#NasdaqETFUpdate

📈 Nasdaq ETF Update

1. Tech-Led Rally Boosts QQQ/QQQM Performance

The tech-dominant Nasdaq Composite has rallied back above key thresholds. ETFs like Invesco QQQ and QQQM—which track the Nasdaq‑100—have benefited significantly. As of late May, QQQ has outperformed the S&P 500 in 7 of the past 10 years (nasdaq.com, invesco.com). With Nasdaq reopening strong in early June, both QQQ and its lower-cost twin QQQM saw strong investor interest .

2. Easing Trade Tensions Fueling Confidence

A reduction in U.S. tariffs on Chinese goods—from 145% to 30% temporarily—and China’s reciprocal action have helped alleviate trade worries. This has improved the tone for tech names, which dominate Nasdaq ETFs (nasdaq.com).

3. Active ETFs on the Rise

Beyond passive funds, there's growing momentum behind actively managed ETFs, with 39% of 2025’s ETF flows and 94% of new launches falling into this category (nasdaq.com). Investors are seeking active management to capitalize on opportunities like AI-driven tech gains.

4. Single-Stock & Leveraged ETF Surge

Specialized and leveraged ETFs tied to individual tech names—like MU, MRVL, HOOD, MARA, META—have delivered double-digit gains in early June (nasdaq.com). While these offer high upside, they also carry higher volatility and risk.

5. AI & Semiconductor Strength

Chipmakers—Nvidia, AMD, Qualcomm—have performed strongly as expectations grow of semiconductor export relaxations in US-China talks (wsj.com). This benefits Nasdaq ETFs, where semis are core holdings.

What This Means for Investors

Core Strategy: Funds like QQQ/QQQM remain solid foundations for tech/AI exposure.

Active Alternatives: Consider actively managed tech or AI-themed ETFs if you prefer strategic selection.

High-Risk Plays: Single-stock or leveraged ETFs may outperform but suit only aggressive investors.

Factor Monitoring: Stay alert to trade talk progress, Fed policy, and semiconductor regulations.