NASDAQ funds, in short, are investment tools designed to track the performance of NASDAQ stock market indices.

The NASDAQ stock exchange is a famous American stock market, known for listing many major technology companies (such as Apple, Amazon, Microsoft, Google).

The two most famous NASDAQ indices are:

* NASDAQ 100: tracks the performance of the largest 100 non-financial companies listed on the NASDAQ stock exchange.

* NASDAQ Composite: includes all stocks listed on the NASDAQ (more than 2500 companies).

NASDAQ funds often come in two main forms:

* Index Funds: these are investment funds designed to track the performance of a specific index (such as the NASDAQ 100). You buy shares in the fund, which in turn invests in the stocks that make up the index in approximately the same proportions. They are priced once at the end of the day.

* ETFs: these are similar to index funds in that they track the performance of a specific index, but they are traded on exchanges like individual stocks throughout the day. This means their price fluctuates continuously and they can be bought and sold at any time during trading hours.

In summary:

Instead of buying shares of each company individually on NASDAQ, you can invest in a "NASDAQ fund" to gain diversified exposure to the performance of these companies in one go, reducing the risks associated with investing in a single stock.