TQQQ is the cleanest, most liquid 3x Nasdaq-100 ETF, with tight spreads and a reasonable 0.82% yearly fee. TQQQ has outperformed QQQ and peers over the past 15 years, driven by a secular tech bull market and recently AI. This made me rethink my approach to leveraged investing. For short-term AI rebound trades, I still favor SOXL over TQQQ; semiconductors capture the most upside if an AI hype cycle is to reignite. Long term, I am considering TQQQ.
ProShares UltraPro QQQ ETF offers significant long-term upside but comes with extreme volatility and risk due to its triple leverage. TQQQ can experience violent drawdowns in volatile markets but historically outperforms indices during recoveries, making pullbacks potential buying opportunities. I am watching for TQQQ to drop to around $90 before turning bullish, expecting big tech and strong earnings to drive future gains.
ProShares UltraPro QQQ is positioned to benefit from accelerating AI spending and major deals in the Data Center industry. TQQQ's portfolio is increasingly concentrated in Magnificent 7 tech stocks, especially Nvidia, Microsoft, and Apple, reflecting strong AI-driven growth. Recent multi-billion-dollar AI deals and explosive Data Center demand signal a favorable backdrop for a robust third-quarter tech earnings season.
| NASDAQ (NMS) Exchange | US Country |
This fund is managed by ProShare Advisors, focusing on achieving daily investment results that correspond to the Daily Target. It is designed for investors seeking consistent daily returns from their investments. The fund specifically targets the performance of the 100 largest domestic and international non-financial companies by market capitalization, as listed on The Nasdaq Stock Market. It's important to note that this fund is non-diversified, meaning it may invest more heavily in fewer sectors or securities, potentially increasing its risk and return profile.
Daily Target Investment Strategy
This strategy focuses on generating returns that match the Daily Target through investments in a select portfolio of financial instruments. ProShare Advisors use their expertise to select investments that, when combined, aim to achieve the desired daily outcomes. This approach is suitable for investors looking for predictable short-term returns from their investment.
Non-Financial Companies Index Fund
The fund invests in 100 of the largest domestic and international non-financial companies based on market capitalization, as determined by The Nasdaq Stock Market listings. This investment focus allows the fund to target the robust growth potential of major non-financial companies, making it an appealing option for investors seeking exposure to leading companies in various industries excluding the financial sector.