If we learned one thing from 2020’s markets, it’s that innovation takes its time — until it overwhelms us with a flood of new ideas all at once. Market disruption changes how we interact with the world, and the global pandemic has left traditional sector approaches to the market in tatters. But every element of disruption presents opportunities if you know where to look.
In the upcoming webcast, Breaking the Mold: Approaching Innovation as a Fundamental Factor, Ryan McCormack, Factor & Core Equity Strategist, Invesco; and Brian Levitt, Global Market Strategist, Invesco, will show how the innovation economy will drive performance in 2021 and discuss the potential hurdles innovative companies may face under a Biden administration.
For example, the popularly observed Invesco QQQ Trust (NASDAQ: QQQ), which tracks the Nasdaq-100, 100 of the largest domestic and international nonfinancial companies listed on the Nasdaq Stock Market, has been the go-to play to access some of the largest innovative companies in the U.S. markets.
Short-term investors who prioritize liquidity could still find the attributes of QQQ most appropriate; however, longer-term ‘buy-and-hold’ investors may be more focused on cost-savings and prefer the Invesco NASDAQ 100 ETF (QQQM), which costs 5 basis points less than QQQ.
Additionally, both longer- and shorter-term investors looking for exposure to the next generation of innovative companies to be listed on the Nasdaq may opt for the Invesco NASDAQ Next Gen 100 ETF (QQQJ). QQQJ extends this concept further by offering access to the ‘next 100’ non-financial companies listed on the Nasdaq outside of the NASDAQ-100 Index, offering a mid cap alternative to the NASDAQ-100.
The combined QQQ-related offerings are part of Invesco’s new Innovation Suite. By providing different investment structures and different exposures, the Invesco QQQ Innovation Suite acts as a ‘one stop shop’ for the NASDAQ-100 companies, plus exposure to the next 100 up-and-coming innovators. This expansion will ultimately enable investors to tilt their investment exposure towards the attributes – including varying investment time horizons, share price, and liquidity needs – they most value for their investment goals.
Financial advisors who are interested in learning more about innovative investment ideas can register for the Tuesday, February 9 webcast here.