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Is Invesco ESG NASDAQ 100 ETF (QQMG) a Strong ETF Right Now?
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The Invesco ESG NASDAQ 100 ETF (QQMG - Free Report) made its debut on 10/27/2021, and is a smart beta exchange traded fund that provides broad exposure to the Style Box - Large Cap Blend category of the market.
What Are Smart Beta ETFs?
The ETF industry has traditionally been dominated by products based on market capitalization weighted indexes that are designed to represent the market or a particular segment of the market.
Market cap weighted indexes offer a low-cost, convenient, and transparent way of replicating market returns, and are a good option for investors who believe in market efficiency.
But, there are some investors who would rather invest in smart beta funds; these funds track non-cap weighted strategies, and are a strong option for those who prefer choosing great stocks in order to beat the market.
Non-cap weighted indexes try to choose stocks that have a better chance of risk-return performance, which is based on specific fundamental characteristics, or a mix of other such characteristics.
Even though this space provides many choices to investors--think one of the simplest methodologies like equal-weighting and more complicated ones like fundamental and volatility/momentum based weighting--not all have been able to deliver first-rate results.
Fund Sponsor & Index
The fund is managed by Invesco. QQMG has been able to amass assets over $201.88 million, making it one of the average sized ETFs in the Style Box - Large Cap Blend. QQMG, before fees and expenses, seeks to match the performance of the NASDAQ-100 ESG INDEX .
The Nasdaq-100 ESG Index measures the performance of companies included in the Nasdaq-100 Index that also meet environmental, social and governance criteria.
Cost & Other Expenses
Expense ratios are an important factor in the return of an ETF and in the long-term, cheaper funds can significantly outperform their more expensive cousins, other things remaining the same.
With on par with most peer products in the space, this ETF has annual operating expenses of 0.20%.
The fund has a 12-month trailing dividend yield of 0.36%.
Sector Exposure and Top Holdings
Even though ETFs offer diversified exposure that minimizes single stock risk, investors should also look at the actual holdings inside the fund. Luckily, most ETFs are very transparent products that disclose their holdings on a daily basis.
QQMG's heaviest allocation is in the Information Technology sector, which is about 60.6% of the portfolio. Its Telecom and Consumer Discretionary round out the top three.
Taking into account individual holdings, Nvidia Corp (NVDA) accounts for about 10.84% of the fund's total assets, followed by Apple Inc (AAPL) and Microsoft Corp (MSFT).
The top 10 holdings account for about 49.09% of total assets under management.
Performance and Risk
Year-to-date, the Invesco ESG NASDAQ 100 ETF has gained about 14.5% so far, and is up roughly 36.55% over the last 12 months (as of 05/20/2026). QQMG has traded between $34.66 $49.85 in this past 52-week period.
The ETF has a beta of 1.22 and standard deviation of 20.22% for the trailing three-year period. With about 94 holdings, it effectively diversifies company-specific risk .
Alternatives
Invesco ESG NASDAQ 100 ETF is an excellent option for investors seeking to outperform the Style Box - Large Cap Blend segment of the market. There are other ETFs in the space which investors could consider as well.
Vanguard ESG U.S. Stock ETF Shares (ESGV) tracks FTSE US ALL CAP CHOICE INDEX and the iShares ESG Aware MSCI USA ETF (ESGU) tracks MSCI USA ESG Focus Index. Vanguard ESG U.S. Stock ETF Shares has $12.8 billion in assets, iShares ESG Aware MSCI USA ETF has $16.99 billion. ESGV has an expense ratio of 0.09% and ESGU changes 0.15%.
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 Blend
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 Invesco ESG NASDAQ 100 ETF (QQMG) a Strong ETF Right Now?
The Invesco ESG NASDAQ 100 ETF (QQMG - Free Report) made its debut on 10/27/2021, and is a smart beta exchange traded fund that provides broad exposure to the Style Box - Large Cap Blend category of the market.
What Are Smart Beta ETFs?
The ETF industry has traditionally been dominated by products based on market capitalization weighted indexes that are designed to represent the market or a particular segment of the market.
Market cap weighted indexes offer a low-cost, convenient, and transparent way of replicating market returns, and are a good option for investors who believe in market efficiency.
But, there are some investors who would rather invest in smart beta funds; these funds track non-cap weighted strategies, and are a strong option for those who prefer choosing great stocks in order to beat the market.
Non-cap weighted indexes try to choose stocks that have a better chance of risk-return performance, which is based on specific fundamental characteristics, or a mix of other such characteristics.
Even though this space provides many choices to investors--think one of the simplest methodologies like equal-weighting and more complicated ones like fundamental and volatility/momentum based weighting--not all have been able to deliver first-rate results.
Fund Sponsor & Index
The fund is managed by Invesco. QQMG has been able to amass assets over $201.88 million, making it one of the average sized ETFs in the Style Box - Large Cap Blend. QQMG, before fees and expenses, seeks to match the performance of the NASDAQ-100 ESG INDEX .
The Nasdaq-100 ESG Index measures the performance of companies included in the Nasdaq-100 Index that also meet environmental, social and governance criteria.
Cost & Other Expenses
Expense ratios are an important factor in the return of an ETF and in the long-term, cheaper funds can significantly outperform their more expensive cousins, other things remaining the same.
With on par with most peer products in the space, this ETF has annual operating expenses of 0.20%.
The fund has a 12-month trailing dividend yield of 0.36%.
Sector Exposure and Top Holdings
Even though ETFs offer diversified exposure that minimizes single stock risk, investors should also look at the actual holdings inside the fund. Luckily, most ETFs are very transparent products that disclose their holdings on a daily basis.
QQMG's heaviest allocation is in the Information Technology sector, which is about 60.6% of the portfolio. Its Telecom and Consumer Discretionary round out the top three.
Taking into account individual holdings, Nvidia Corp (NVDA) accounts for about 10.84% of the fund's total assets, followed by Apple Inc (AAPL) and Microsoft Corp (MSFT).
The top 10 holdings account for about 49.09% of total assets under management.
Performance and Risk
Year-to-date, the Invesco ESG NASDAQ 100 ETF has gained about 14.5% so far, and is up roughly 36.55% over the last 12 months (as of 05/20/2026). QQMG has traded between $34.66 $49.85 in this past 52-week period.
The ETF has a beta of 1.22 and standard deviation of 20.22% for the trailing three-year period. With about 94 holdings, it effectively diversifies company-specific risk .
Alternatives
Invesco ESG NASDAQ 100 ETF is an excellent option for investors seeking to outperform the Style Box - Large Cap Blend segment of the market. There are other ETFs in the space which investors could consider as well.
Vanguard ESG U.S. Stock ETF Shares (ESGV) tracks FTSE US ALL CAP CHOICE INDEX and the iShares ESG Aware MSCI USA ETF (ESGU) tracks MSCI USA ESG Focus Index. Vanguard ESG U.S. Stock ETF Shares has $12.8 billion in assets, iShares ESG Aware MSCI USA ETF has $16.99 billion. ESGV has an expense ratio of 0.09% and ESGU changes 0.15%.
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 Blend
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.