Ever heard someone say “the NASDAQ”??https://abs.twimg.com/emoji/v2/... draggable="false" alt="👀" title="Augen" aria-label="Emoji: Augen">

What is it?https://abs.twimg.com/emoji/v2/... draggable="false" alt="🤔" title="Denkendes Gesicht" aria-label="Emoji: Denkendes Gesicht">

Can you buy it?https://abs.twimg.com/emoji/v2/... draggable="false" alt="🤷🏼‍♂️" title="Achselzuckender Mann (mittelheller Hautton)" aria-label="Emoji: Achselzuckender Mann (mittelheller Hautton)">

Sit back, get your pen https://abs.twimg.com/emoji/v2/... draggable="false" alt="🖊" title="Kugelschreiber unten links" aria-label="Emoji: Kugelschreiber unten links">, and take some notes https://abs.twimg.com/emoji/v2/... draggable="false" alt="📝" title="Memo" aria-label="Emoji: Memo">

Time to learn https://abs.twimg.com/emoji/v2/... draggable="false" alt="🧠" title="Gehirn" aria-label="Emoji: Gehirn">!

(thread)

The NASDAQ is both a stock exchange, as well as an index https://abs.twimg.com/emoji/v2/... draggable="false" alt="🤯" title="Explodierender Kopf" aria-label="Emoji: Explodierender Kopf">

The NASDAQ is a more technology based exchange, compared to the NYSE

For the sake of this thread, I am going to focus on the index portion of the NASDAQ

Remember, none of this is investing advice!

There are 2 major indexes that come from the NASDAQ

https://abs.twimg.com/emoji/v2/... draggable="false" alt="1️⃣" title="Tastenkappe Ziffer 1" aria-label="Emoji: Tastenkappe Ziffer 1"> NASDAQ composite
https://abs.twimg.com/emoji/v2/... draggable="false" alt="2️⃣" title="Tastenkappe Ziffer 2" aria-label="Emoji: Tastenkappe Ziffer 2"> NASDAQ 100

Both of these include both American companies, as well as companies incorporated outside of the United Stateshttps://abs.twimg.com/emoji/v2/... draggable="false" alt="😯" title="Schweigendes Gesicht" aria-label="Emoji: Schweigendes Gesicht">

I’ll go into each of them in the following tweetshttps://abs.twimg.com/emoji/v2/... draggable="false" alt="👀" title="Augen" aria-label="Emoji: Augen">

The NASDAQ composite is made up of more than 2,500+ stocks traded on the exchange https://abs.twimg.com/emoji/v2/... draggable="false" alt="😳" title="Errötetes Gesicht" aria-label="Emoji: Errötetes Gesicht">

Often referred to as just “the NASDAQ”

What are some of the stocks that make up the NASDAQ composite??

Here is a short list (there are 2,500+... that would make for a long listhttps://abs.twimg.com/emoji/v2/... draggable="false" alt="😉" title="Zwinkerndes Gesicht" aria-label="Emoji: Zwinkerndes Gesicht">)

$FLWS https://abs.twimg.com/emoji/v2/... draggable="false" alt="🌸" title="Kirschblüte" aria-label="Emoji: Kirschblüte">
$ALGT https://abs.twimg.com/emoji/v2/... draggable="false" alt="✈️" title="Flugzeug" aria-label="Emoji: Flugzeug">
$ABCB https://abs.twimg.com/emoji/v2/... draggable="false" alt="🏦" title="Bank" aria-label="Emoji: Bank">
$BJRI https://abs.twimg.com/emoji/v2/... draggable="false" alt="🥘" title="Flache Pfanne mit Essen" aria-label="Emoji: Flache Pfanne mit Essen">
$AMZN https://abs.twimg.com/emoji/v2/... draggable="false" alt="🧸" title="Teddy bear" aria-label="Emoji: Teddy bear">
$BSVN https://abs.twimg.com/emoji/v2/... draggable="false" alt="🏦" title="Bank" aria-label="Emoji: Bank">
$TSLA https://abs.twimg.com/emoji/v2/... draggable="false" alt="🚙" title="Wohnmobil" aria-label="Emoji: Wohnmobil">
$AAPL https://abs.twimg.com/emoji/v2/... draggable="false" alt="🍏" title="Grüner Apfel" aria-label="Emoji: Grüner Apfel">
$ZM https://abs.twimg.com/emoji/v2/... draggable="false" alt="📹" title="Videokamera" aria-label="Emoji: Videokamera">
$AAL https://abs.twimg.com/emoji/v2/... draggable="false" alt="✈️" title="Flugzeug" aria-label="Emoji: Flugzeug">
$AIMT https://abs.twimg.com/emoji/v2/... draggable="false" alt="💊" title="Tablette" aria-label="Emoji: Tablette">

2,500+ companies is A LOT to choose from

So you can also invest into some index funds that mimic the NASDAQ composite

Here are a few:

$ONEQ
$FNCMX

(there aren’t many index funds for the NASDAQ composite)https://abs.twimg.com/emoji/v2/... draggable="false" alt="☹️" title="Stirnrunzelndes Gesicht" aria-label="Emoji: Stirnrunzelndes Gesicht">

But don’t worry, there’s more!

The NASDAQ 100 is another index based off of the NASDAQ

This index includes stocks of the 100 largest non-finance companies on the exchange

These 100 companies make up more than 90% of the weight of the NASDAQ composite indexhttps://abs.twimg.com/emoji/v2/... draggable="false" alt="😳" title="Errötetes Gesicht" aria-label="Emoji: Errötetes Gesicht">

As of June 2020, majority of the NASDAQ 100 is made up of technology related stocks

But companies can be added or removed each year depending on their market value

Look at thishttps://abs.twimg.com/emoji/v2/... draggable="false" alt="👇🏻" title="Rückhand Zeigefinger nach unten (heller Hautton)" aria-label="Emoji: Rückhand Zeigefinger nach unten (heller Hautton)">https://abs.twimg.com/emoji/v2/... draggable="false" alt="👇🏻" title="Rückhand Zeigefinger nach unten (heller Hautton)" aria-label="Emoji: Rückhand Zeigefinger nach unten (heller Hautton)">

What are some of the companies in the NASDAQ 100?

$AAPL https://abs.twimg.com/emoji/v2/... draggable="false" alt="🍏" title="Grüner Apfel" aria-label="Emoji: Grüner Apfel">
$MSFT https://abs.twimg.com/emoji/v2/... draggable="false" alt="💻" title="Computer" aria-label="Emoji: Computer">
$TSLA https://abs.twimg.com/emoji/v2/... draggable="false" alt="🚘" title="Entgegenkommendes Auto" aria-label="Emoji: Entgegenkommendes Auto">
$TMUS https://abs.twimg.com/emoji/v2/... draggable="false" alt="📱" title="Mobiltelefon" aria-label="Emoji: Mobiltelefon">
$SBUX https://abs.twimg.com/emoji/v2/... draggable="false" alt="☕️" title="Heißgetränk" aria-label="Emoji: Heißgetränk">
$ATVI https://abs.twimg.com/emoji/v2/... draggable="false" alt="🎮" title="Videospiel" aria-label="Emoji: Videospiel">
$MAR https://abs.twimg.com/emoji/v2/... draggable="false" alt="🏨" title="Hotel" aria-label="Emoji: Hotel">
$COST https://abs.twimg.com/emoji/v2/... draggable="false" alt="🛒" title="Shopping cart" aria-label="Emoji: Shopping cart">
$FB https://abs.twimg.com/emoji/v2/... draggable="false" alt="📲" title="Mobiltelefon mit nach rechts zeigendem Pfeil auf der linken Seite" aria-label="Emoji: Mobiltelefon mit nach rechts zeigendem Pfeil auf der linken Seite">
$GOOG https://abs.twimg.com/emoji/v2/... draggable="false" alt="🔍" title="Nach links zeigende Lupe" aria-label="Emoji: Nach links zeigende Lupe">

But what if you want an index fund that mimics the NASDAQ 100??

Here are a couple:

$QQQ
$USNQX

(not many here eitherhttps://abs.twimg.com/emoji/v2/... draggable="false" alt="☹️" title="Stirnrunzelndes Gesicht" aria-label="Emoji: Stirnrunzelndes Gesicht">)

Remember, just because a stock is on a major index, doesn’t mean it is a good or bad investment!

Always do your research when investing!

With that being said...

The trailing 10 yr average of the NASDAQ composite index (according to Morningstar) is

18.74%

This makes sense, because of the tech heavy weighted portionhttps://abs.twimg.com/emoji/v2/... draggable="false" alt="🔥" title="Feuer" aria-label="Emoji: Feuer">

I hope you enjoyed reading this thread and learned something new on investing!!!

I want to shout out @BWPFinance for giving me this idea to make a thread on!

Give him a follow!!

Tomorrow may be a thread on another HUGE indexhttps://abs.twimg.com/emoji/v2/... draggable="false" alt="👀" title="Augen" aria-label="Emoji: Augen">

Let’s connect! Send me a DM!

@DecadeInvestor