Key insights
- An investor is considering shifting from QQQ due to concerns about upcoming changes to the index's inclusion criteria, specifically the fast-tracking of newly listed companies. They are exploring the iShares S&P 500 Information Technology Sector UCITS ETF as an alternative, preferring its pure technology focus over QQQ's inclusion of companies like Amazon and Meta. This reflects a potential shift in investment strategy away from broader tech indices towards more narrowly defined technology plays, which could slightly negatively impact QQQ.
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?