DGRO vs QQQ: Correlation & Overlap
How closely do iShares Core Dividend Growth ETF (DGRO) and Invesco QQQ Trust (QQQ) trade together? Their weekly returns over three years give a correlation of 0.64, which is strong. The two funds also share 20.4% of their portfolios by weight.
Data as of 2026-08-27 · refreshed every trading day · weekly returns · methodology
How correlated are DGRO and QQQ?
Over the past 3 years, DGRO and QQQ moved with a correlation of 0.64, which is strong. The past 12 months show a weaker link (0.37) than the 3-year average (0.64). Over 5 years the correlation is 0.73, and the annualized covariance of weekly returns is 143.8 %².
Among the 138 assets we track against DGRO, QQQ ranks #54 by 3-year correlation. The trailing year gives QQQ the advantage: +21.0% versus +26.3%, a 5.3-point spread. The relationship is regime-dependent: the rolling one-year correlation swung between 0.35 and 0.85 over the past three years, so this pair behaves very differently depending on the market environment. One caveat on sizing: QQQ is 1.7 times as volatile as the other leg, so an equal-dollar split is far from equal-risk.
How is this computed?
Pearson correlation on weekly returns: ρ(A,B) = cov(rA, rB) / (σA · σB), over windows of 52, 156 and 260 weeks. Covariance is annualized (×52) and expressed in %². Full definitions on the methodology page.
DGRO vs QQQ: side by side
| DGRO (iShares Core Dividend Growth ETF) | QQQ (Invesco QQQ Trust) | |
|---|---|---|
| 1-year return | +21.0% | +26.3% |
| 5-year return | +67.9% | +95.4% |
| Volatility (ann.) | 11.4% | 19.6% |
| Beta vs S&P 500 | 0.65 | 1.28 |
| Max drawdown (3Y) | -14.0% | -22.8% |
| Dividend yield | 1.89% | 0.44% |
| Expense ratio | 0.08% | 0.18% |
| Assets under management | $42.8B | $452.8B |
| Sector / category | ETF · Dividend | ETF · US Growth & Tech |
On the fund side, DGRO sits in the Large Value category at iShares, with $42.8B under management, 383 holdings, a 0.08% expense ratio, a 1.89% trailing dividend yield. QQQ is a Large Growth fund from Invesco: $452.8B under management, 104 holdings, a 0.18% expense ratio, a 0.44% trailing dividend yield.
Portfolio overlap between DGRO and QQQ
The two portfolios partially overlap: 20.4% of the funds' weight sits in the same underlying holdings (34 common positions). Correlation tells you they move together; overlap tells you why.
| Common holding | Weight in DGRO | Weight in QQQ |
|---|---|---|
| MSFT | 3.39% | 5.93% |
| AAPL | 2.85% | 7.39% |
| AVGO | 2.28% | 2.71% |
| CSCO | 1.27% | 1.96% |
| AMGN | 1.45% | 1.06% |
| PEP | 1.66% | 0.86% |
| GILD | 0.99% | 0.82% |
| WMT | 0.80% | 2.26% |
| LIN | 0.61% | 1.01% |
| QCOM | 0.59% | 0.77% |
| COST | 0.54% | 1.88% |
| ADP | 0.71% | 0.50% |
| ADI | 0.42% | 0.80% |
| MDLZ | 0.56% | 0.36% |
| AMAT | 0.35% | 1.69% |
Largest positions held only by DGRO: JNJ (3.16%), JPM (3.14%), ABBV (3.03%), XOM (2.86%), MRK (2.20%). Only by QQQ: NVDA (8.15%), MU (4.69%), AMZN (4.50%), AMD (3.48%), GOOGL (3.20%).
Overlap = sum of the smaller of the two weights across common holdings, from issuer disclosures as of 2026-08-26. Top 15 common positions shown.
Year-by-year returns
| Year | DGRO | QQQ |
|---|---|---|
| 2022 | -7.9% | -32.6% |
| 2023 | +10.5% | +54.9% |
| 2024 | +16.6% | +25.6% |
| 2025 | +15.7% | +20.8% |
| 2026 | +15.2% | +17.7% |
Calendar-year price returns; the current year is year-to-date as of the data date above.
Are DGRO and QQQ good diversifiers for each other?
Only partially. A correlation of 0.64 means DGRO and QQQ share most of their swings. Pairing them dampens volatility somewhat, but it will not protect against a common drawdown.
FAQ
What is the correlation between DGRO and QQQ?
Using weekly returns as of 2026-08-27: 0.64 over 3 years, with 0.37 over the last year and 0.73 over 5 years.
Is QQQ a good diversifier for DGRO?
Only partially. A correlation of 0.64 means DGRO and QQQ share most of their swings. Pairing them dampens volatility somewhat, but it will not protect against a common drawdown.
How much do DGRO and QQQ overlap?
The two funds share 34 holdings amounting to 20.4% of weight, per issuer portfolio files dated 2026-08-26.
Use this data
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Related comparisons
Hubs: DGRO correlations · QQQ correlations
