NASDAQ index fund
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NASDAQ index fund
What are your thoughts about adding a NASDAQ index fund to a portfolio?
67% Bitcoin, 21% FZROX, 5% FZILX, 2% GLD, 5% individual stocks
Re: NASDAQ index fund
First, why are you interested? Why do you think that index is a good fit for your goals and risk tolerance?
But overall, pretty poor. The index construction and methodology is pretty poor. Select a random collection of largish non-bank stocks. Why?
It made more sense 30 years ago when NASDAQ was literally a 3rd rate exchange. The only reason why a company would list on NASDAQ was because they were so new, small, and rickety that they couldn't qualify for a 2nd rate exchange like AMEX. i.e., tech start ups.
This is no longer true. Rickety companies which have a uneven history of profits can now list on the top tier NYSE now that the listing requirements are basically harmonized between the 2.
But overall, pretty poor. The index construction and methodology is pretty poor. Select a random collection of largish non-bank stocks. Why?
It made more sense 30 years ago when NASDAQ was literally a 3rd rate exchange. The only reason why a company would list on NASDAQ was because they were so new, small, and rickety that they couldn't qualify for a 2nd rate exchange like AMEX. i.e., tech start ups.
This is no longer true. Rickety companies which have a uneven history of profits can now list on the top tier NYSE now that the listing requirements are basically harmonized between the 2.
Former brokerage operations & mutual fund accountant. I hate risk, which is why I study and embrace it.
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Re: NASDAQ index fund
It's a good idea. However, I'm not aware of ETFs tracking NASDAQ. The funds like QQQ track NASDAQ-100, only the biggest companies in NASDAQ.
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Re: NASDAQ index fund
67% Bitcoin, 21% FZROX, 5% FZILX, 2% GLD, 5% individual stocks
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Re: NASDAQ index fund
My thoughts are that I would not do this.
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Re: NASDAQ index fund
This doesn't seem necessary to me, especially if you hold a total stock market fund.NostraHistoria wrote: ↑Sun Sep 19, 2021 3:34 pm What are your thoughts about adding a NASDAQ index fund to a portfolio?
Dividing up stocks by which exchange they trade on is one way to go, but then to get full US market exposure, you'd have to buy a NYSE Composite Index Fund and any other funds that represent the other major stock exchanges.
Using a total market fund will include the stocks of the NASDAQ, the NYSE, etc., all in one fund.
Regards,
If liberty means anything at all it means the right to tell people what they do not want to hear. -George Orwell
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Re: NASDAQ index fund
My thoughts are that you are chasing performance and this is a bad idea.