Morningstar Rating

ETF Research and Analysis

by Robert Goldsborough
PowerShares QQQ ETF QQQ offers a large helping of large-cap growth stocks with a strong tilt toward the technology sector. As a result, the fund has large weightings in firms such as Apple AAPL, Microsoft MSFT,   Read more 

Bull Case

This ETF offers significant exposure to tech industry behemoths such as Apple, Microsoft, Alphabet, and Facebook while at the same time providing some diversification.
This ETF is one of the most actively traded securities on the market, and its holdings are also very liquid. Thus, bid-ask spreads should remain tight and tracking error should remain negligible. Read more 

Bear Case

This fund's top-heavy construction has contributed to above-average volatility over time.
Investors who use ETFs as long-term portfolio building blocks may find this fund difficult to use because of its unusual sector weightings.
If technology spending wanes, the firms in this ETF will suffer. Read more 

This Strategic Beta ETF Ticks a Lot of Boxes 
Watch more 

Premium Membership

View all of our analyst reports with a free trial to Premium.