VOO vs QQQ: Which Index Fund Wins Over the Long Term?
10-Year ETF Reality Check Series_part 1
This post is part of a 4-part series analyzing long-term ETF strategies, risks, and smarter investment paths.
The Same $10,000 — Two Very Different Outcomes
What would have happened if you had invested $10,000 in VOO or QQQ on January 1, 2015?
We ran the numbers. The results are surprising — and a bit emotional.
What the Last 10 Years Really Show
Between 2015 and 2024:
- VOO grew to $33,714, with a 14.46% annual return.
- QQQ grew to $48,963, with a 19.30% annual return.
QQQ clearly outperformed. But it came with more bumps along the way:
- VOO’s worst year: –18.19%
- QQQ’s worst year: –32.58%
- Higher volatility = more emotional stress
Higher Returns = Higher Stress
The numbers tell a story, but not the whole story.
What’s often missed is how much emotional strength it takes to hold onto a portfolio when it drops by 30% or more.
It’s easy to say “I’ll stay invested” — until the market falls fast and deep.
That’s why your choice between VOO and QQQ should be based on more than just performance.
What Kind of Investor Are You?
Before choosing between the two, ask yourself:
- Do you check your portfolio every week?
- Would a 30% drop cause panic — or planning?
- Are you investing with a safety net, or is this everything you’ve got?
Olivia’s Notes for Long-Term Investors
- Keep at least 6–12 months of living expenses in cash. Always.
- If you’re anxious, start with small, regular investments.
- When markets rise, rebalance or secure profits to safer assets.
- If you haven’t reached your target, don’t rush. Cash can be a strategy, too.
What to Do During Market Drops
- Stay calm. Avoid headlines. Breathe.
- Look at volatility, PE ratios, interest rates — not just price charts.
- Don’t try to time the bottom. Split your cash into 3–5 parts and invest gradually.
- Make sure you have enough cash to wait 6–12 months.
The Case for QQQ — But With Caution
Yes, QQQ delivered higher returns.
But back in 2015, we couldn’t have predicted that. VOO looked safer, broader, and more stable.
Even though QQQ outperformed VOO over the past decade, that doesn't mean it was the obvious choice back then.
Investing isn’t about choosing winners in hindsight. It’s about building habits, preparing for uncertainty, and holding your ground when things get shaky.
So, Which One Should You Pick?
There is no perfect choice.
- If you want growth and can handle swings: lean into QQQ.
- If you prefer stability and broad exposure: VOO is your friend.
But in either case, your real strength will come from how you react — not just what you choose.
Recently, QQQ has outperformed VOO. But in 2015, nobody knew for sure which would win. That’s why time-tested patience is more important than perfect prediction.
I hope this note brings a little more clarity, calm, and richness to your life.
Read the Full Series:
- Part 1 – VOO vs QQQ: Which Index Fund Wins Over the Long Term?
- Part 2 – Are Leveraged ETFs Really Worth It?
- Part 3 – Debt vs. Leveraged ETF: What’s the Smarter 2x Strategy?
- Part 4 – Why Buy Individual Stocks When ETFs Are Already Diversified?
Let’s meet on X
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(Follow Olivia for more slow thoughts and steady growth)
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