EEM vs QQQM: Correlation & Overlap
Measured on weekly returns over the past three years, iShares MSCI Emerging Markets ETF (EEM) and Invesco Nasdaq 100 ETF (QQQM) carry a correlation of 0.70, a strong link. By holdings, the two funds overlap 0.3% by weight.
Data as of 2026-08-27 · refreshed every trading day · weekly returns · methodology
How correlated are EEM and QQQM?
Across a 3-year window, the weekly returns of EEM and QQQM correlate at 0.70, strong. Little has changed lately, as the 1-year reading of 0.75 lands near the 3-year figure. Stretching to 5 years gives 0.65, with an annualized covariance of 246.3 %².
By 3-year correlation, QQQM places #18 of the 67 assets tracked against EEM. The trailing year gives EEM the advantage: +38.1% versus +26.4%, a 11.7-point spread. The rolling one-year correlation moved between 0.51 and 0.79 over the past three years, a moderate range.
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.
EEM vs QQQM: side by side
| EEM (iShares MSCI Emerging Markets ETF) | QQQM (Invesco Nasdaq 100 ETF) | |
|---|---|---|
| 1-year return | +38.1% | +26.4% |
| 5-year return | +47.1% | +96.1% |
| Volatility (ann.) | 18.0% | 19.5% |
| Beta vs S&P 500 | 0.85 | 1.28 |
| Max drawdown (3Y) | -17.3% | -22.7% |
| Dividend yield | 1.73% | 0.46% |
| Expense ratio | 0.72% | 0.15% |
| Assets under management | $29.2B | $97.1B |
| Sector / category | ETF · International | ETF · US Growth & Tech |
EEM, iShares's Diversified Emerging Mkts fund, carries $29.2B under management, 968 holdings, a 0.72% expense ratio, a 1.73% trailing dividend yield. QQQM is a Large Growth fund from Invesco: $97.1B under management, 105 holdings, a 0.15% expense ratio, a 0.46% trailing dividend yield.
Portfolio overlap between EEM and QQQM
The two portfolios are largely distinct. Weighing the shared positions, 0.3% of the two funds is identical, spread across 1 common holdings. That shared book is a large part of why the returns line up.
| Common holding | Weight in EEM | Weight in QQQM |
|---|---|---|
| PDD | 0.40% | 0.26% |
Largest positions held only by EEM: 2330 (15.14%), 005930 (7.15%), 000660 (5.45%), 700 (2.83%), 9988 (2.02%). Only by QQQM: NVDA (8.15%), AAPL (7.39%), MSFT (5.93%), MU (4.69%), AMZN (4.50%).
Overlap = sum of the smaller of the two weights across common holdings, from issuer disclosures as of 2026-08-26. Top 1 common positions shown.
Year-by-year returns
| Year | EEM | QQQM |
|---|---|---|
| 2022 | -20.6% | -32.5% |
| 2023 | +8.9% | +55.0% |
| 2024 | +6.5% | +25.7% |
| 2025 | +34.0% | +20.9% |
| 2026 | +24.2% | +17.7% |
Calendar-year price returns; the current year is year-to-date as of the data date above.
Are EEM and QQQM good diversifiers for each other?
Only partially. A correlation of 0.70 means EEM and QQQM 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 EEM and QQQM?
The EEM/QQQM correlation stands at 0.70 on a 3-year window (1 year: 0.75, 5 years: 0.65), computed from weekly returns as of 2026-08-27.
Is QQQM a good diversifier for EEM?
Only partially. A correlation of 0.70 means EEM and QQQM share most of their swings. Pairing them dampens volatility somewhat, but it will not protect against a common drawdown.
How much do EEM and QQQM overlap?
The two funds share 1 holdings amounting to 0.3% of weight, per issuer portfolio files dated 2026-08-26.
Use this data
$ curl https://www.pairbook.io/api/v1/pairs/eem-vs-qqqm.json
Markdown for the live badge, attribution link included:
[](https://www.pairbook.io/pair/eem-vs-qqqm/)
Free with attribution; caching and terms are described in the API documentation.
Related comparisons
Hubs: EEM correlations · QQQM correlations
