#NasdaqETFUpdate

ETFs or "exchange-traded funds" are exactly as the name implies: funds that trade on exchanges, generally tracking a specific index.

Most ETFs are passively managed, which means they track indices—as opposed to paying an expert (also known as a portfolio manager) to pick the stocks. As a result, they have a lower expense ratio than actively managed mutual funds—meaning you pay less money to the managers of the fund itself.

Top Nasdaq 100 ETFs

The Nasdaq 100 index

The Nasdaq 100 index tracks the 100 largest stocks listed on the Nasdaq stock exchange. The selected companies are mainly from sectors such as hardware and software, telecommunications, retail and biotechnology – including all the major US technology companies. In contrast, companies from the energy, finance and real estate sectors are not included in the Nasdaq 100 at all.

In the USA, the popular QQQ ETF, which tracks the Nasdaq 100, has been available since 1999. It is managed by Invesco. The European counterpart of this ETF uses the ticker symbol eQQQ. In contrast to the US market, however, there are several ETF providers in Europe that track the Nasdaq 100 – so it is worth comparing.

ETF investors can benefit from price gains and dividends of the Nasdaq 100 constituents. Currently, the Nasdaq 100 index is tracked by 15 ETFs.

Cost of Nasdaq 100 ETFs

The total expense ratio (TER) of Nasdaq 100 ETFs is between 0.13% p.a. and 0.30% p.a.. In comparison, most actively managed funds do cost much more fees per year.

The most important factors at a glance

Besides return, there are further important factors to consider when selecting a Nasdaq 100 ETF. In order to provide a sound decision basis, you find a list of all Nasdaq 100 ETFs with details on size, cost, age, use of profits, fund domicile and replication method ranked by fund size.