What is BetaShares NASDAQ 100 ETF
It’s an offering distributed by BetaShares, one of the biggest ETF providers in Australia. The NASDAQ is an American stock exchange and this particular ETF is invested in 100 shares of the biggest on that exchange.
3 Reasons to like the ETF
Great investments – You don’t need to be invested indirectly in thousands of shares if the biggest 100 are a strong group. BestaShares NASDAQ 100 ETF is invested in shares like Microsoft, Apple, Amazon, Facebook, Alphabet and Netflix. These are (probably) the shares that have changed how we live the most over the past decade or two. They have strong economic models, great moats and very good balance sheets.
Diversification – If you’re invested in an ASX ETF then you probably have a big allocation to Australian-focused banks and resource businesses. For starters it’s a good idea to get exposure to shares listed in overseas markets. Most of the larger shares in BestaShares NASDAQ 100 ETF make money across the world. That’s really good in my opinion.
Well suited to COVID-19 conditions – With plenty of regions still living with a restricted life, it’s the digital businesses like Microsoft, Netflix and so on that is helping people continue to work, learn and be entertained. The growth of the NASDAQ 100 seems almost unstoppable, even during these conditions. These are the types of investments we may want in our portfolios.
Disclosure: Jaz does not own shares of any of the shares mentioned at the time of writing.