Investing in this Artificial Intelligence exchange-traded fund immediately and maintaining ownership for a decade is advisable due to the expected growth in AI technology.
The Invesco QQQ Trust (QQQ), an exchange-traded fund (ETF) that tracks the Nasdaq-100 Index, is gaining attention as a smart investment option for those interested in the artificial intelligence (AI) trend.
Since its inception in March 1999, QQQ has demonstrated a robust long-term growth, delivering a compound annual return of approximately 13.86%. This performance, driven largely by the technology sector, has been particularly noteworthy over the past decade, where QQQ registered an annualized return of 18.9%.
The ETF, categorised as a large-cap and growth-oriented equity fund focusing on North American technology firms, represents many leading AI companies among its holdings. Its growth style and focus on large-cap technology stocks mean it capitalises on the broad digital transformation, cloud computing, semiconductor advances, and AI applications proliferating across industries.
In Q2 2025, QQQ rose by 17.80%, significantly outperforming the S&P 500's 10.94% total return over the same period. Year-to-date through June 2025, it was up 8.24%, beating the S&P 500 and the Russell 1000 Growth Index. Analysts provide a consensus rating of Moderate Buy for QQQ, with a forecast upside of around 7% based on average price targets, indicating continued confidence in its holdings.
Tesla, a top 10 holding in the Invesco QQQ Trust, is betting on AI to have a profound impact on its autonomous driving system. Other prominent tech companies like Microsoft, Amazon, and Alphabet are also developing their own chips to bolster their cloud platforms. Nvidia, the top stock in the Invesco QQQ Trust, sells powerful graphics processing units that support AI data centers.
With a reasonable total expense ratio of 0.20%, QQQ offers cost-efficient access to this concentrated segment of the market. As of July 10, the Invesco QQQ Trust had $356 billion in assets under management.
In summary, the Invesco QQQ Trust combines historical long-term growth with current strong momentum and exposure to AI and advanced technology leaders. This profile underpins its reputation as a smart buy-and-hold vehicle for investors seeking to participate in the AI revolution through a diversified yet focused ETF structure.
Money investors seeking opportunities in the artificial intelligence (AI) sector might find the Invesco QQQ Trust (QQQ) a strategic choice. This exchange-traded fund (ETF) has demonstrated a robust long-term growth and a notable annualized return over the past decade, primarily due to its focus on North American technology firms. In addition, QQQ's holdings include many leading AI companies, making it an ideal investment for those interested in technology and AI. Furthermore, with a focus on broad digital transformation, cloud computing, semiconductor advances, and AI applications, QQQ offers a concentration on advanced technology, positioning it as a potential smart investment in the business world of the future.
