First Trust NASDAQ-100-Technology Sector Index Fund Price & Performance (QTEC)

The First Trust NASDAQ-100 Ex-Technology Sector ETF (QQXT) has come under scrutiny for its high expense ratio of 0.60% and underwhelming performance. Despite excluding technology stocks to reduce risk, the fund has failed to deliver strong returns, with analysts questioning its value proposition for investors seeking diversification.12

The Nasdaq-100 has demonstrated significant volatility over the years, with a recent 139% surge followed by a sharp decline of one-third in 2023. The index, dominated by technology giants, remains a benchmark for growth, though its swings highlight the risks associated with tech-heavy portfolios.34

Two Vanguard ETFs, VGT and MGK, are projected to outperform the Nasdaq-100 this year. VGT’s focus on mega-cap tech stocks like Nvidia and Apple, coupled with its low expense ratio of 0.09%, makes it a strong contender. Meanwhile, MGK offers broad diversification with a 0.07% expense ratio.35