immagine del profilo
I wonder how the nasdaq100 would have performed over 30 years if it had had the rules of the s&p500 in terms of earnings history etc. Then it probably wouldn't have escalated so much in the .com bubble. Basically, the Nasdaq100 has the same rules as the World, it just happens to be betting on the right sector.
immagine del profilo
@Investor_in_Jogginghose What rules did the Nasdaq not have compared to the s&p 500? Is it different now?
immagine del profilo
@Alexxela In the S&P, companies must have made profits for 4 quarters before inclusion. As far as I know, this is not the case with the Nasdaq. I can still remember that Tesla was not in the index for a long time because of this.
I think the Nasdaq100 is bluntly following Mcap.
Of course, this can be both a blessing and a curse.
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immagine del profilo
@Investor_in_Jogginghose thanks for the explanations 👍
That's a good question ...