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Nasdaq 100: A tech-heavy large-cap growth index

Some of the world’s most progressive firms like Apple, Microsoft, Starbucks, Google, Intel, and Tesla are listed on Nasdaq-100.

To a big extent, the US inventory market was instrumental in main the large rebound in world inventory costs in 2020. After the outbreak of the Coronavirus pandemic, with the US Fed pumping within the financial stimulus, the optimism within the restoration course of was overwhelming within the inventory market indices worldwide.

The expertise sector, undoubtedly, was a giant gainer as lockdown restriction labored in favour of the work-from-home firms to extend their attain. And, one inventory market index that displays the general sentiment of the tech-heavy and digital world sooner or later is the Nasdaq 100. No surprise, Nasdaq 100 is up by practically 43 per cent over the past 12 months.

What is supposed by Nasdaq 100

The Nasdaq 100 index since its inception in 1985 is a large-cap development index and consists of 100 of the highest home and worldwide non-financial firms based mostly on market capitalization. The Index displays firms throughout main business teams, together with laptop {hardware} and software program, telecommunications, retail commerce and biotechnology. Noticeably, what it doesn’t embody are the shares of banks and monetary firms, together with funding firms.

What does Nasdaq 100 provide

With greater than 7,000 merchandise linked to this index, the Nasdaq-100 offers traders entry to among the world’s main firms and funding merchandise equivalent to ETFs, Annuities, Options and Futures.

What firms are there in Nasdaq 100

Some of the world’s most progressive firms like Apple, Microsoft, Starbucks, Google, Intel, and Tesla are listed on Nasdaq-100. What are referred to as the FAANG shares — Facebook (FB), Amazon (AMZN), Apple (AAPL), Netflix (NFLX) and Google (GOOGL) — representing substantial market cap, are the highest 5 shares within the Nasdaq 100 index.

New Additions to index

These six firms have been added to the Nasdaq 100 lately – American Electric Power Company, Inc. (Nasdaq: AEP), Marvell Technology Group Ltd. (Nasdaq: MRVL), Match Group, Inc. (Nasdaq: MTCH), Okta, Inc. (Nasdaq: OKTA), Peloton Interactive, Inc. (Nasdaq: PTON), Atlassian Corporation Plc (Nasdaq: TEAM).

These six firms have been faraway from the Index: BioMarin Pharmaceutical Inc. (Nasdaq: BMRN), Citrix Systems, Inc. (Nasdaq: CTXS), Expedia Group, Inc. (Nasdaq: EXPE), Liberty Global plc (Nasdaq: LBTYA/LBTYK), Take-Two Interactive Software, Inc. (Nasdaq: TTWO), Ulta Beauty, Inc. (Nasdaq: ULTA).

How to put money into Nasdaq 100 from India

The excellent news is that not like previously, at present it’s a lot easier and simpler for an Indian investor to put money into the US inventory market or trade-in Nasdaq 100 shares. For this, you simply must open a buying and selling account with a global investing platform.

To open a US inventory market account, which is able to embody a US brokerage account, you may full the account opening course of completely on-line by importing scanned copies of ID and tackle proof. After the account will get opened, you may remit the funds via internet banking of most massive Indian banks. Investing in prime US shares from India has by no means been simpler than this.

What about Nasdaq 100 efficiency

As on December 31, 2020, the Nasdaq 100 (NDX) was at a stage of round 12888.28.  As far because the efficiency goes, with a heavy allocation in direction of top-performing industries equivalent to Technology, Consumer Services, and Health Care, Nasdaq-100 (NDX) has generated practically 46.36 per cent return over the past one yr. The 52-weeks vary for Nasdaq 100 has been 6771.91 – 12925.53.

Given the way in which expertise is influencing the brand new world order, within the days to return, this development is extra prone to prevail. As an Indian investor, it’s higher to diversify globally and add the perfect US shares in 2021 to your portfolio.

Looking to put money into US Stocks? Open a free account with Stockal – India’s first borderless funding platform.

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