If you want to invest in US-based technology companies, buying Motilal Oswal Nasdaq 100 ETF units can be a good starting point. You can gain exposure to Nasdaq 100 index stocks through Motilal Oswal Nasdaq 100 ETF (Symbol: MON100), an open-ended fund that tracks the Nasdaq 100 Index. Nasdaq-100 TRI serves as the benchmark for MON100. Subject to tracking error, the objective of the MON100 scheme is to generate an investment return that, before fees and expenses, corresponds to the performance of the Nasdaq 100 Index.
The Nasdaq 100 is a leading technology index for the US stock market. Most top blue-chip global companies like Apple, Amazon, Meta (Parent of Facebook), Alphabet ( Parent of Google), and Tesla, amongst many others, are listed on Nasdaq-100 Index. Apple, Microsoft, Amazon, Nvidia and Alphabet are the top stocks in MON100 with the maximum exposure.
If you have a Demat account with any NSE or BSE brokers, you can start purchasing MON100 units anytime during trading hours.
Also Read: Biggest gainers of S&P 500: Year to date performance
The value of technology stocks has fallen dramatically since early 2022 and stock prices of many tech stocks had fallen like nine-pins. The Nasdaq 100 index was down by nearly 30% in 2022. However, since January 2023, most beaten-down stocks have rebounded and posted big returns to date. The Nasdaq-100 Index is up by almost 16% in 2023 YTD while some of the stocks have gained over 50% since the start of this year.
Any indicator leading to the US Fed being less aggressive will work in favour of the tech companies. The results so far of most tech companies have been mixed with many painting a gloomy outlook in the year ahead. Still, with the valuation coming down from the levels last seen at the fag end of 2021, interest in growth stocks has been emerging among investors. MON 100 is the ETF to consider by someone looking to diversify abroad with US tech stocks.