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focusing on giants, invesco and blackrock have successively launched "nasdaq and s&p giant etfs"

2024-09-01

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since the beginning of this year, the u.s. stock market has shown a clear "head effect", with giant stocks leading the market. in order to follow this trend, u.s. asset management giants have launched etf products focusing on stocks of leading companies to attract investors' attention.

following blackrock's application submitted at the beginning of the month, invesco also joined the battle, planning to launch a new fund called "invesco mega qqq etf" (qbig) to track the top 45% of companies in the nasdaq-100 mega index.

currently, the index components include giants such as apple, microsoft, nvidia, amazon, meta, google's parent company alphabet, and costco.

todd sohn, etf strategist at strategas, said, "this fund caters to investors who only want to invest in the top stocks in the index," but also needs to be wary of related risks. "if these stocks perform poorly, investors will also face losses."

since the beginning of this year, the us stock market giants have led the market and contributed most of the gains this year. for example, the return rate of the etf tracking the top 50 stocks of the s&p 500 index under invesco is 11 points higher than the return rate of the equally weighted s&p 500 etf.

under this trend, some etfs focusing on large-cap stocks have been popular among investors. for example, the asset size of roundhill seven etf (mags) has increased from us$35 million at the beginning of the year to approximately us$673 million.

this has also prompted more etf "big companies" to seek to catch up with this trend. previously, blackrock has submitted an application to launch a fund that tracks the top 30 stocks in the nasdaq 100 index and the top 20 stocks in the s&p 500 index.