Invesco QQQ ETF is one of my favorite ETFs (Exchange-Traded-Funds) for medium to long-term investment because it tracks the Nasdaq 100 index and pays dividends consistently.
As of this writing, Invesco QQQ ETF has a 1-year total return of 36.12%, which is decently an excellent profit for holding a basket of large-cap companies.
On this page, we share the top components of Invesco QQQ ETF. If you’re planning to invest soon or if you’re already holding shares of QQQ ETF, then bookmark this page as we update the list of QQQ ETF holdings regularly.
What is QQQ ETF?
Invesco QQQ ETF is an Exchange-Traded-Fund that tracks the performance of the Nasdaq 100 index, which consists of the largest non-financial companies listed on the Nasdaq stock market in terms of market capitalization.
Why Should You Invest in QQQ ETF?
Investors can afford to buy shares of QQQ ETF more than buying a whole share of the Nasdaq 100 index. The price of QQQ is lower. Some brokers also offer fractional shares of ETF like QQQ.
2. Expert Management
QQQ ETF is managed by Invesco, a world-renown investment management firm with over $1.5 trillion AUM (Assets Under Management). Invesco has professional investment teams handling a wide range of asset classes, investment styles, and geographies.
Since QQQ ETF copies the composition of the Nasdaq 100 index, you will have the same exposure and diversification. Your fund will be allocated to the information technology, communication services, consumer discretionary, health care, consumer staples, industrials, and utilities sectors.
While you invest in a basket of 100 companies, investing in QQQ ETF will help you minimize the risks of investing in a single company.
4. Outstanding Performance
QQQ ETF always achieves excellent performance. The 1-year total return of QQQ ETF is 36.12%, 3-year is 141/09%, and 5-year is 264.79%. It has beaten the S&P500 and Dow Jones Industrial Average index many times already, especially during bullish market trends.
5. Long Term Objective
Exchange-traded funds with equity-focused like QQQ ETF are suitable to hold for long term as their historical NAV performance shows that profit potential works better over time. The components and allocation of QQQ ETF are strategically designed with a long-term objective.
QQQ ETF is among those ETFs with high assets under management. Many traders like trading this ETF regularly because they can easily buy and sell their shares quickly.
Invesco QQQ ETF Holdings By Weight
- Microsoft Corp. (MSFT)
- Apple Inc. (AAPL)
- Amazon.com Inc. (AMZN)
- Tesla Inc. (TSLA)
- NVIDIA Corp. (NVDA)
- Alphabet Inc. (GOOG)
- Alphabet Inc. (GOOGL)
- Meta Platforms Inc. (FB)
- Adobe Inc. (ADBE)
- Netflix Inc. (NFLX)
- PayPal Holdings Inc. (PYPL)
- Comcast Corp. (CMCSA)
- Cisco Systems Inc. (CSCO)
- PepsiCo Inc. (PEP)
- Broadcom (AVGO)
- Costco Wholesale Corp. (COST)
- Intel Corp. (INTC)
- QUALCOMM Inc. (QCOM)
- Texas Instruments Inc. (TXN)
- Intuit Inc. (INTU)
- Advanced Micro Devices Inc. (AMD)
- Honeywell International Inc. (HON)
- T-Mobile US Inc. (TMUS)
- Applied Materials Inc. (AMAT)
- Starbucks Corp. (SBUX)
- Intuitive Surgical Inc. (ISRG)
- Charter Communications Inc. (CHTR)
- Amgen Inc. (AMGN)
- Booking Holdings Inc. (BKNG)
- Analog Devices Inc. (ADI)
- Automatic Data Processing Inc. (ADP)
- Moderna Inc. (MRNA)
- Mondelez International Inc. (MDLZ)
- Lam Research Corp. (LRCX)
- Gilead Sciences Inc. (GILD)
- Micron Technology Inc. (MU)
- MercadoLibre Inc. (MELI)
- CSX Corp. (CSX)
- Autodesk Inc. (ADSK)
- ASML Holdings (ASML)
- Fiserv Inc. (FISV)
- Regeneron Pharmaceuticals Inc. (REGN)
- Illumina Inc. (ILMN)
- Zoom Video Communications Inc. (ZM)
- KLA Corp. (KLAC)
- Dexcom Inc. (DXCM)
- JD.com Inc. (JD)
- Atlassian Corp. (TEAM)
- NXP Semiconductors (NXPI)
- Marvell Technology Inc. (MRVL)
- Lululemon Athletica Inc. (LULU)
- Workday Inc. (WDAY)
- Marriott International Inc. (MAR)
- Crowdstrike Holdings Inc. (CRWD)
- Align Technology Inc. (ALGN)
- IDEXX Laboratories Inc. (IDXX)
- Exelon Corp. (EXC)
- Activision Blizzard Inc. (ATVI)
- DocuSign Inc. (DOCU)
- Synopsys Inc. (SNPS)
- Keurig Dr Pepper Inc. (KDP)
- Vertex Pharmaceuticals Inc. (VRTX)
- Cadence Design Systems Inc. (CDNS)
- eBay Inc. (EBAY)
- Xilinx Inc. (XLNX)
- Monster Beverage Corp. (MNST)
- Microchip Technology Inc. (MCHP)
- Kraft Heinz Co. (KHC)
- Cintas Corp. (CTAS)
- Paychex Inc. (PAYX)
- Match Group Inc. (MTCH)
- O’Reilly Automotive Inc. (ORLY)
- Walgreens Boots Alliance Inc. (WBA)
- Ross Stores Inc. (ROST)
- American Electric Power Co. Inc. (AEP)
- Cognizant Technology Solutions Corp. (CTSH)
- Biogen Inc. (BIIB)
- Baidu Inc. (BIDU)
- Electronic Arts Inc. (EA)
- Okta Inc. (OKTA)
- Copart Inc. (CPRT)
- ANSYS Inc. (ANSS)
- Seagen Inc. (SGEN)
- Verisk Analytics Inc. (VRSK)
- Xcel Energy Inc. (XEL)
- Fastenal Co. (FAST)
- Pinduoduo Inc. (PDD)
- PACCAR Inc. (PCAR)
- NetEase Inc. (NTES)
- Splunk Inc. (SPLK)
- Skyworks Solutions Inc. (SWKS)
- VeriSign Inc. (VRSN)
- Sirius XM Holdings Inc. (SIRI)
- CDW Corp. (CDW)
- Dollar Tree Inc. (DLTR)
- Cerner Corp. (CERN)
- Trip.com Group Ltd. (TCOM)
- Check Point Software Technologies Ltd. (CHKP)
- Peloton Interactive Inc. (PTON)
- Incyte Corp. (INCY)
- Fox Corp. (FOXA)
- Fox Corp. (FOX)
Does QQQ Pay Dividends?
Yes, QQQ rewards cash dividends every quarter. Its current dividend yield is 0.42%. The annual dividend is $1.65. Its dividend growth rate (trailing 12 months) is 8.20%.
What are the Risks of Investing in QQQ ETF?
QQQ ETF is invested heavily in technology stocks that are very volatile in nature. So, if you are investing in this ETF, you must weigh its high risk and high reward potential.
Some of the large-cap tech stocks are also overvalued and expensive. Large-cap stocks have little room to grow, so don’t expect a skyrocket performance of your portfolio.
Although QQQ ETF holdings have unique business outlook, an investor must keep in mind the possibilities in the technology sector.
How to buy shares of Invesco QQQ ETF?
- Open an online trading account
- Set up your investment profile
- Indicate your risk tolerance
- Select the ticker QQQ
- Place a BUY order
- Set your target price or target profit
- Follow your investment goal
Other ETF Guides:
- How to Invest in ETF (The Complete Guide)
- Best ETF in the Philippines in 2021
- Top 18 Best Vanguard ETF to Invest in 2021
Disclaimer: This article is for information purposes only and should not be considered as a professional advice or an endorsement of a particular investment. All investments have risks. Risk only the capital you’re not afraid to lose. Always do your own research before investing.