So I have 10% of my portfolio in Nasdaq100. The other 90% is in a broad-based index fund.
The 10% is my gambling money, but instead of betting it on a single stock, I'm betting it on an index.
Anyway, I'm not loving the upcoming changes to fast-track newly listed companies into the index, so I've been looking for alternative funds that have a tech tilt.
I came across this fund that tracks the S&P 500 Information Technology Sector. The only major difference I can find between this and Nasdaq100 is that this is a pure technology plan, for example, it doesn't include companies like Amazon, Meta and Google because the majority of their revenue doesn't come from actual technology.
What do you guys think?
For Those Looking to Bail on QQQ Because of Upcoming Fast-Track Changes
byu/itsmeyourepidermis ininvesting
Posted by itsmeyourepidermis
5 Comments
You don’t think a majority of amazons revenue comes from technology?
What the fuck
Ishares advertisement lol
Sure or maybe VGT, or add a Mag 7 ETF to pick up the names you mentioned.
Honestly, there are so many ETFs tracking so many indexes/sectors these days your options are pretty expansive.
Edit: Most ETFs are about as far from ‘gambling’ as you can get in market. 😂
Take the 10% and make your own etf and save the fees. I switched about 3 years ago to using total market as a basis, and then manage a basket of equities to get the weight of companies i like or believe to be positioned to run to where I want them and reduce exposure to companies I dont like(tsla, apple, and facebook are and have been seriously overvalued in my opinion). I am overweight google, amazon, nvidia, tsm, asml and Broadcom the last 3 years. I have a few other high conviction plays included in that list that depending on recent performance I add more shares of. I look at rebalancing monthly but most months I dont do anything but add more shares. I do like to let my runners run and not trim them. If something gets out of balance I generally just try to put more money into other equities for the next few months to balance things out over selling. I have about tripled the annual return rate of qqq since then. Is it a risky strategy? Yes. But no one ever retired early without taking a few risks, and I feel like I can tolerate that risk.
Moving to a pure Information Technology fund gives you the strict tilt you want, but you ll be ditching non-tech giants like Meta Alphabet and Amazon that currently drive the majority of AI-led market returns.
Are you comfortable with your tech portfolio excluding the world’s largest cloud and advertising companies?