BlackRock Set to Introduce Nasdaq-100 ETF, Competing with Invesco’s Lead Amid Rising AI-Driven Demand

BlackRock announced on Tuesday its plans to launch an exchange-traded fund that will track the Nasdaq-100 index, which is heavily weighted in technology stocks, aiming to meet the growing investor interest in the AI-driven stock market surge.

The iShares Nasdaq 100 ETF, provided by the world’s largest asset manager, will mirror the flagship U.S. index and is set to begin trading under its ticker symbol on Thursday, shortly after the Nasdaq updated its criteria to expedite the inclusion of newly listed companies like SpaceX.

This ETF from BlackRock will directly compete with Invesco’s established Nasdaq-100 offerings, which have long held a significant share in the market for investors looking for large-cap growth and technology-centric stocks via its QQQ Trust Series 1 and Nasdaq 100 ETFs. Just last month, State Street also introduced a Nasdaq 100 ETF.
”IQQ strengthens our capability to provide investors with access to the Nasdaq-100 through iShares ETFs — offering complementary strategies that help them align their portfolios with their goals,” stated Elise Terry, U.S. head of iShares at BlackRock.

Heightened investor interest in large-cap and tech-focused stocks allowed the Nasdaq 100 to achieve its best quarterly performance since April 2020 in the three months that concluded in June. This index encompasses the top 100 non-financial firms listed on the Nasdaq stock exchange.

The iShares Nasdaq 100 ETF will commence trading with an initial net asset value (NAV) of $24 per share. In contrast, the NAVs of Invesco’s funds stand at $722.45 and $297.45, respectively.

Currently, BlackRock manages over $41 billion in assets across its other Nasdaq 100 strategies, including the iShares Nasdaq Top 30 Stocks ETF and the iShares Nasdaq Premium Income Active ETF.