in the same direction. High exposure to a handful of such companies increases idiosyncratic risk, where the underperformance of a single giant could impact the fund's returns.

Which investing goals are associated with IVW versus QQQ?

IVW is generally associated with investors seeking diversified exposure to the growth segment of the broad S&P 500. QQQ is often chosen by investors specifically targeting the technology sector and high-growth non-financial firms. Neither is recommended over the other universally; the choice depends on whether an investor prefers the specific subset of growth companies in the S&P 500 or the broader, tech-centric selection of the Nasdaq-100.

What is the significance of the shared holdings between IVW and QQQ?

The shared top holdings, including NVDA, MSFT and AAPL, demonstrate that these funds have significant overlapping exposure to leading technology and growth companies. This overlap implies that holding both funds simultaneously may not provide as much diversification as expected, as they would react similarly to price movements in these shared large-cap stocks. Sector weight data is not available to fully assess the extent of this correlation, but the top holdings suggest a high degree of market alignment.

IVW vs QQQ

Two funds, one decision: we compare cost, performance and what each ETF actually holds in September 2026.

Compare IVW (iShares S&P 500 Growth ETF) and QQQ (Invesco QQQ Trust Series 1). This page reviews fees, holdings, dividends and how each fund tracks its market. Both funds are Large Growth with identical 0.18% expense ratios. QQQ has $484.3 billion in net assets versus IVW's $77.2 billion. Educational content, not financial advice.

Fund Snapshot

Key Fund Metrics

IVW

Metric

QQQ

0.18%

Expense Ratio

0.18%

0.34%

Dividend Yield

0.41%

$77.16B

Net Assets

$484.28B

155

Holdings

104

May 22, 2000

Inception Date

Mar 10, 1999

–

Index Tracked

–

Large Growth

Fund Category

Large Growth

Both funds charge the same annual fee.

Shared Top Holdings

Holding	IVW	QQQ
NVDANVIDIA Corporation	14.80%	8.52%
MSFTMicrosoft Corporation	10.09%	5.81%
AAPLApple Inc.	6.75%	7.82%
GOOGLAlphabet Inc.	5.64%	3.22%
GOOGAlphabet Inc.	4.50%	2.97%
METAMeta Platforms, Inc.	4.04%	3.12%
AMZNAmazon.com, Inc.	3.63%	4.32%
MUMicron Technology, Inc.	3.16%	5.01%

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Investment Analysis

IVW

Pros

]iShares brand offers extensive operational transparency and established management practices.]
]Net assets of $77.2 billion provide sufficient liquidity for most institutional investors.]
]Inception date of May 22, 2000, demonstrates a long operational track record.]

Considerations

]Index methodology and tracking approach details are not available.]
]Top holdings exhibit significant concentration, with NVDA representing 14.80%.]
]Dividend yield of 0.34% is low compared to many equity funds.]

QQQ

Pros

]Net assets of $484.3 billion ensure very deep liquidity and tight spreads.]
]Inception date of March 10, 1999, indicates an extremely long history.]
]Top holdings, while tech-heavy, have slightly lower maximum concentration than Fund A.]

Considerations

]Index tracked details are not available, obscuring the precise methodology.]
]Dividend yield of 0.41% remains modest for an income-focused investor.]
]High exposure to a handful of mega-cap tech stocks increases idiosyncratic risk.]

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About IVW and QQQ

IVW (IVW)

The iShares S&P 500 Growth ETF offers investors exposure to a curated selection of US large-cap companies that exhibit strong growth characteristics. Designed for those seeking capital appreciation, this fund focuses on businesses expected to achieve above-average revenue and earnings growth. With an inception date of May 22, 2000, it has a long history of tracking growth-oriented market segments. The fund holds approximately 155 assets, maintaining a relatively concentrated portfolio compared to broader market indices. Its expense ratio stands at 0.18%, providing a cost-effective way to access this specific factor. While it currently offers a modest dividend yield of 0.34%, the primary objective remains growth rather than income. Investors should note that while net assets are substantial at USD 77.16 billion, the value of these growth stocks can fluctuate significantly, and past performance does not guarantee future returns.

QQQ (QQQ)

Invesco QQQ Trust Series 1 (QQQ) is a widely traded exchange‑traded fund that seeks to track the Nasdaq‑100 Index, offering concentrated exposure to large non‑financial companies listed on the Nasdaq — think technology, consumer and biotech leaders. It provides a convenient way to gain growth-oriented exposure to a basket of big-cap, often high-growth names, with intraday liquidity like a stock. Investors should know QQQ is relatively concentrated in a handful of large issuers and sectors, which can amplify both upside and downside versus broader-market funds. It pays modest dividends and typically has higher volatility than diversified market-cap indices. As with any ETF, past performance does not predict future returns; values can fall as well as rise. This content is educational and not personalised advice — consider your risk tolerance, investment horizon and diversification needs before investing, and consult a regulated adviser for tailored guidance.

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IVW vs QQQ

Fund Snapshot