#NasdaqETFUpdate

## Nasdaq ETFs: Innovation and Growth Reshape Investment Landscape in 2025

The Nasdaq-100 index (NDX), comprising the 100 largest non-financial Nasdaq-listed companies, remains a powerhouse for global equity investors, with exchange-traded funds (ETFs) offering efficient exposure to its tech-heavy performance. Recent developments highlight structural evolution and robust returns:

### Key ETF Updates

1. **Core Products Dominate**:

- **Invesco QQQ (QQQ)**: The flagship ETF holds $340 billion in assets, averaging 52 million daily shares. Its 0.20% expense ratio supports unmatched liquidity for large-scale trading .

- **Invesco QQQM**: A cost-efficient alternative (0.15% fee) launched in 2020, ideal for long-term holders prioritizing lower expenses over intraday liquidity .

2. **Sector-Specific Innovation**:

The Nasdaq-100 Technology Sector Index (NDXT) underpins niche ETFs like **First Trust Nasdaq-100 Technology ETF (QTEC)**, providing equal-weighted exposure to tech subcomponents—useful for diversification against mega-caps .

3. **Global Expansion**:

European investors access the NDX via **iShares NASDAQ-100 UCITS ETF (EXXT)**, boasting €4.9 billion in assets and a 0.30% fee. It returned 25.2% in 2024 .

### Performance Highlights

The Nasdaq-100 surged 24.88% in 2024, closing at 21,012.17 . This follows a 53.81% rebound in 2023, underscoring resilience amid volatility. QQQ’s 5-year annualized return of 17.8% further validates its growth pedigree .

*Table: Leading Nasdaq-100 ETFs Comparison (June 2025)*

| **ETF** | **Assets** | **Expense Ratio** | **YTD Return** | **Key Advantage** |

|---------|------------|-------------------|----------------|-------------------|

| QQQ | $340B | 0.20% | 4.0% | Liquidity leader |

| QQQM | $49.7B | 0.15% | 4.0% | Lower cost holder |

| EXXT | €4.9B | 0.30% | 1.79%* | UCITS access |

**Source**: | *Benchmark return