Invesco QQQ Information Ratio
| QQQ ETF | | | USD 694.94 -0.83 -0.12% |
The Information Ratio measures excess return (alpha) per unit of tracking error relative to a benchmark. Unlike the Sharpe Ratio, which uses total volatility, the Information Ratio isolates only the variability of the alpha component — the return attributable to active decisions rather than passive market exposure. Below is Invesco QQQ's current Information Ratio with peer comparisons and related risk metrics.
Current Information Ratio Value
With Information Ratio at 0.1923, Invesco QQQ shows positive but modest excess return per unit of tracking risk. Invesco QQQ has outperformed its benchmark, though the margin is limited relative to the tracking error incurred.
INFOR | = | ER[a] - ER[b]STD[a] |
| = | 0.1923 | |
Information Ratio Peers Comparison
Among sector peers, Invesco QQQ's Information Ratio of 0.1923 is above the 0.03 group average. The range runs from -0.1284 (Vanguard Total Bond) to 0.1391 (Vanguard Growth Index). Invesco QQQ's risk-adjusted return exceeds the peer average, indicating more efficient compensation for risk taken.
Information Ratio Relative To Other Indicators
The chart below plots Information Ratio against Maximum Drawdown for Invesco QQQ and its peers. Each point represents one equity — position along the horizontal axis shows Information Ratio while the vertical axis shows Maximum Drawdown. Equities that cluster in different quadrants carry distinct risk-return profiles. Use the dropdowns to swap in other indicators for either axis.
Invesco QQQ's Information Ratio reads
0.19 while Maximum Drawdown reads
4.50 , a
23.40 ratio between the two. This indicates Maximum Drawdown substantially exceeds Information Ratio for Invesco QQQ.
Methodology, Assumptions & Data Sources
Invesco QQQ has a current Information Ratio reading of 0.1923. This Information Ratio reading for Invesco QQQ results from applying the indicator's calculation rules to price and volume data over the selected window. Inputs are drawn from end-of-day closing prices reported by supported exchanges, adjusted for splits and dividends where applicable. The calculation assumes continuous price data across the selected period. All readings are presented as reference data.
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