To choose a low-cost Nasdaq-100 ETF, compare more than its expense ratio: check current fund fees, trading costs, tracking against its stated benchmark, and how the fund implements the index. QQQM’s Invesco product information for Q1 2026 lists a 0.15% total expense ratio, but that dated figure does not establish that it is the cheapest available fund. Verify current filings and trading data before deciding.
What a Nasdaq-100 ETF owns
The Nasdaq-100 is an index, not an investment fund. An ETF is one way to seek exposure to it; Nasdaq lists QQQ and QQQM among the ways investors can invest in the index (Nasdaq’s Nasdaq-100 investing page). The index is designed to include securities of 100 of the largest domestic and international non-financial companies listed on U.S. exchanges, according to the SEC-filed QQQ/QQQM supplement dated April 30, 2026 (SEC filing). That describes the index’s design; it does not mean an ETF holds exactly 100 securities at every moment.
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Before comparing costs, confirm that each candidate actually seeks to track the Nasdaq-100 and identify the benchmark and implementation approach in its prospectus. Similar names do not by themselves establish identical objectives or results.
Compare the costs that affect your use
The expense ratio is an ongoing fund-level cost, but it is not the full cost of buying and holding an ETF. Invesco identifies bid-ask spreads, trading commissions, and premiums or discounts to net asset value as additional factors (Invesco QQQ product information).
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Expense ratio, waiver, and reimbursement
Use the latest prospectus or official fund materials to record each candidate’s gross and net expense ratios. If a fee waiver or reimbursement lowers the net figure, note its expiration date and terms; a temporary reduction is not necessarily the cost investors will pay after it ends.
For a dated example, Invesco’s Q1 2026 product information reports a 0.15% total expense ratio for QQQM (Invesco QQQM product information). The iShares Nasdaq 100 ETF summary prospectus dated July 8, 2026, refers to a 0.02% fee waiver and/or expense reimbursement, but the available excerpt does not establish the complete net expense ratio or the waiver’s end date (SEC-filed iShares summary prospectus). The waiver figure alone is not the fund’s expense ratio, so it cannot be used to rank the iShares fund against QQQM.
Trading costs and purchase pattern
Bid-ask spread is the difference between the price buyers are willing to pay and sellers are willing to accept. It can affect the cost of each trade, especially if you buy and sell frequently. Check actual market quotes for the time and order size you expect to trade; a spread observed at one moment is not a permanent fund characteristic. Also account for any commission or other charges imposed by your brokerage.
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1Repair Windows errors before they cause bigger problems2Fix the driver behind crashes, sound loss and screen glitches3Clear out junk files and repair common Windows errorsCompare the ETF’s market price with its net asset value. A premium means the market price is above NAV; a discount means it is below. These can change, so check current fund and market information rather than assuming the ETF always trades at NAV. Consider liquidity in relation to your own order size and trading frequency, not just a headline measure of trading activity.
Share price and practical sizing
A lower per-share price may make it easier to invest a particular amount if your account does not support fractional shares. It does not mean the fund is cheaper, undervalued, or a better deal: compare fees and trading costs, not the share price in isolation.
Check tracking and implementation
A fund’s return can differ from its index’s return. Invesco says expenses, transaction costs, unavailable securities, or extraordinary circumstances can contribute to that difference (Invesco QQQ product information). Compare fund and benchmark returns over the same periods, using consistent dates and return conventions. A single short period can be misleading; examine several comparable periods and the fund’s stated objective. Do not treat past performance as a promise of future results.
Also review how the index is maintained and how the ETF seeks to follow it. Nasdaq says it implemented targeted Nasdaq-100 methodology updates on May 1, 2026, after public consultation (Nasdaq methodology consultation results). The SEC-filed QQQ/QQQM supplement also states that changes took effect on that date (SEC filing). The update is relevant when reviewing current index rules; its existence alone does not establish how it will affect future returns.
Use a like-for-like comparison
Build a short comparison from current primary sources rather than ranking funds on a single number. Fill in the same fields for every candidate, and record the date because fees and market conditions can change.
| What to compare | What to check | Why it matters |
|---|---|---|
| Fund objective and benchmark | Prospectus objective, named index, and implementation approach | Confirms the fund offers the exposure you intend to compare. |
| Ongoing fees | Current gross and net expense ratios; waiver or reimbursement terms and end date | Separates ongoing stated fees from temporary reductions. |
| Trading costs | Bid-ask spread at relevant times and order sizes; brokerage commissions or charges | Reflects costs associated with your actual trading pattern. |
| Price versus NAV | Premium or discount when you expect to trade | Market price can differ from the value of the underlying holdings. |
| Liquidity | Current trading conditions in relation to your order size and frequency | Helps assess whether buying or selling is practical for your use. |
| Tracking | Fund-versus-index returns over matching periods, and relevant tracking information disclosed by the fund | Shows how closely the fund has followed its objective historically, without predicting future results. |
| Share price | Whether the per-share amount fits your purchase size and account features | May affect practical sizing, but does not measure investment value. |
The available official examples do not establish a complete current roster of Nasdaq-100 ETFs or comparable market spreads, liquidity, and tracking differences. No universal cheapest fund can be identified from the cited figures alone; a defensible ranking requires current, like-for-like fund filings and market data.
Make the choice fit your situation
Once you have comparable figures, weigh them against how you invest. A long-term investor making infrequent purchases may care most about ongoing fees and tracking over suitable periods; someone trading often should pay closer attention to spreads, commissions, and price-to-NAV conditions at their usual order size. Account costs, tax circumstances, time horizon, and how much Nasdaq-100 exposure you already have can also affect whether a particular ETF fits. This is general information, not individualized financial advice.
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