Is QQQ the best Nasdaq ETF? (2024)

Is QQQ the best Nasdaq ETF?

QQQ is also one of the best-performing ETFs of the past decade. From March 10, 1999, to June 30, 2023, the Nasdaq-100 Index, synonymous with growth and innovation, returned over 780%, according to Invesco

.

Is there a better ETF than QQQ?

For investors seeking an alternative to QQQ's mega-cap exposure, the Invesco S&P 500 Top 50 ETF (XLG) is an excellent option. XLG tracks the S&P 500 Top 50 Index, which, like QQQ, is heavily weighted towards top-tier tech and consumer stocks.

Which ETF is best for Nasdaq?

Is QQQ good for long-term?

In addition to providing exposure to this large collection of world-class companies, QQQ has put together an impressive and reliable track record of long-term performance. As of the end of 2023, QQQ has generated a respectable annualized total three-year return of 10.0%.

Does QQQ outperform the S&P 500?

NASDAQ: QQQ

Compared to its peer group, the QQQ has a relatively low expense ratio of 0.2%, along with a fairly average yield of 0.62%. It also has a long history of outperforming several benchmarks. Over the prior 10 years, for instance, the QQQ has outperformed the S&P 500 by a staggering 186.2%.

What is the downside to investing in QQQ?

The QQQ ETF offers buy-and-hold investors low expenses and long-term growth potential with enough diversification to avoid the risks of betting on one company. On the downside, long-term investors in QQQ must deal with sector risk, possible overvaluation, and the absence of small caps.

Should I buy QQQ or VGT?

VGT - Performance Comparison. The year-to-date returns for both investments are quite close, with QQQ having a 5.14% return and VGT slightly higher at 5.17%. Over the past 10 years, QQQ has underperformed VGT with an annualized return of 17.97%, while VGT has yielded a comparatively higher 20.08% annualized return.

Is there an ETF for the entire Nasdaq?

Launched in March 1999, the Invesco QQQ ETF (QQQ) was the first ETF to begin tracking the NDX. As of September 20, 2022, QQQ had $159.39 billion in assets under management (AUM). Launched in October 2020, the Invesco QQQ ETF (QQQM), known as the Q mini, also tracks the Nasdaq-100.

What is the difference between QQQ and Nasdaq ETF?

QQQ - Performance Comparison. In the year-to-date period, NDAQ achieves a -2.12% return, which is significantly lower than QQQ's 5.49% return. Both investments have delivered pretty close results over the past 10 years, with NDAQ having a 18.33% annualized return and QQQ not far ahead at 18.41%.

Is VOO and QQQ the same?

VOO provides diversified exposure to a wide range of sectors and large-cap companies, making it suitable for conservative investors seeking stability. In contrast, QQQ concentrates on the technology sector and innovation, potentially offering higher growth potential but with added risk.

Why investors should skip Invesco QQQ?

The problems with Invesco QQQ Trust

The number one biggest problem with Invesco QQQ Trust is that a small number of stocks make up a large percentage of the fund. That's not the fund's fault, it is simply tracking the index. But you can't ignore this lack of diversification.

Why is QQQ so good?

The Invesco QQQ Trust is a great ETF. It provides investors with exposure to the top 100 non-financial stocks trading on the Nasdaq at a reasonable cost.

Should I have QQQ in my portfolio?

Key Points. The Nasdaq-100 index has averaged higher annual returns over the past decade than the S&P 500. The top five holdings of the Invesco QQQ ETF account for 35% of its holdings. This ETF should be part of a well-rounded portfolio.

Should you buy both VOO and QQQ?

VOO will offer consistent returns with diversification and lower costs. QQQ will offer you the opportunity to bring in higher returns, but these come with more risks and a higher cost. If you're looking for the best return possible on your money, then you're going to want to go with QQQ.

Is QQQ still a good buy?

Even with SPY and QQQ trading at premium valuations, their profitability levels remain significantly above our required return thresholds. So we believe they are still great assets to allocate to in 2024 for long-term investors.

What's the best ETF to buy right now?

Is QQQ the best index fund?

Invesco QQQ Trust ETF (QQQ)

This ETF started trading in 1999, and it's managed by Invesco, a fund giant. This fund is the top-performing large-cap growth fund in terms of total return over the 15 years to December 2023, according to Lipper. Expense ratio: 0.20 percent.

Is QQQ a buy in 2024?

The good news is that some of the stocks market observers are most bullish on for 2024 are found in several familiar, cost-effective ETFs. Those include the Invesco QQQ Trust (QQQ) and Invesco NASDAQ 100 ETF (QQQM). The two Nasdaq-100 Index (NDX)-tracking ETFs have delivered stellar showings this year.

Is QQQ good for a Roth IRA?

Invesco Nasdaq 100 ETF (QQQM)

"Historically, these investments have potential for higher growth over time that you will generally pay no taxes on when held in a Roth IRA." A great example is QQQM, which tracks the Nasdaq-100 Index.

What is Vanguard's best performing ETF?

The largest Vanguard ETF is the Vanguard 500 Index Fund VOO with $404.97B in assets. In the last trailing year, the best-performing Vanguard ETF was MGK at 42.45%. The most recent ETF launched in the Vanguard space was the Vanguard Intermediate-Term Tax-Exempt Bond ETF VTEI on 01/30/24.

What is Vanguard's version of QQQ?

What performs better than QQQ?

QQQ - Performance Comparison. In the year-to-date period, VGT achieves a 7.74% return, which is significantly higher than QQQ's 6.72% return. Over the past 10 years, VGT has outperformed QQQ with an annualized return of 20.61%, while QQQ has yielded a comparatively lower 18.35% annualized return.

What is the best way to invest in the Nasdaq?

A popular and effective way to invest in the Nasdaq is via either an exchange-traded fund (ETF) or an index tracker fund. These are 'passive' investments which rely on computer algorithms to replicate a particular index.

Does QQQ track Nasdaq?

Yes. Invesco QQQ is a passively managed ETF that tracks the Nasdaq-100 index, which contains some of the world's most innovative companies. For more information on the companies that make up the Nasdaq-100 Index, click here.

Which Nasdaq-100 ETF is the biggest?

The largest Nasdaq 100 Index ETFs are the Invesco QQQ Trust ETF (QQQ) and the Invesco NASDAQ 100 ETF (QQQM).