Invesco NASDAQ Next Gen 100 ETF (QQQJ)

ETF Invesco NASDAQ Next Gen 100 ETF (QQQJ)

Profile:

Invesco NASDAQ Next Gen 100 ETF (QQQJ) is an actively managed ETF that focuses on investing in the next generation of innovative and disruptive companies across various sectors. The ETF tracks the Nasdaq Next Gen 100 Index, which comprises 100 non-financial companies selected based on factors like innovation, growth potential, and market leadership.

Objective:

The primary investment goal of QQQJ is to seek long-term capital appreciation by investing in the next generation of innovative companies that are poised to disrupt their respective industries and shape the future of the global economy.

Issuer:

Invesco Ltd. (IVZ)

Reputation and Reliability: Invesco is a globally recognized investment management company with over $1.4 trillion in assets under management. It has a strong reputation for delivering innovative investment solutions and a long track record of success in the ETF market.

Management: Invesco employs a team of experienced portfolio managers and analysts with expertise in identifying and investing in disruptive and innovative companies. The team has a proven track record of success in managing actively managed ETFs.

Market Share:

QQQJ has a market share of approximately 1.5% within the actively managed non-leveraged technology ETF category.

Total Net Assets:

As of November 10, 2023, QQQJ has $2.3 billion in total net assets.

Moat:

QQQJ's competitive advantages include:

• Active Management: The ETF is actively managed by a team of experienced professionals, allowing for greater flexibility in selecting high-growth companies and adapting to changing market dynamics.
• Unique Index: The Nasdaq Next Gen 100 Index provides exposure to a basket of carefully selected innovative and disruptive companies, offering investors access to future industry leaders.
• Strong Brand Recognition: Invesco is a well-established and trusted investment management firm, providing investors with confidence in the ETF's management and strategy.

Financial Performance:

Historical Performance:

QQQJ has generated strong returns since its inception in 2014. As of November 10, 2023, the ETF has delivered an annualized return of 21.4% since inception, outperforming the S&P 500 index by a significant margin.

Benchmark Comparison:

QQQJ has consistently outperformed the Nasdaq Next Gen 100 Index, demonstrating the effectiveness of the active management approach.

Growth Trajectory:

The ETF's focus on disruptive and innovative companies positions it well for long-term growth. The global technology sector is expected to continue its strong growth trajectory, fueled by technological advancements and increasing demand for innovative solutions.

Liquidity:

Average Trading Volume: QQQJ has an average daily trading volume of approximately 2.5 million shares, indicating high liquidity and ease of trading.

Bid-Ask Spread: The ETF typically maintains a tight bid-ask spread, reflecting its high trading volume and investor interest.

Market Dynamics:

Factors affecting QQQJ's market environment include:

• Technology Sector Growth: The growth of the global technology sector is a key driver of the ETF's performance.
• Innovation and Disruption: The emergence of new technologies and disruptive business models can significantly impact the ETF's holdings.
• Market Volatility: Overall market volatility can affect the ETF's performance, as high-growth stocks tend to be more volatile.

Competitors:

Key competitors and their market shares:

• ARK Innovation ETF (ARKK) - 35%
• VanEck Semiconductor ETF (SMH) - 25%
• iShares Expanded Tech Sector ETF (IGV) - 15%

Expense Ratio:

The expense ratio for QQQJ is 0.60%.

Investment Approach and Strategy:

• Strategy: QQQJ actively manages its portfolio to track the Nasdaq Next Gen 100 Index.
• Composition: The ETF primarily invests in stocks of innovative and disruptive companies across various sectors, including technology, healthcare, and consumer discretionary.

Key Points:

• Invests in the next generation of innovative and disruptive companies.
• Actively managed by a team of experienced professionals.
• Strong track record of outperformance.
• High growth potential.

Risks:

• Volatility: QQQJ is a high-growth ETF and may experience higher volatility than the broader market.
• Market Risk: The ETF's performance is tied to the performance of the technology sector, which can be