Edit: As some have mentioned, the expense ratio of .20% works out to cost you $20 per $10k per year - not $2 as I posted. For perspective, the ETF industry average in 2019 was 0.57% according to Vanguard. When it comes to expense ratios, I encourage investors to be mindful of them but also recognize the impact of growth over fees. ARKK is great example of higher fees but outstanding growth, which of course offsets the expense ratio premium.
Great video! Just wanted to add that VGT (Vanguard Information Technology Index Fund ETF Shares)is the Vanguard fund that outperforms QQQ and only a .10 expense ratio, or half of QQQ's expense. VGT has a higher dividend of .91% vs .71%. I have both in my portfolio. (future compare video?) I did sub and like.
Thanks for the suggestion. I was not aware of VGT but it does look similar in terms of top holdings. I do like that QQQ spans outside of tech, although the top weighted holdings are all tech. You're right this may make for an interesting comparison video. Thanks for watching!
Great review! Despite the risks, which you did good mentioning, this ETF has outperformed most everything in the last 10 years and that's enough track record for me to be sold on it! Started investing last week into it. Have done well with FXAIX and I think a big part of that is cause of the crossover between these two with similar top holdings.
Stay away from TQQQ for long term. Its 3x leverage so the longer you hold on to it the more you will lose. It may look like your making money but when you file your taxes it wont look so good.
I have a pretty good combination of ETFs in my pie. The piece I’m stuck on is the tech sector. Right now I have all ARK etfs. I’m considering easing down the ARK and adding QQQ. Anyone have any thoughts? 🌿
Lower expense fees for the same portfolio allocations. I'm already knee-deep in QQQ so I am sticking with it, but new investors can save a couple bucks using QQQJ instead. From ETF.com.... "QQQM is essentially identical to QQQ, but comes with a lower price tag of 0.15%, or $15 per $10,000 invested. (QQQ costs 0.20%). The cheaper price tag on an identical portfolio is aimed at investors with a long-term time horizon, who are looking for a buy-and-hold allocation rather than a highly traded investment."
Seven years is solid stretch... especially with technology changing so fast these days. If it were me, I would have at least 25% in the QQQ. You can always reassess in a couple years. That's my opinion without knowing anything about your goals or current portfolio.
Those all look like solid choices. I am biased to QQQ because I like that it is a high volume ETF. This provides some additional volatility when the market goes through larger ups and downs.
If you invested all of your money in $QQQ in 1999 you wouldn't break even until 2014.... 15 years later. Warning... if you buy $QQQ do so at dollar cost average. Spread out even contributions over many years to avoid this pitfall.
QQQ is a great choice! Obviously most people should probably go with VOO, but tech is running the market. I definitely prefer QQQ over the ARK options just based on the expense ratios.
Based in Europe, I could get the EQQQ, so far not happy ...barely cover the expenses for buying it, purchase dates were 26th June and 7th July ....hope moving forward I'll change my view on this ETF.
Sorry to hear that. Long term you should be in good shape. I would save money on the side and average down if we see a crash around the USA election or negative health news.
@@40finance It's indeed an ETF you can trust, especially for the long run: with recent growth I have now one position 15% from late June, and the second up 9% from early July. Having jumped in during a "high trend", I must accept it will take longer to see some meaningful gains :-) But indeed it was good I saw your original video on QQQ, so I avoided to average over the SPY :-) And, as you said in the video, I rather not hold positions that involves companies such as those in tobacco which are in SPY...
You are correct. Thanks for the callout. I added a pinned comment to the video. I personally think the performance outweighs the .20% - which is still well below the industry average.
Edit: As some have mentioned, the expense ratio of .20% works out to cost you $20 per $10k per year - not $2 as I posted. For perspective, the ETF industry average in 2019 was 0.57% according to Vanguard. When it comes to expense ratios, I encourage investors to be mindful of them but also recognize the impact of growth over fees. ARKK is great example of higher fees but outstanding growth, which of course offsets the expense ratio premium.
40 Finance what are your thoughts on ARKK? 😊
Is it OK to open position in this price or I need to wait for pull back?
Great video! Just wanted to add that VGT (Vanguard Information Technology Index Fund ETF Shares)is the Vanguard fund that outperforms QQQ and only a .10 expense ratio, or half of QQQ's expense. VGT has a higher dividend of .91% vs .71%. I have both in my portfolio. (future compare video?) I did sub and like.
Thanks for the suggestion. I was not aware of VGT but it does look similar in terms of top holdings. I do like that QQQ spans outside of tech, although the top weighted holdings are all tech. You're right this may make for an interesting comparison video. Thanks for watching!
Love QQQ and Ark. You can’t go wrong with ETF’s. Good vid.
Hard to get excited about the SP500 when you watch the growth of this two ETFs!
Great review! Despite the risks, which you did good mentioning, this ETF has outperformed most everything in the last 10 years and that's enough track record for me to be sold on it! Started investing last week into it. Have done well with FXAIX and I think a big part of that is cause of the crossover between these two with similar top holdings.
If you're investing and you aren't on team Geoff, what'a the point?!
Currently at $366.41 on this Presidents’ Day 2021. I love this ETF. It’s my top holding. Thinking about investing into IGV ETF next.
Hard to beat the QQQ over the long term!
Isn't that supposed to be $20 per $10k?
I love the TQQQ for long term I know it’s higher risk but I think even a small holding is worth the risk!
I have my eye on this one as well. May buy some if we see another 20%+ crash.
Stay away from TQQQ for long term. Its 3x leverage so the longer you hold on to it the more you will lose. It may look like your making money but when you file your taxes it wont look so good.
@@markjou9799 yeah bro facts
@@markjou9799 how much money the took n taxes..?
I have a pretty good combination of ETFs in my pie.
The piece I’m stuck on is the tech sector. Right now I have all ARK etfs. I’m considering easing down the ARK and adding QQQ.
Anyone have any thoughts? 🌿
Might be a good idea since ARK funds are high growth/high risk. I love ARK but I only hold them at 15% of my ETF portfolios. My two cents...
Notification came up. Clicked on it right away!
Thank you!
QQQJ? Thanks
Lower expense fees for the same portfolio allocations. I'm already knee-deep in QQQ so I am sticking with it, but new investors can save a couple bucks using QQQJ instead.
From ETF.com....
"QQQM is essentially identical to QQQ, but comes with a lower price tag of 0.15%, or $15 per $10,000 invested. (QQQ costs 0.20%). The cheaper price tag on an identical portfolio is aimed at investors with a long-term time horizon, who are looking for a buy-and-hold allocation rather than a highly traded investment."
@@40finance excuse me I said QQQJ, not QQQM. Thanks
What percentage would you recommend to allocate for someone retiring within 7 years? It's a bit aggressive but still seems to have a place.
Seven years is solid stretch... especially with technology changing so fast these days. If it were me, I would have at least 25% in the QQQ. You can always reassess in a couple years. That's my opinion without knowing anything about your goals or current portfolio.
Great channel and info. Thanks!
100% no brainer dude
I was torn between MGK, Vug, and QQQ. Any
Those all look like solid choices. I am biased to QQQ because I like that it is a high volume ETF. This provides some additional volatility when the market goes through larger ups and downs.
Any bio tech etf u do like?
QQQ and ARKK are the only real biotech plays I have. That is a difficult category for me because I don't understand all the lingo lol.
If you invested all of your money in $QQQ in 1999 you wouldn't break even until 2014.... 15 years later. Warning... if you buy $QQQ do so at dollar cost average. Spread out even contributions over many years to avoid this pitfall.
Good advice. I would argue that tech is in a much different place today, but the fact remains DCA is a time-tested strategy. Thanks for watching!
QQQ is a great choice! Obviously most people should probably go with VOO, but tech is running the market. I definitely prefer QQQ over the ARK options just based on the expense ratios.
in the uk we cant buy ark as they refuse to comply with eu listing laws. infuriating they do not want european money as well as us
what index is qqq tracking?
Top 100 NASDAQ stocks by market cap. Hope this helps!
@@40finance
What percent is in the top 10 holdings?
Love QQQ and SCHG. Thanks for the information as always.
Thanks for watching!
If possible can you also do a video on SCHG and vug ... it would be nice to know your analytic thoughts on that
I Always Like Your Analysis.. SQQQ. any Word on That. and NIO...!!!
Thanks for watching! I don't short stocks so SQQQ is not for me. However, I would consider buying TQQQ if we ever see a major crash.
@@40finance thanks Love Watching your video..
Based in Europe, I could get the EQQQ, so far not happy ...barely cover the expenses for buying it, purchase dates were 26th June and 7th July ....hope moving forward I'll change my view on this ETF.
Sorry to hear that. Long term you should be in good shape. I would save money on the side and average down if we see a crash around the USA election or negative health news.
@@40finance It's indeed an ETF you can trust, especially for the long run: with recent growth I have now one position 15% from late June, and the second up 9% from early July. Having jumped in during a "high trend", I must accept it will take longer to see some meaningful gains :-)
But indeed it was good I saw your original video on QQQ, so I avoided to average over the SPY :-) And, as you said in the video, I rather not hold positions that involves companies such as those in tobacco which are in SPY...
Isn’t .20% = 20 dollars per 10k?
Correct - my mistake. Thanks for calling that out.
QQQN is slamming QQQ the past month and QQQN is about 1 month old. It is up and coming QQQ potential stocks.
I'll have to look at that one. Thanks for watching!
Isn't the expense ratio calculation wrong? It's $2 for every $1000 per year and not $10,000 like mentioned? Which is a huge difference.
You are correct. Thanks for the callout. I added a pinned comment to the video. I personally think the performance outweighs the .20% - which is still well below the industry average.
I am a big fan of ARKK
@David Starr One thing we can agree upon: Cathie is doing a great job 😊
Me too. I did a review a few weeks ago here: ruclips.net/video/mNcjzTDBXe4/видео.html