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Is First Trust NASDAQ-100 Select Equal Weight ETF (QQEW) a Strong ETF Right Now?
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The First Trust NASDAQ-100 Select Equal Weight ETF (QQEW - Free Report) was launched on 04/19/2006, and is a smart beta exchange traded fund designed to offer broad exposure to the Style Box - Large Cap Growth category of the market.
What Are Smart Beta ETFs?
Market cap weighted indexes were created to reflect the market, or a specific segment of the market, and the ETF industry has traditionally been dominated by products based on this strategy.
Investors who believe in market efficiency should consider market cap indexes, as they replicate market returns in a low-cost, convenient, and transparent way.
There are some investors, though, who think it's possible to beat the market with great stock selection; this group likely invests in another class of funds known as smart beta, which track non-cap weighted strategies.
Based on specific fundamental characteristics, or a combination of such, these indexes attempt to pick stocks that have a better chance of risk-return performance.
While this space offers a number of choices to investors, including simplest equal-weighting, fundamental weighting and volatility/momentum based weighting methodologies, not all these strategies have been able to deliver superior results.
Fund Sponsor & Index
The fund is managed by First Trust Advisors, and has been able to amass over $1.67 billion, which makes it one of the larger ETFs in the Style Box - Large Cap Growth. QQEW, before fees and expenses, seeks to match the performance of the NASDAQ-100 Equal Weighted Index.
The Nasdaq-100 Select Equal Weight Index is designed to track the performance of the 50 companies from the Nasdaq-100 Index with the highest combined Blended Quality and Growth scores.
Cost & Other Expenses
Since cheaper funds tend to produce better results than more expensive funds, assuming all other factors remain equal, it is important for investors to pay attention to an ETF's expense ratio.
Operating expenses on an annual basis are 0.55% for QQEW, making it on par with most peer products in the space.
The fund has a 12-month trailing dividend yield of 0.43%.
Sector Exposure and Top Holdings
Most ETFs are very transparent products, and disclose their holdings on a daily basis. ETFs also offer diversified exposure, which minimizes single stock risk, though it's still important for investors to research a fund's holdings.
This ETF has heaviest allocation in the Information Technology sector - about 50.8% of the portfolio. Healthcare and Telecom round out the top three.
Looking at individual holdings, Western Digital Corporation (WDC) accounts for about 3.21% of total assets, followed by Asml Holding N.v. (new York Registry Shares) (ASML) and Lam Research Corporation (LRCX).
The top 10 holdings account for about 26.18% of total assets under management.
Performance and Risk
The ETF has lost about -6.42% and is up roughly 7.28% so far this year and in the past one year (as of 03/18/2026), respectively. QQEW has traded between $106.81 and $146.24 during this last 52-week period.
QQEW has a beta of 1.06 and standard deviation of 17.35% for the trailing three-year period, which makes the fund a medium risk choice in the space. With about 51 holdings, it effectively diversifies company-specific risk .
Alternatives
First Trust NASDAQ-100 Select Equal Weight ETF is a reasonable option for investors seeking to outperform the Style Box - Large Cap Growth segment of the market. However, there are other ETFs in the space which investors could consider.
Vanguard Growth Index Fund ETF Shares (VUG) tracks CRSP U.S. Large Cap Growth Index and the Invesco QQQ (QQQ) tracks NASDAQ-100 Index. Vanguard Growth Index Fund ETF Shares has $194.29 billion in assets, Invesco QQQ has $390.24 billion. VUG has an expense ratio of 0.03% and QQQ changes 0.18%.
Investors looking for cheaper and lower-risk options should consider traditional market cap weighted ETFs that aim to match the returns of the Style Box - Large Cap Growth
Bottom Line
To learn more about this product and other ETFs, screen for products that match your investment objectives and read articles on latest developments in the ETF investing universe, please visit Zacks ETF Center.
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Is First Trust NASDAQ-100 Select Equal Weight ETF (QQEW) a Strong ETF Right Now?
The First Trust NASDAQ-100 Select Equal Weight ETF (QQEW - Free Report) was launched on 04/19/2006, and is a smart beta exchange traded fund designed to offer broad exposure to the Style Box - Large Cap Growth category of the market.
What Are Smart Beta ETFs?
Market cap weighted indexes were created to reflect the market, or a specific segment of the market, and the ETF industry has traditionally been dominated by products based on this strategy.
Investors who believe in market efficiency should consider market cap indexes, as they replicate market returns in a low-cost, convenient, and transparent way.
There are some investors, though, who think it's possible to beat the market with great stock selection; this group likely invests in another class of funds known as smart beta, which track non-cap weighted strategies.
Based on specific fundamental characteristics, or a combination of such, these indexes attempt to pick stocks that have a better chance of risk-return performance.
While this space offers a number of choices to investors, including simplest equal-weighting, fundamental weighting and volatility/momentum based weighting methodologies, not all these strategies have been able to deliver superior results.
Fund Sponsor & Index
The fund is managed by First Trust Advisors, and has been able to amass over $1.67 billion, which makes it one of the larger ETFs in the Style Box - Large Cap Growth. QQEW, before fees and expenses, seeks to match the performance of the NASDAQ-100 Equal Weighted Index.
The Nasdaq-100 Select Equal Weight Index is designed to track the performance of the 50 companies from the Nasdaq-100 Index with the highest combined Blended Quality and Growth scores.
Cost & Other Expenses
Since cheaper funds tend to produce better results than more expensive funds, assuming all other factors remain equal, it is important for investors to pay attention to an ETF's expense ratio.
Operating expenses on an annual basis are 0.55% for QQEW, making it on par with most peer products in the space.
The fund has a 12-month trailing dividend yield of 0.43%.
Sector Exposure and Top Holdings
Most ETFs are very transparent products, and disclose their holdings on a daily basis. ETFs also offer diversified exposure, which minimizes single stock risk, though it's still important for investors to research a fund's holdings.
This ETF has heaviest allocation in the Information Technology sector - about 50.8% of the portfolio. Healthcare and Telecom round out the top three.
Looking at individual holdings, Western Digital Corporation (WDC) accounts for about 3.21% of total assets, followed by Asml Holding N.v. (new York Registry Shares) (ASML) and Lam Research Corporation (LRCX).
The top 10 holdings account for about 26.18% of total assets under management.
Performance and Risk
The ETF has lost about -6.42% and is up roughly 7.28% so far this year and in the past one year (as of 03/18/2026), respectively. QQEW has traded between $106.81 and $146.24 during this last 52-week period.
QQEW has a beta of 1.06 and standard deviation of 17.35% for the trailing three-year period, which makes the fund a medium risk choice in the space. With about 51 holdings, it effectively diversifies company-specific risk .
Alternatives
First Trust NASDAQ-100 Select Equal Weight ETF is a reasonable option for investors seeking to outperform the Style Box - Large Cap Growth segment of the market. However, there are other ETFs in the space which investors could consider.
Vanguard Growth Index Fund ETF Shares (VUG) tracks CRSP U.S. Large Cap Growth Index and the Invesco QQQ (QQQ) tracks NASDAQ-100 Index. Vanguard Growth Index Fund ETF Shares has $194.29 billion in assets, Invesco QQQ has $390.24 billion. VUG has an expense ratio of 0.03% and QQQ changes 0.18%.
Investors looking for cheaper and lower-risk options should consider traditional market cap weighted ETFs that aim to match the returns of the Style Box - Large Cap Growth
Bottom Line
To learn more about this product and other ETFs, screen for products that match your investment objectives and read articles on latest developments in the ETF investing universe, please visit Zacks ETF Center.