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 3-year total return of 72.65%, 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.
Table of Contents:
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?
1. Affordability
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.
3. Diversification
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, industrial, 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 3-year total return of QQQ ETF is 72.65%, and 5-year is 140.42%. 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.
5. Liquidity
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
- Apple Inc. (AAPL)
- Microsoft Corp. (MSFT)
- Amazon.com Inc. (AMZN)
- Tesla Inc. (TSLA)
- Alphabet Inc. (GOOG)
- Meta Platforms Inc. (FB)
- Alphabet Inc. (GOOGL)
- NVIDIA Corp. (NVDA)
- Broadcom (AVGO)
- Costco Wholesale Corp. (COST)
- PepsiCo Inc. (PEP)
- Cisco Systems Inc. (CSCO)
- Adobe Inc. (ADBE)
- Intel Corp. (INTC)
- Comcast Corp. (CMCSA)
- QUALCOMM Inc. (QCOM)
- Texas Instruments Inc. (TXN)
- T-Mobile US Inc. (TMUS)
- Advanced Micro Devices Inc. (AMD)
- Honeywell International Inc. (HON)
- Amgen Inc. (AMGN)
- Intuit Inc. (INTU)
- PayPal Holdings Inc. (PYPL)
- Applied Materials Inc. (AMAT)
- Automatic Data Processing Inc. (ADP)
- Mondelez International Inc. (MDLZ)
- Netflix Inc. (NFLX)
- Booking Holdings Inc. (BKNG)
- Starbucks Corp. (SBUX)
- Intuitive Surgical Inc. (ISRG)
- Analog Devices Inc. (ADI)
- Micron Technology Inc. (MU)
- CSX Corp. (CSX)
- Gilead Sciences Inc. (GILD)
- Charter Communications Inc. (CHTR)
- Regeneron Pharmaceuticals Inc. (REGN)
- Vertex Pharmaceuticals Inc. (VRTX)
- Lam Research Corp. (LRCX)
- Fiserv Inc. (FISV)
- Activision Blizzard Inc. (ATVI)
- Moderna Inc. (MRNA)
- Marriott International Inc. (MAR)
- Palo Alto Networks Inc. (PANW)
- Airbnb Inc. (ABNB)
- Keurig Dr Pepper Inc. (KDP)
- The Kraft Heinz Co. (KHC)
- Marvell Technology Inc. (MRVL)
- KLA Corp. (KLAC)
- MercadoLibre Inc. (MELI)
- American Electric Power Co. Inc. (AEP)
- ASML Holdings (ASML)
- Illumina Inc. (ILMN)
- NXP Semiconductors (NXPI)
- Paychex Inc. (PAYX)
- Fortinet Inc. (FTNT)
- Exelon Corp. (EXC)
- Synopsys Inc. (SNPS)
- Monster Beverage Corp. (MNST)
- Lululemon Athletica Inc. (LULU)
- Cognizant Technology Solutions Corp. (CTSH)
- Autodesk Inc. (ADSK)
- Cadence Design Systems Inc. (CDNS)
- Crowdstrike Holdings Inc. (CRWD)
- Cintas Corp. (CTAS)
- O’Reilly Automotive Inc. (ORLY)
- Workday Inc. (WDAY)
- Xcel Energy Inc. (XEL)
- Dexcom Inc. (DXCM)
- AstraZeneca (AZN)
- Microchip Technology Inc. (MCHP)
- Dollar Tree Inc. (DLTR)
- JD.com Inc. (JD)
- Walgreens Boots Alliance Inc. (WBA)
- IDEXX Laboratories Inc. (IDXX)
- Ross Stores Inc. (ROST)
- Electronic Arts Inc. (EA)
- Lucid Group Inc. (LCID)
- Old Dominion Freight Line Inc. (ODFL)
- Verisk Analytics Inc. (VRSK)
- Atlassian Corp. (TEAM)
- Fastenal Co. (FAST)
- eBay Inc. (EBAY)
- Baidu Inc. (BIDU)
- Datadog Inc. (DDOG)
- Biogen Inc. (BIIB)
- PACCAR Inc. (PCAR)
- Zscaler Inc. (ZS)
- Copart Inc. (CPRT)
- Zoom Video Communications Inc. (ZM)
- ANSYS Inc. (ANSS)
- Seagen Inc. (SGEN)
- Sirius XM Holdings Inc. (SIRI)
- Align Technology Inc. (ALGN)
- Match Group Inc. (MTCH)
- VeriSign Inc. (VRSN)
- NetEase Inc. (NTES)
- Skyworks Solutions Inc. (SWKS)
- Constellation Energy Corp. (CEG)
- Pinduoduo Inc. (PDD)
- Splunk Inc. (SPLK)
- Okta Inc. (OKTA)
- DocuSign Inc. (DOCU)
Does QQQ Pay Dividends?
Yes, QQQ rewards cash dividends every quarter. Its current dividend yield is 0.54%. The annual dividend is $1.74. Its dividend growth rate (trailing 12 months) is -1.85%.
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 2022
- Top 18 Best Vanguard ETF
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 and perform due diligence when investing your money.
QQQ and SPY is good investment