QQQM ETF Guide: Invesco NASDAQ 100 ETF - Holdings, Expenses, and Investment Fit

By Michael Ashley

Banking and asset-management professional with 20+ years of experience across retail banking, commercial banking, investment banking, and performance reporting.

Last updated: March 25, 2026

Richiest’s Read

Quick take: QQQM tracks the Nasdaq-100 Index with a lower 0.15% expense ratio, providing exposure to the 100 largest non-financial companies listed on the Nasdaq. It's Invesco's lower-cost alternative to QQQ, using modified equal-weighting to reduce concentration risk.

QQQM (Invesco NASDAQ 100 ETF) - Expense ratio: 0.15%, Inception: 2021, AUM: $15B+

QQQM offers the same Nasdaq-100 exposure as QQQ but at a lower cost and with modified equal-weighting that gives smaller companies more weight.

This content is for informational and educational purposes only and is not personalized investment advice.

QQQM Explained: What It Is and Why It Matters

QQQM (Invesco NASDAQ 100 ETF) is Invesco's lower-cost alternative to QQQ, launched in 2021 to compete with the original Nasdaq-100 ETF. It tracks the Nasdaq-100 Index using modified equal-weighting methodology, which gives smaller companies in the index more weight than the market-cap-weighted QQQ. This approach can reduce concentration risk in the largest tech stocks.

Investors choose QQQM for:

Lower cost: At 0.15%, QQQM offers a 25% cost savings compared to QQQ's 0.20%.
Reduced concentration: Modified equal-weighting gives smaller companies more weight, potentially reducing reliance on the top 5-10 stocks.
Same Nasdaq-100 exposure: QQQM holds the same 100 stocks as QQQ, providing identical sector exposure.
Passive management: Tracks its index with modified equal-weighting, ensuring exposure to the full Nasdaq-100.

Invesco manages QQQM using a modified equal-weighting strategy, where all companies are assigned the same weight at rebalancing, but with caps to prevent any single stock from dominating.

Methodology note: This review combines sponsor materials, public fund documents, market data, and editorial analysis. Holdings, yields, expense ratios, and distributions can change over time, so verify current details with the fund sponsor before making decisions.

Ticker Symbol	Asset Class	Strategy	Payment Frequency	Expense Ratio	Sponsor
QQQM	Nasdaq-100 ETF	Passive Index Tracking (Modified Equal-Weighted)	Quarterly	0.15%	Invesco

QQQM: The Good, The Bad, and The Steady

QQQM's appeal lies in its lower cost and reduced concentration compared to QQQ, but it's a newer fund with less track record and lower liquidity.

Pros	Cons
Lower cost: At 0.15%, QQQM offers a 25% cost savings compared to QQQ's 0.20%.	Newer fund: Launched in 2021, QQQM has a shorter track record than QQQ's 1999 inception.
Reduced concentration: Modified equal-weighting gives smaller companies more weight, potentially reducing reliance on the top 5-10 stocks.	Lower liquidity: With $15B+ in assets, QQQM is significantly smaller than QQQ's $220B+, which could affect liquidity in extreme market conditions.
Same sector exposure: QQQM holds the same 100 stocks as QQQ, providing identical sector exposure.	Modified weighting: The equal-weighting approach changes the risk profile compared to QQQ, which may not appeal to all investors.
Passive management: Tracks its index with modified equal-weighting, ensuring exposure to the full Nasdaq-100.	Higher cost than broad market: At 0.15%, QQQM's expense ratio is still higher than VTI's 0.03% or SCHB's 0.06%.

Who Should Consider QQQM?

QQQM is ideal for cost-conscious investors seeking Nasdaq-100 exposure with reduced concentration risk. It works as a satellite position in a diversified portfolio or as a standalone tech exposure option for those who prefer modified equal-weighting.

Best for: cost-conscious investors, those who prefer reduced concentration risk, and investors wanting lower-cost Nasdaq-100 exposure.
Not ideal for: investors who prioritize massive liquidity and proven track record over cost savings, or those who want exposure to value or dividend-focused strategies.
Main tradeoff: you get lower costs and reduced concentration compared to QQQ, but accept a newer fund with less track record and lower liquidity.

Cost-Sensitive Growth Portfolio

Use QQQM as a lower-cost alternative to QQQ for tech exposure. The 25% cost savings can add up over time, especially for long-term investors. The modified equal-weighting may also provide diversification benefits within the Nasdaq-100.

Growth Allocation Strategy

Use QQQM as the growth component of a balanced portfolio. Combine it with value ETFs, international funds, and bonds to create a diversified allocation that benefits from tech leadership at lower cost.

Technology Bull Market

Use QQQM when you expect technology and growth stocks to outperform but want reduced concentration risk compared to QQQ. The modified equal-weighting may provide better performance if smaller tech companies outperform the mega-caps.

Common Use Cases

Lower-cost tech satellite: Allocate 10-20% of your equity portfolio to QQQM for tech exposure at lower cost than QQQ.
Concentration reduction: Use QQQM when you want Nasdaq-100 exposure but want to reduce reliance on the largest tech stocks.
Long-term growth accumulation: Invest regularly in QQQM for long-term exposure to tech leadership at lower cost, accepting the newer fund's shorter track record.

QQQM - Price / Yield

Current market snapshot

QQQM Technical Details

QQQM (Invesco NASDAQ 100 ETF) trades on the NASDAQ and tracks the Nasdaq-100 Index using a modified equal-weighting strategy. The ETF is structured as an open-end fund, offering continuous creation and redemption of shares through authorized participants.

Ticker Symbol	QQQM
Exchange	NASDAQ
Inception Date	January 22, 2021
Assets Under Management (AUM)	$15B+ (as of March 2026)
Underlying Index	Nasdaq-100 Index
Number of Holdings	103 stocks (as of March 2026)
Expense Ratio	0.15%
Distribution Frequency	Quarterly
Dividend Yield	Approximately 0.6% (lower than broad market due to growth focus)
Weighting Methodology	Modified equal-weighting (all stocks weighted equally at rebalancing, with caps)
Top Holdings	Apple (~4%), Microsoft (~4%), NVIDIA (~4%), Amazon (~4%), Alphabet (~4%)

Understanding QQQM's Income

QQQM distributes dividends quarterly, reflecting the underlying dividends from its holdings. Because the fund is dominated by growth companies that reinvest profits rather than pay dividends, the yield is typically lower than broad market funds - usually between 0.5% and 0.8%. Most investors reinvest distributions to compound growth in the tech leaders.

For the most current yield, distribution history, and official fund documents, use the sponsor page:

Visit the Official Invesco ETF Page

QQQM - Chart

Price action over time

QQQM vs. The Competition: A Quick Look

The real decision is whether QQQM's lower cost (0.15%) and modified equal-weighting justify choosing it over QQQ's massive liquidity and proven track record. Both offer the same Nasdaq-100 exposure but with different cost and weighting structures.

QQQM is usually the best choice for cost-conscious investors who prefer modified equal-weighting and don't need the massive liquidity of QQQ. If you prioritize the proven track record and extreme liquidity of the original Nasdaq-100 ETF, QQQ remains the gold standard.

Feature	QQQM	QQQ	VTI
What it holds	Nasdaq-100 (103 stocks, modified equal-weighted)	Nasdaq-100 (103 stocks, market-cap weighted)	CRSP US Total Market (4,000 stocks)
Why you might choose it	Lower cost (0.15% vs 0.20%) and modified equal-weighting that gives smaller companies more weight.	Massive $220B+ AUM, extreme liquidity, proven track record since 1999. The original Nasdaq-100 ETF.	Broad market diversification at dirt-cheap 0.03%, not tech-focused but more stable.
Tradeoff	Newer fund (2021) with less track record, lower liquidity, modified weighting changes the risk profile.	Higher cost than QQQM, more concentration in the largest tech stocks.	No targeted tech exposure, but broad diversification across all sectors and sizes.

For the most current yields and expense ratios of these ETFs, please check a reliable financial data provider like ETFdb.com, Yahoo Finance, or the individual fund sponsor websites:

Invesco Vanguard

The Richiest.com Final Verdict: Is QQQM Right For You?

QQQM delivers the same Nasdaq-100 exposure as QQQ but at a lower 0.15% expense ratio and with modified equal-weighting that reduces concentration risk. If you're cost-conscious and prefer less reliance on the largest tech stocks, QQQM is an excellent choice.

QQQM is not the right choice if you prioritize the massive liquidity and proven track record of QQQ, or if you want broad market diversification. For the original Nasdaq-100 ETF with the longest track record, QQQ remains the gold standard. For broad market diversification, VTI or SCHB are better choices.