Qqqm is good to invest?
1/1/2024 10:14am
The Invesco NASDAQ 100 ETF (QQQM) is designed for investors seeking exposure to US large-cap growth stocks in the Nasdaq-100 Index (NDX). It holds a Zacks ETF Rank of 2 (Buy), indicating expected asset class return, expense ratio, and momentum. QQQM has amassed assets over $14.45 billion, making it one of the largest ETFs in the Large Cap Growth segment of the US equity market.
However, it's important to note that QQQM is unlikely to outperform the S&P 500 (much less the total market) in the long run. Moreover, there has been some negative sentiment towards QQQM recently. Despite this, buy-and-hold investors might find QQQM relevant and beneficial due to its exposure to US large-cap growth stocks.
As for the top holdings, QQQM has the heaviest allocation to the Information Technology sector, followed by Telecom and Consumer Discretionary. Apple Inc (AAPL) accounts for about 11.16% of total assets, followed by Microsoft Corp (MSFT) and Amazon.com Inc (AMZN). The top 10 holdings account for about 48.39% of total assets under management.
In summary, QQQM is a viable option for investors seeking exposure to US large-cap growth stocks. However, it's important to consider the potential risks and limitations associated with the fund.