Investing

NASDAQ 100 ETF Hedged - Net Assets Importance

  • Last Updated:
  • Apr 3rd, 2019 1:48 pm
[OP]
Jr. Member
Oct 21, 2017
157 posts
15 upvotes

NASDAQ 100 ETF Hedged - Net Assets Importance

When picking a NASDAQ 100 ETF Hedged, should the ETF be picked based on the following criteria? With #1 having more importance than #4.
1. How well the ETF tracks the underlying index
2. Net assets (ETF still being around in 30 years?)
3. MER
4. Inception date

QQC.F - Nasdaq 100 Hedged
-Net assets: $127,603,355
-MER: 0.33%
-Inception date: June 16, 2011

XQQ - Nasdaq 100 Hedged
-Net assets: $434,676,116
-MER: 0.39%
-Inception date: May 3, 2011

Is the net assets value more important than MER if you are planning to hold the ETF for 30+ years? What are the chances of QQC.F not being around in 30 years?
1 reply
Sr. Member
User avatar
Jul 25, 2018
784 posts
1236 upvotes
Milton, ON
MER is definitely #1 if you're comparing apples to apples. Does the ETF have to be hedged? Personally, I would go for QQQ (for USD trades, MER = 0.20%, subject to 15% US withholding tax on dividends even if holding in a TFSA, but not an RRSP) or HXQ.TO (for CAD trades, MER = 0.25%). Maybe someone who is more knowledgeable than me can comment, but I don't think net assets matter and is just a reflection of inflow/outflow of money from individuals/companies which changes depending on market sentiment, need to withdraw/utilize funds, etc.

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