QQQ vs SMID: Correlation
How closely do Invesco QQQ Trust (QQQ) and Smith-Midland Corporation (SMID) trade together? Their weekly returns over three years give a correlation of 0.31, which is moderate.
Data as of 2026-08-27 · refreshed every trading day · weekly returns · methodology
How correlated are QQQ and SMID?
On 3 years of weekly data the QQQ/SMID correlation comes out at 0.31, moderate. Lately the two have drifted apart, with the 1-year correlation at 0.18 versus 0.31 over 3 years. The 5-year figure is 0.24, and annualized covariance runs at 370.5 %².
Within QQQ's tracked universe of 4755 assets, SMID comes in at #1437 by 3-year correlation. Correlation aside, the last 12 months split them widely, with QQQ ahead by 65.6 points (+26.3% versus -39.3%). One caveat on sizing: SMID is 3.1 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.
QQQ vs SMID: side by side
| QQQ (Invesco QQQ Trust) | SMID (Smith-Midland Corporation) | |
|---|---|---|
| 1-year return | +26.3% | -39.3% |
| 5-year return | +95.4% | +32.1% |
| Volatility (ann.) | 19.6% | 60.2% |
| Beta vs S&P 500 | 1.28 | 1.58 |
| Max drawdown (3Y) | -22.8% | -50.2% |
| Market cap | – | $0.1B |
| P/E (trailing) | – | 17.4 |
| Dividend yield | 0.44% | 0.00% |
| Expense ratio | 0.18% | – |
| Assets under management | $452.8B | – |
| Sector / category | ETF · US Growth & Tech | US Listed |
QQQ, Invesco's Large Growth fund, carries $452.8B under management, 104 holdings, a 0.18% expense ratio, a 0.44% trailing dividend yield.
Year-by-year returns
| Year | QQQ | SMID |
|---|---|---|
| 2022 | -32.6% | -56.4% |
| 2023 | +54.9% | +92.7% |
| 2024 | +25.6% | +12.6% |
| 2025 | +20.8% | -18.3% |
| 2026 | +17.7% | -31.5% |
Calendar-year price returns; the current year is year-to-date as of the data date above.
Are QQQ and SMID good diversifiers for each other?
A fair diversifier. At 0.31, enough of each asset's movement is its own that the pair has smoothed outcomes historically.
FAQ
What is the correlation between QQQ and SMID?
Using weekly returns as of 2026-08-27: 0.31 over 3 years, with 0.18 over the last year and 0.24 over 5 years.
Is SMID a good diversifier for QQQ?
A fair diversifier. At 0.31, enough of each asset's movement is its own that the pair has smoothed outcomes historically.
What does a correlation of 0.31 mean?
A reading of 0.31 sits on a scale from −1 (opposite moves) through 0 (unrelated) to +1 (identical moves). Correlation captures direction, not magnitude or performance.
Use this data
$ curl https://www.pairbook.io/api/v1/pairs/qqq-vs-smid.json
Drop this badge in a README or notebook; it updates with the data:
[](https://www.pairbook.io/pair/qqq-vs-smid/)
Free with attribution; caching and terms are described in the API documentation.
Related comparisons
Hubs: QQQ correlations · SMID correlations
