PRESS RELEASE

from Evolve ETFs (NASDAQ:BILT:CA)

Trading The Nasdaq 100 To Capitalize On The Tech Rally This Year? You May Want To Check Out This ETF Instead

TORONTO, ON / ACCESSWIRE / September 7, 2023 / For many investors, the Nasdaq-100® is synonymous with tech. But that may not be exactly the case. While the index is perceived as typically tech-heavy, surprisingly only 37 companies within the index are classified as ‘technology'. For investors who are trading Nasdaq-100® ETFs primarily as a way to trade their assumptions about tech, those non-tech companies can end up muddying the results of their trading strategy.

That's why Toronto-based Evolve ETFs made the Evolve NASDAQ Technology Index ETF (QQQT). QQQT trades on the Toronto Stock Exchange (TSX) and tracks the Nasdaq-100 Technology Sector Adjusted Market-Cap Weighted™ Index, which was specifically crafted to include only those 37 companies in the Nasdaq-100® that are considered pure tech.

The Tech Sector Has Carried The Market In An Otherwise Tough Year

Despite the August cool-down driven by worries about interest rates remaining higher for longer, it has been a phenomenal year for tech stocks. The AI buzz has sent stocks like Nvidia soaring more than 200% while Meta and Tesla also pulled off triple-digit gains in the first half of the year. Meanwhile, the rest of the "magnificent seven" - Alphabet, Amazon, Apple and Microsoft - have all risen more than 35% since the start of the year.

In fact, it's that bullish tech growth that has buoyed many of the broader indexes that they're included in. For example, without those seven stocks, the S&P 500® would actually have trended down for most of the first half of 2023 rather than gaining more than 17% year-to-date as of this writing. Likewise, about 80% of the growth in the Nasdaq-100® has come from the same magnificent seven.

While that's been a boon to those indexes, it also means a lost opportunity for investors holding those indexes as they actually captured just a fraction of the total gains they could have gotten with pure exposure to tech stocks.

QQQT Gives Investors Pure Tech Exposure

In the first half of the year, the Nasdaq-100 Technology Sector Adjusted Market-Cap Weighted™ Index (NDXT10 Index) - which is the tech-adjusted index tracked by Evolve's QQQT - rose over 57% compared to just under 39% for the Nasdaq-100®. The current top 10 holdings (as of August 31, 2023) of QQQT include:

Name

QQQT Weight

Name

QQQT Weight

NVIDIA Corp

Meta Platforms Inc.

Apple Inc.

Microsoft Corp

Broadcom Inc.

11.69%

10.07%

9.58%

9.02%

6.81%

Alphabet Cl A Cmn

Alphabet Cl C Cap

Adobe Inc.

Adv Micro Devices

Texas Instruments Inc

5.02%

4.99%

4.56%

3.10%

2.79%

For investors who have been turning to the Nasdaq-100® as their key tool for trading the soaring tech sector, QQQT is designed to give you the pure tech exposure you're looking for without being watered down by the non-tech stocks that are also lumped into the Nasdaq-100®.

Featured photo by Yiorgos Ntrahas on Unsplash.

The contents of this piece are not to be used or construed as investment advice or as an endorsement or recommendation of any entity or security discussed. These contents are not an offer or solicitation of an offer or a recommendation to buy or sell any securities or financial instrument, nor shall it be deemed to provide investment, tax or accounting advice. The information contained herein is intended for informational purposes only.

Commissions, trailing commissions, management fees and expenses all may be associated with exchange traded funds (ETFs) and mutual funds (funds). Please read the prospectus before investing. ETFs and mutual funds are not guaranteed, their values change frequently, and past performance may not be repeated. There are risks involved with investing in ETFs and mutual funds. Please read the prospectus for a complete description of risks relevant to ETFs and mutual funds. Investors may incur customary brokerage commissions in buying or selling ETF and mutual fund units.

Certain statements contained in this blog may constitute forward-looking information within the meaning of Canadian securities laws. Forward-looking information may relate to a future outlook and anticipated distributions, events or results and may include statements regarding future financial performance. In some cases, forward-looking information can be identified by terms such as "may", "will", "should", "expect", "anticipate", "believe", "intend" or other similar expressions concerning matters that are not historical facts. Actual results may vary from such forward-looking information. Evolve Funds undertakes no obligation to update publicly or otherwise revise any forward-looking statement whether as a result of new information, future events or other such factors which affect this information, except as required by law.

Investors should monitor their holdings, as frequently as daily, to ensure that they remain consistent with their investment strategies.

Nasdaq®, Nasdaq-100®, Nasdaq-100 Index®, Nasdaq-100 Technology Sector Adjusted Market-Cap Weighted™ Index are trademarks of Nasdaq, Inc. (which with its affiliates is referred to as the "Corporations") and are licensed for use by Evolve ETFs. The Product(s) have not been passed on by the Corporations as to their legality or suitability. The Product(s) are not issued, endorsed, sold, or promoted by the Corporations. THE CORPORATIONS MAKE NO WARRANTIES AND BEAR NO LIABILITY WITH RESPECT TO THE PRODUCT(S)Contact:

Keith Crone
kcrone@evolveetfs.com

SOURCE: Evolve ETFs



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