Invesco is marking the 20th anniversary of Invesco QQQ, the company’s top-performing large-cap growth ETF that tracks the innovative companies included in the NASDAQ-100 Index.
Launched on 10 March 1999, QQQ offers investors access to global growth companies, excluding the securities of financial companies. QQQ is the sixth largest ETF listed in the US with USD66 billion in assets under management and has one of the longest performance histories available in an ETF.
“Invesco is proud of the 20 years of innovation that have been marshalled through the Invesco QQQ and the access it has provided investors to pioneering companies that impact each of us daily. Through products, such as QQQ, Invesco continues to focus on creating tools to help investors build portfolios that exceed expectations. We look forward to the next 20 years,” says Dan Draper, Managing Director, Global Head of Invesco ETFs.
By tracking the Nasdaq-100, QQQ can provide investors means to diversify their portfolio while still investing in the large-cap equity space. Despite its reputation as a technology fund, the current characteristics of QQQ position it as a large-cap growth fund, with only 42.6 per cent of the holdings classified as technology companies. The Fund has evolved since its greatest technology weighting of 78 per cent at the end of 2000, around the height of the tech bubble. Currently QQQ showcases underlying constituents that can be considered innovators in their respective sectors, including information technology, communication services, consumer discretionary, health care, consumer staples, industrials and utilities.
“When QQQ was launched in 1999, most investors were just learning about index-tracking investment products, and the transparency offered by an ETF was novel. It is interesting to look back 20 years later at how relevant and well-regarded the Invesco QQQ remains, even as much of the ETF landscape has changed,” says Draper.
Bjorn Sibbern, EVP and Head of Nasdaq’s Global Information Services, adds: “The resilience of the Invesco QQQ is a testament to the strength not only of Nasdaq’s global indexes, but the indexing industry as a whole.”