If You'd Invested $1,000 in the Invesco QQQ Trust 10 Years Ago, Here's How Much You'd Have Today

Source The Motley Fool

Key Points

  • An investment in the Invesco QQQ Trust would have produced total returns over 500% in a decade.

  • The strong performance has been largely driven by mega-cap technology stocks.

  • The Invesco QQQ Trust has beaten the S&P 500 by more than 200 percentage points in 10 years.

  • 10 stocks we like better than Invesco QQQ Trust ›

If you're familiar with the emergence of trillion-dollar technology companies over the past decade, you might think that the Nasdaq-100 index has been a great place to invest. And you'd be right.

Over the past 10 years, a $1,000 investment in the Invesco QQQ Trust (NASDAQ: QQQ) -- an exchange-traded fund (ETF) that tracks the Nasdaq-100-would have grown to $6,280. That a remarkable 20.2% annualized total return. Not only that, but the Nasdaq-100 has also outperformed the S&P 500 benchmark index by 218 percentage points over that period.

Where to invest $1,000 right now? Our analyst team just revealed what they believe are the 10 best stocks to buy right now. Continue »

VOO Total Return Price Chart

VOO Total Return Price data by YCharts

Why has the Invesco QQQ Trust performed so well?

In a nutshell, the Invesco QQQ Trust tracks a benchmark index, the Nasdaq-100, which has performed incredibly well over the past decade. And as a weighted index, it has a disproportionate level of exposure to the largest technology companies in the world. In fact, the "Magnificent Seven" represent just 7% of the companies in the index, but accounts for 42% of the ETF's assets. Nvidia (NASDAQ: NVDA) and Microsoft (NASDAQ: MSFT), the top two holdings, each account for about 9%.

Computing equipment.

Image source: Getty Images.

This also explains the outperformance versus the S&P 500, which has delivered historically excellent returns itself. While all of the large-cap tech stocks in the Nasdaq-100 are also components of the S&P 500, they make up a larger weight due to the more concentrated portfolio. For example, Nvidia makes up 9.2% of the Invesco QQQ ETF but less than 8.1% of the Vanguard S&P 500 ETF (NYSEMKT: VOO).

Now, it remains to be seen whether the Invesco QQQ ETF will deliver such strong performance over the next 10 years. But with the AI boom and several other exciting trends to watch, it could certainly be an interesting index fund to watch.

Should you invest $1,000 in Invesco QQQ Trust right now?

Before you buy stock in Invesco QQQ Trust, consider this:

The Motley Fool Stock Advisor analyst team just identified what they believe are the 10 best stocks for investors to buy now… and Invesco QQQ Trust wasn’t one of them. The 10 stocks that made the cut could produce monster returns in the coming years.

Consider when Netflix made this list on December 17, 2004... if you invested $1,000 at the time of our recommendation, you’d have $661,268!* Or when Nvidia made this list on April 15, 2005... if you invested $1,000 at the time of our recommendation, you’d have $1,045,818!*

Now, it’s worth noting Stock Advisor’s total average return is 1,047% — a market-crushing outperformance compared to 184% for the S&P 500. Don’t miss out on the latest top 10 list, available when you join Stock Advisor.

See the 10 stocks »

*Stock Advisor returns as of August 25, 2025

Matt Frankel has positions in Vanguard S&P 500 ETF. The Motley Fool has positions in and recommends Microsoft, Nvidia, and Vanguard S&P 500 ETF. The Motley Fool recommends the following options: long January 2026 $395 calls on Microsoft and short January 2026 $405 calls on Microsoft. The Motley Fool has a disclosure policy.

Disclaimer: For information purposes only. Past performance is not indicative of future results.
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