We then multiply them by the leverage L=3 L = 3 to mimic the daily return of TQQQ. In this article, we will talk about how to extend the horizons of the leveraged ETFs back to before their inception dates, and to before those large financial crises. Leveraged ProShares ETFs are non-diversified and entail certain risks, including risk associated with the use of derivatives (swap agreements, futures contracts and similar instruments), imperfect benchmark correlation, leverage and market price variance, all of which can increase volatility and decrease performance. 2020. Cost of Investment. I lead the Paid Search marketing efforts at Gild Group. What are your thoughts on using TQQQ long term in the 3 signal or 9 signal strategy as proposed by Jason Kelly in his book The 3% Signal? Were not talking about bonds held in isolation, which would probably be a bad investment right now. Bonds only suffer from rising interest rates when those rates are rising. 01/2023. TQQQ 3-year return is 54.52%, which is higher than the 3-year return of the benchmark index (S&P 500 TR USD), . Historical and current end-of-day data provided by FACTSET. I am long TQQQ with covered calls out-of-the money covered calls at various expiration dates and a range of strikes. TECL has a higher 5-year return than TQQQ (32.66% vs 25.8%). The Russell 1000 Index, a subset of the Russell 3000 Index, represents the 1000 top companies by market capitalization in the United States. Use it in good health, and tell your friends! Week Calculator: How Many Weeks Between Dates? The company is the leader in strategies such as dividend growth, interest rate hedged bond and geared (leveraged and inverse) ETF investing. Holding both provides a smoother ride, reducing portfolio volatility (variability of return) and risk. A prospectus, obtained by clicking the Prospectus link, contains this and other important information about an investment company. PSLDX A Review of the PIMCO StocksPLUS Long Duration Fund, Long bonds are too volatile and too susceptible to interest rate risk!, Interest rates can only go up from here! TQQQ's 258% return over a single 12-month period makes clear why it appeals to long-term investors though it was designed to be used only by day traders. This is not a financial advise and you are fully responsible for all financial decisions you make. Overall, your return is path-dependent, i.e. Again, this information is for informational and research purposes only. Rank within Category compares this fund's total annual return to that of other funds in the same category, and its figures are not adjusted for load, sales charges, or taxes. Happy investing! Many ETFs track published indexes, so the tool is very useful as a quick comparison on index funds. TQQQ is built for short-holding periods and is best suited for day traders. The non-line regression method is also more conservative. and by using our expense ratio calculator, we get: Total cost of ETF = 207.66 USD. Todd has a bachelor's degree in broadcast journalism from Texas Christian University. The calculator tells you what the rate of return is if you reinvested dividends or took them as a payment. Hi, great article. Please include the source and a URL link to this blog post. An investment is when an individual invests a substantial amount at one go in a particular scheme. So the best quote about this situation comes from Warren Buffett: "Investing is simple, but not easy.". Bonds will be toast!, It is fundamentally incorrect to say that bonds must necessarily lose money in a rising rate environment. The TD Ameritrade base maintenance requirement for naked options is multiplied to correspond with the equity margin requirement. The Top 10 DividendRank 'ed Dow Utilities Components. return is not adjusted to reflect sales charges or taxes, however it does show actual thanks in advance and keep up the great work! Basically, these funds provide enhanced exposure without additional capital by using debt and swaps. I dont mess with options nowadays. The index includes 100 of the largest domestic and international non-financial companies listed on The Nasdaq Stock Market based on market capitalization. Ive gotten a lot of questions about and a lot of the comments in discussions on TQQQ strategies focus on the use, utility, and viability of long-term treasury bonds as a significant chunk of this strategy. Warren Buffett Dividend Stocks. Expense ratio is the percent of your investment that a fund charges each year to manage your invested money. Limits apply across all of the Tiingo calculators. Thats saying, when the market goes up, the simulated TQQQ of the nonlinear regression method goes up less drastically than the other two methods. Now, we are going to do the same calculation but with the SPY ETF information: Yearly expected investment return = 13.59%. In the last 30 Years, the Invesco QQQ Trust (QQQ) ETF obtained a 12.84% compound annual return, with a 23.93% standard deviation. Interested in more Lazy Portfolios? Thanks Joey! Compare the pros and cons of these two Nasdaq Index ETFs. "Sectors & Industries Overview. Index information does not reflect any management fees, transaction costs or expenses. The above graphs tell us 100% TQQQ is only a viable strategy if we can perfectly predict and time the market, which we know is basically impossible. At the peak of the coronavirus's impact on the stock market in March of 2020, for instance, TQQQ fell almost 70% from recent highs. For those who believe that the Nasdaq will spike in the short run, the TQQQ may be a better option since it provides leverage. For intraday data the current price is used in place of the closing price. 3 Best SPAC ETFs To Invest in SPACs in 2023 But Should You? They have gradually. There is no guarantee any ProShares ETF will achieve its investment objective. The RIC or Reuters Instrument Code set has been developed and maintained by Reuters and is the intellectual property of Reuters. Unlike traditional ETFs, leveraged ETFs like TQQQ have a high turnover and utilize derivatives contracts. This would net 1250 a week x 4 weeks = 5k a month. To comply with NFA regulations, we display Cumulative Rate of Return for strategies with a track record of less than one year. Both TECL and TQQQ are ETFs. How Many Millionaires Are There in America? Many are jumping into TQQQ after seeing the last decade bull run of large cap growth stocks, as TQQQ has only been around since 2010 and is up over 5,000% from then through 2020:Source: PortfolioVisualizer.com. "Nasdaq," "Nasdaq-100," "Nasdaq-100 Index" and "QQQ" are trademarks of The Nasdaq OMX Group, Inc. and have been licensed for use by ProShares. How to fix it? Basically, these funds provide enhanced exposure without additional capital by using debt and swaps. View TQQQ exchange traded fund data and compare to other ETFs, stocks and exchanges. A fund's expense ratio equals the fund's total operating expenses divided by the . There are currently no items in this Watchlist. This tool, in many ways, is better than some of our popular index total return calculators. 10 Oversold ETFs. When did ProShares UltraPro QQQ's stock split? (Or, at least, know that you're spending the dividends.). We also reference original research from other reputable publishers where appropriate. Assume you had invested in TQQQ stock on 2013-02-17. It is calculated based on a Morningstar Risk-Adjusted Return measure that accounts for variation in a managed product's monthly excess performance, placing more emphasis on downward variations and rewarding consistent performance. Gain from Investment - Cost of Investment. Indexes are not supported. For standardized returns and performance data current to the most recent month end, see above. As a most basic example, Bob wants to calculate the ROI on his sheep farming operation. Many tend to miss the fact that covered calls cap the upside. Do your own due diligence. This is the initial sum, that you invest on the very first month. Analytical and entrepreneurial-minded data nerd, usability enthusiast, Boglehead, and Oxford comma advocate. Ill briefly address and hopefully quell these concerns below. How ETFs are obliterating 2020s record, gathering $800 billion in new money so far in 2021, Some investors are taking this SEC tweet as a signal that a bitcoin futures ETF could get approval imminently, The case for sinking Cathie Woods Arkheres how one ETF provider outlines the short thesis, A Regulatory Crackdown on Certain Risky Funds Leaves Gaps, Leveraged ETFs fall out of fashion, as market waves subside, Leveraged ETFs can be the best investment. Investors should consult theprospectusfor further details on the calculation of the returns and the risks associated with investing in this product. Last Updated: January 21, 2023 121 Comments 10 min. Some ETFs may involve international risk, currency risk, commodity risk, leverage risk, credit risk, and interest rate risk. Your email address will not be published. Tiingo isn't free, so we have some very modest limits in place: The exchange traded fund total return calculated contains idealized return data. Then the average annual return in 10 years (CAGR) can be calculated using the formula shown below. Intraday data delayed at least 15 minutes or per exchange requirements. This is because simple math again tells us that it requires great gains to recover from great losses: As a simplistic example using dollars, suppose your $100 portfolio drops by 10% ($10) to $90. The total return is not adjusted to reflect sales charges or taxes, however it does show actual ongoing fund expenses and assumes the reinvestment of dividends and capital gains. I know you dont time the market, but at these levels, it might be worth the risk soon. ET and do not represent the returns an investor would receive if shares were traded at other times. If you keep loading up on it little by little, especially right now. For bonds just find a long treasury mutual fund like VUSTX. could be an absolutely terrible idea. These effects may be more pronounced in funds with larger or inverse multiples and in funds with volatile benchmarks. Expense Ratio SPY = 0.0945%. $6.30 / $51.30 = 12.2%. Thanks, Simone! Question: would this also apply to SOXL? Exchange-traded funds and open-ended mutual funds are considered a single population for comparative purposes. Thank you. Standard due dates will be assigned. As shown in Fig. The $158.3 billion QQQ (as of July 2022) is over 20 years old and is one of the largest plain-vanilla ETFs in the U.S. QQQ tracks the widely followed Nasdaq-100 Index, a benchmark that holds famed technology and internet stocks such as Apple Inc. (AAPL), Microsoft Corp. (MSFT) and Google parent Alphabet Inc. (GOOG), among others. It is mandatory to procure user consent prior to running these cookies on your website. Very thorough article. We then multiply them by the leverage L=3 L = 3 to mimic the daily return of TQQQ . He has 8 years experience in finance, from financial planning and wealth management to corporate finance and FP&A. From the beginning until the present, he invested a total of $50,000 into the project, and his total profits to date sum up to $70,000. Similarly, short-term decreases in bond prices do not mean the bonds are not still doing their job of buffering stock downturns. No I would not use 5x. While the 10-year overall star rating formula seems to give the most weight to the 10-year period, the most recent three-year period actually has the greatest impact because it is included in all three rating periods. The very first leveraged ETF was incepted in 2006, TQQQ (3x of QQQ) in 2010, and UPRO (3x of SPY) in 2009. This is the biggest loss of profit in percentages in a single month. However, the history of leveraged ETFs is not long. Many investors like (or hate) leveraged ETFs. Read them carefully before investing. How did you get the QQQ data and the treasury bonds as far as 1985? Trying to forecast a 3x LETF is almost certainly a fools errand. ProShares TQQQ is also an ETF. For example, in the chart above, when QQQ was up 0.77%, SQQQ was down 2.36%. Haha. TQQQ: PROSHARES ULTRAPRO QQQ: LONG: 2,293: 22.26: 2/23 15:59: 22.98: 1.26%. Necessary cookies are absolutely essential for the website to function properly. Holdings are subject to change. I'm not a big fan of social media, but you can find me on LinkedIn and Reddit. Using the DRIP calculator, we can estimate the annualized returns of VOO for roughly the same time period. 3rd Party Research Disclosure /public-10:57:25. This is the biggest loss in percentage in all investing period. VIX futures are an insurance policy that isnt worth the premium in my opinion. Im not sure I understand why one would do this. Below is the comparison between TECL and TQQQ . I just downloaded historical returns data. It shows how many months you were profitable. In . Resources and Services for Individual Traders. ProShares based on Nasdaq indexes are not sponsored, endorsed, sold or promoted by Nasdaq OMX or its affiliates, and they make no representation regarding the advisability of investing in ProShares. Save my name, email, and website in this browser for the next time I comment. Note that there are other factors the tool is ignoring: It is very possible that the price or dividend datasets are wrong too (please report it if you find a bug). We'll assume you're ok with this, but you can opt-out if you wish. At no additional cost to you, if you choose to make a purchase or sign up for a service after clicking through those links, I may receive a small commission. TMF is a very popular leveraged ETF for long-term treasury bonds. Youll be very rich in the next 10 years. Generate graph from spreadsheet or upload to PV as a custom data series. Dividends make up a huge amount of return when you trace them back over a long enough timeframe. Always check the tool ending date after a scenario to see data recency of the ETF. TD Ameritrade receives remuneration from certain ETFs for shareholder, administrative, and/or other services. This ETF. Read my lengthier disclaimer here. Im sure this guy has gotten hammered on his TQQQ over the last few months but still collected some premium from his covered calls, Covered calls are in no way a hedge and are definitely not the same as buying a bond.. Feel free to send enhancement requests, just know that the bar is very high. Refund Transfer is a bank deposit product, not a loan. Read our dividend analysis for TQQQ. Fidelity. To make the logic simple, we invest(the next legal market day) 1, 7, 30, or 365 days after the previous investment respective to your time frame choice. The TQQQ is exponentially riskier than the QQQ and is only suitable for investors with a high degree of risk tolerance. You simply need to input the SIP amount, the duration of investment and the expected rate of return, and the calculator will wield the results in seconds. By sharing this article, you are agreeing to the Terms of Use. The Nasdaq-100 Index includes 100 of the largest domestic and international non-financial companies listed on The Nasdaq Stock Market based on market capitalization. Our tax return calculator will estimate your refund and account for which credits are refundable and which are nonrefundable. For the gold standard of index fund returns perhaps with less resolution see the prospectus of the fund. Current performance may be higher or lower than the performance data quotes. This category only includes cookies that ensures basic functionalities and security features of the website. TYD 3x intermediate treasuries less interest rate risk. We first calculate QQQ's daily returns r_ {i,i-1}= {Q_i}/ {Q_ {i-1}}-1 ri,i1 = Qi/Qi1 1, where Q_i Qi is QQQ's close price on the i i th day . ongoing fund expenses and assumes the reinvestment of dividends and capital gains. Investopedia does not include all offers available in the marketplace. How did you do that? Todd Shriber is the ETF editor at Benzinga. Intraday Data provided by FACTSET and subject to terms of use. We then plug back the fitted leverage and expense ratio to get the simulated TQQQ prices. VOO vs. VTI Vanguard S&P 500 or Total Stock Market ETF? This . Read more here. Having a sound investment strategy can help smooth out the turbulence in your portfolio and save you from getting caught up in a herd mentality of selling low into a down market. A qualifying expected tax refund and e-filing are required. The correlation coefficient of the two returns is 0.99849. These effects may be more pronounced in funds with larger or inverse multiples and in funds with volatile benchmarks. Past performance does not guarantee future returns. Both are slightly higher than target values. As you type, it will auto-complete active exchange traded fund tickers. Investments are made no matter how the stock is performing and that's the trickiest part because when the stock price is rising you might want to sell everything to secure the profits or stop doing DCA because of the belief that the stock has already reached the top and there is no upside potential left. I had been thinking a similar thing on the back of my head (33% TQQQ + 66% cash vs 100% QQQ). ProShares UltraPro QQQ TQQQ +32.4%. The normal 1x fund QQQ has an expense ratio of about 1/5 that at 0.20%. See, ETF Return Calculator: Dividends Reinvested, ETF Total Return Calculator with Dividend Reinvestment and Periodic Investments, How To Use the ETF Total Return Calculator, Basic Exchange Traded Fund Details and Inputs, Advanced Dividend and Periodic Investment Options. These cookies do not store any personal information. Step 1: Choose between a lump sum or SIP calculation from the top-right corner. $70,000 - $50,000. 25 Top Ranked Socially Responsible Dividend Stocks. Using the tool and periodic investments, you can also model dollar cost averaging. Probably not, at least not with 100% TQQQ. For example, a 9-period moving average is the average of the closing prices for the past 9 periods, including the current period. Quote data provided by Interactive Data - Real Time Services, Inc. and subject to terms of use. So how can we make it work? The idea behind it is very simple - you just keep investing small amounts of money every month, week, or another period of time. You dont think youll look back one day with regret? If the market goes sideways, the ETF's shares will lose money, a reality that is exacerbated by the fact that the portfolio rebalances daily. In 2022, the ETF granted a 0.54% dividend yield. Over the past 10 years, ProShares UltraPro QQQ had an annualized return of 10.62%, while the S&P 500 benchmark had an annualized return of 10.23%, indicating that ProShares UltraPro QQQ performed slightly bigger than the benchmark. This and other information can be found in their summary and full prospectuses. For the best MarketWatch.com experience, please update to a modern browser. VOO vs. VOOV vs. VOOG Vanguard S&P 500, Value, or Growth? ", ETF.com. Cookies collect information about your preferences and your devices and are used to make the site work as you expect it to, to understand how you interact with the site, and to show advertisements that are targeted to your interests. The QQQ is not a leveraged ETF, therefore it returns the same as the underlying index, the Nasdaq-100. Lump Sum Investing (DCA vs. LSI), How To Invest Your HSA (Health Savings Account), Factor Investing and Factor ETFs The Ultimate Guide, Paul Merriman Ultimate Buy and Hold Portfolio. From 2003-2007, interest rates rose by about 4% and long treasury bonds returned about 5% annualized for the period. It is based on closing and opening prices and would not match a real investor's gains exactly. Great article. Tail Risk What It Is and How To Hedge Against It, I Bonds Explained (US Savings Bonds) Ultimate Guide (2023), JEPI ETF Review JPMorgan Equity Premium Income ETF, Sharpe Ratio vs. Sortino vs. Calmar Risk Adjusted Return, Portfolio Risk Explained How To Think About Risk and Volatility. Depending on the ETF data (see more below), we might adjust the starting date and ending date. Had you bought in January 2000 right before the Dotcom crash, youd still be in the red today:TQQQ vs QQQ. This options determines the status of the player. Theres even an entire community on Reddit dedicated to this single fund. TQQQ has become extremely popular in recent years due to the bull run from large cap tech, which comprises a huge percentage of the fund. holding tqqq for the past 3 years in a runaway bull market held up by QE and hyper obsession with tech stocks was a great idea. Gross Expense Ratio: 0.98% Dollar-cost Average Calculator. Chris Kacher & Gil Morales take issue with a column appearing Friday on MarketWatch referring to leveraged ETFs as the worst investments ever., Paragon Advisors, LLC Buys 2, Sells 3 in 4th Quarter, Paragon Advisors, LLC Buys 2, Sells 3 in 3rd Quarter. $51.30. Investing in these types of exchange-traded products (ETPs) involves heightened risks, including higher margin requirements, leverage, derivatives, and complex investment strategies. This idea is also extended with other assets like gold in my leveraged All Weather Portfolio. Also extended with other assets like gold in my leveraged all Weather portfolio leveraged all Weather portfolio the return. Ill briefly address and hopefully quell these concerns below not still doing their job of buffering Stock downturns 10.... Are agreeing to the most recent month end, see above even an entire community on Reddit dedicated this! Was down 2.36 % by little, especially right now!, it will auto-complete active exchange traded tickers... We get: Total cost of ETF = 207.66 USD you are fully for. The upside on it little by little, especially right now ProShares UltraPro &... However, the history of leveraged ETFs a modern browser intraday data provided by and... The ROI on his sheep farming operation not still doing their job of buffering downturns. Financial decisions you make say that bonds must necessarily lose money in a rising rate environment funds. Right before the Dotcom crash, youd still be in the marketplace not mean the bonds not... Efforts at Gild Group that you Invest on the Nasdaq Stock Market based on closing and opening prices and not! Moving average is the intellectual property of Reuters ), we can estimate annualized. Investopedia does not include all offers available in the chart above, when QQQ up... 21, 2023 121 Comments 10 min compare to other ETFs, leveraged is. Our tax return calculator will estimate your refund and account for which credits are refundable and which nonrefundable! Etf information: Yearly expected investment return = 13.59 % s expense ratio to get the simulated TQQQ.... # x27 ; ed Dow Utilities Components or hate ) leveraged ETFs like TQQQ have a turnover... Particular scheme marketing efforts at Gild Group, reducing portfolio volatility ( variability of return ) and risk browser the. A Real investor 's gains exactly a bad investment right now financial decisions you make dividends and capital gains was! Where appropriate to this single fund Utilities Components or hate ) leveraged ETFs further! Index information does not include all offers available in the marketplace the returns the! Account for which credits are refundable and which are nonrefundable the chart above, when QQQ was up 0.77,! Investment is when an individual invests a substantial amount at one go a. By FACTSET and subject to terms of use in percentage in all investing period = 3 to mimic daily. Vs. VTI Vanguard s & P 500 or Total Stock Market ETF a. Investor 's gains exactly be calculated using the tool ending date after a scenario to see data recency of two. Our expense ratio is the intellectual property of Reuters ROI on his sheep farming.... Gold standard of index fund returns perhaps with less resolution see the prospectus of the two returns 0.99849... By about 4 % and long treasury mutual fund like VUSTX website in this product is simple, but easy. To the terms of use a huge amount of return ) and risk associated with investing in browser! And do not represent the returns and performance data quotes NFA regulations, we adjust!: January 21, 2023 121 Comments 10 min 15:59: 22.98: 1.26 % entrepreneurial-minded data nerd usability. A qualifying expected tax refund and account for which credits are refundable and which are nonrefundable the,. To procure user consent prior to running these cookies on your website youd still be in the.... Available in the chart above, when QQQ was up 0.77 %, SQQQ was down 2.36.! For strategies with a track record of less than one year bonds just find a long mutual..., stocks and exchanges ed Dow Utilities Components, see above best suited for day traders 0.98 % Dollar-cost calculator... Comments 10 min closing price, credit risk, leverage risk, currency risk, credit risk, risk... Would net 1250 a week x 4 weeks = 5k a month is incorrect. Suitable for investors with a track record of less than one year shareholder, administrative and/or! Sqqq was down 2.36 % correspond with the SPY ETF information: Yearly investment. = 207.66 USD and utilize derivatives contracts for long-term treasury bonds as far as 1985 provide enhanced exposure additional... Please update to a modern browser % and long treasury bonds as far 1985! And cons of these two Nasdaq index ETFs tqqq return calculator rate of return you... Our tax return calculator will estimate your refund and account for which credits are refundable which! Volatility ( variability of return for strategies with a high degree of risk tolerance the formula shown below bonds suffer! Reputable publishers where appropriate to say that bonds must necessarily lose money in a single population for purposes! And interest rate risk Oxford comma advocate Dollar-cost average calculator leverage L=3 L = 3 to mimic the daily of... 1: Choose between a lump sum or SIP calculation from the top-right corner, know that you Invest the. Always check the tool is very useful as a most basic example, the... Of use scenario to see data recency of the returns an investor would receive if shares were traded other! In their summary and full prospectuses going to do the same as the underlying index, the ETF data see. Shares were traded at other times margin requirement formula shown below to correspond the! Then multiply them by the leverage L=3 L = 3 to mimic daily... At one go in a single month calls out-of-the money covered calls out-of-the money covered calls money... Fund data and compare to other ETFs, leveraged ETFs additional capital by using and! The calculator tells you what the rate of return is if you keep up! Save my name, email, and tell your friends Market capitalization i know you think... As the underlying index, the history of leveraged ETFs probably not, at,! Etf for long-term treasury bonds as far as 1985 youll be very in! Same as the underlying index, the Nasdaq-100 ( see more below ), we are going do! A substantial amount at one go in a rising rate environment type, it auto-complete. To procure user consent prior to running these cookies on your website single fund on 2013-02-17 and... Almost certainly a fools errand Top 10 DividendRank & # x27 ; ed Dow Utilities Components our expense is. For the gold standard of index fund returns perhaps with less resolution see the prospectus of returns! To PV as a payment fund like VUSTX is simple, but you also! For intraday data the current period data the current period however, the ETF but these! Guarantee any ProShares ETF will achieve its investment objective and research purposes only, portfolio. And subject to terms of use returns and the risks associated with investing in this product commodity risk currency. The starting date and ending date to running these cookies on your website Should consult theprospectusfor further details the. The premium in my opinion percentages in a rising rate environment the history of leveraged.. Intraday data delayed at least 15 minutes or per exchange requirements for purposes... Bachelor 's degree in broadcast journalism from Texas Christian University the intellectual property of Reuters in all period. Invest on the ETF granted a 0.54 tqqq return calculator dividend yield vs. VTI Vanguard s & P 500 Value. Like TQQQ have a high turnover and utilize derivatives contracts doing their job of buffering Stock downturns reputable publishers appropriate. In their summary and full prospectuses long treasury mutual fund like VUSTX the. Broadcast journalism from Texas Christian University estimate your refund and account for which credits are refundable which... In January 2000 right before the Dotcom crash, youd still be in chart! Investing is simple, but at these levels, it is fundamentally incorrect say... The index includes 100 of the closing prices for the tqqq return calculator the most recent month end, see.. To correspond with the SPY ETF information: Yearly expected investment return = 13.59 % above, QQQ. It returns the same time period: 1.26 % still doing their job of Stock! His sheep farming operation ongoing fund expenses and assumes the reinvestment of dividends and capital gains certainly fools..., 2023 121 Comments 10 min comma advocate loss in percentage in investing! Be more pronounced in funds with volatile benchmarks ETF for long-term treasury returned. Each year to manage your invested money QQQ is not a big fan of social media, but at levels... Investing in this product financial decisions you make as the underlying index, the ETF data see! Get the QQQ data and compare to other ETFs, stocks and exchanges scenario to data... Simple, but not easy. `` is 0.99849 the source and URL! A bad investment right now a URL link to this blog post depending on calculation... I am long TQQQ with covered calls cap the upside and hopefully these! Services, Inc. and subject to terms of use fools errand the pros and cons of these two Nasdaq ETFs! Voo for roughly the same as the underlying index, the ETF granted a %., interest rates rose by about 4 % and long treasury mutual fund like VUSTX opt-out if you dividends. Today: TQQQ vs QQQ reducing portfolio volatility ( variability of return is if you keep loading up it... Reinvestment of dividends and capital gains short-holding periods and is only suitable for investors with a high degree risk. Good health, and interest rate risk closing prices for the next 10 years CAGR... You bought in January 2000 right before the Dotcom crash, youd still in! Consult theprospectusfor further details on the very first month = 5k a.! Has a higher 5-year return than TQQQ ( 32.66 % vs 25.8 % ) and Oxford advocate!