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INVESCO POWERSHARES QQQ TRUST
SERIES 1
POWERSHARES QQQ TRUST SERIES 1 IS AN EXCHANGE-TRADED FUND
INCORPORATED INTHE USA. THE ETF TRACKS THE PERFORMANCE OF
THE NASDAQ 100 INDEX. THE ETF HOLDS LARGE CAP U.S. STOCKS. ITS
INVESTMENTS EXCLUDE THE FINANCIAL SECTOR AND THEREFORE, TEND
TO BE FOCUSED ON THE TECHNOLOGY AND CONSUMER SECTOR. THE
ETF WEIGHTS THE HOLDINGS USING A MARKET CAPITALIZATION
METHODOLOGY.
NOVEMBER 12, 2015
ISIN:US73935A1043
SEDOL: 2402433
CUSIP: 73935A104
Group 18: Andy Voong, Mengyuan Tang and Hossein Goudarzi
QUEEN MARY UNIVERSITY OF LONDON
MileEnd Road, London, E1 4NS
1
QUMMIF Investment Club |2015-2014. All rights reserved www.qummif.org
0 10 20 30 40
Communications
Consumer, Cyclical
Consumer, Non-cyclical
Industrial
Technology
MARK E T B RE AK D OW N
0 20 40 60 80 100
US
China
UK
Singapore
Netherlands
Israel
Switzerland
G EOG RAPHICAL BREAKDOW N
Net of Fees Benchmark
Tracking
Error
Correlation Beta R2
3 months 1.4% 1.1% 0.8% 1.00 - -
1 year 13.0% 11.8% 0.7% 1.00 1.00 1.00
3 years 22.0% 20.6% 0.7% 1.00 0.99 1.00
5 years 18.1% 17.0% 0.7% 1.00 0.99 1.00
Inception 5.5% 5.1% 5.7% 0.97 0.96 0.95
Volatility 360D 14.07 16.48 - - - -
Clear Investment
Strategy
Actively Managed N
Replication Strategy Full
Leverage N
Securities Lending N
Proven 3rd Party
Index used as
Benchmark
NASDAQ 100 TOTAL
RETURN
Benchmark Ticker: XNDX Index
The NASDAQ-100 Index is a modified
capitalization-weighted index of the 100
largest and most active non-financial
domestic and international issueslisted on
the NASDAQ.
Sub-Fund Facts
Market price ($) 110.05
Sub-Fund AUM
($Billion)
42.35
Inception Date: 10/03/1999
Min. Investment: 0
Turnover: (%) 15
Average Bid Ask
Spread (%)
0.01
Expenses (%)
TER (%) 0.20
Investment Type Growth, Large-Cap
Fundamentals
Dividend 12 month
Yield (%)
1.02
Number of Holdings 109
Dividend Net 3yr
Growth Rate
23.05
P/B ratio 4.89
Outstanding Shares
(mln)
374.3
Sharpe ratio 1yr 0.76
P/E ratio 20.95
Average Volume 30d
(shares, mln)
31.9
Average Volume 3
Months (USD)
2,943,550,750.48
Implied Liquidity (mln) 13.412
Exchange Domicile
NASDAQ GM US
Bloomberg Currency
QQQ US equity USD
Outstanding Shares
(mln)
374.3
52 Week High 115.47
52 Week Low 84.74
10,000
20,000
30,000
40,000
50,000
50
100
150
200
250
Dec2005
Dec2006
Dec2007
Dec2008
Dec2009
Dec2010
Dec2011
Dec2012
Dec2013
Dec2014
AUM($mln)
EfficiencyAUM
QQQ US equity
NDX Index
POWERSHARES QQQ TRUST SERIES
2
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Contents
POWERSHARES QQQ TRUST SERIES ............................................................................................... 1
Overview .....................................................................................................................................3
Industry Overview..................................................................................................................... 3
Advantages of an ETF................................................................................................................ 4
Powershares QQQ Trust Series 1...................................................................................................4
Comparative Analysis................................................................................................................ 5
Fundamental Analysis................................................................................................................... 7
Business Cycle Analysis.............................................................................................................. 7
Market Breakdown................................................................................................................... 8
Company breakdown................................................................................................................ 8
Geographical Breakdown ..........................................................................................................9
Seasonality Comparison............................................................................................................ 9
Risk Assessment......................................................................................................................... 10
Volatility................................................................................................................................. 10
Sector and Company Concentration......................................................................................... 10
Market Risk............................................................................................................................ 10
Macro Risk ............................................................................................................................. 10
Currency Risk.......................................................................................................................... 11
Technical Analysis....................................................................................................................... 12
Moving Averages.................................................................................................................... 12
Relative Strength Index........................................................................................................... 12
MACD .................................................................................................................................... 13
Bollinger Bands....................................................................................................................... 13
Monte Carlo Simulation .......................................................................................................... 14
Fibonacci Retracement............................................................................................................ 14
Recommendations:................................................................................................................. 15
Conclusion ................................................................................................................................. 15
Appendix.................................................................................................................................... 16
Table 1................................................................................................................................... 16
Table 2................................................................................................................................... 16
Table 3................................................................................................................................... 17
Profitability of Top 10 Companiesin Fund ................................................................................ 17
Descriptions ........................................................................................................................... 18
References................................................................................................................................. 19
Premium to NAV 0.03%
3
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Overview
Industry Overview
In comparisontoMutual funds,the ETF industryisstill veryyoung.The firstETFwasintroducedin
1993. The US ETF marketleads the waywith1,411 differentfundsandnearly $2 trillionin assets
undermanagementatthe endof 2014 and accounts for around73% of the Global ETF assets.1
2
1 http://www.icifactbook.org/fb_ch3.html#what
2
ETFs have become verypopularoverthe past10 years.Thisisdue to the relative performance of
equity,bondandcommoditymarkets.GainsinmajorUS stockindexesanddeclininglongterm
interestrateshave made itrelativelyattractive forinvestorsto accessthese markets;whichincludes
buyingETFsthat primarilytrackswithan index.
0
0.5
1
1.5
2
2.5
2003 2004 2005 2006 2007 2008 2009 2010 2011 2012 2013 2014
US Net ETF Assets (USD, Trillions)
0 10 20 30 40 50 60 70 80
United States
Europe
Africa and Asia-Pacific
Other Americas
Global ETF Market Distribution (%)
4
QUMMIF Investment Club |2015-2014. All rights reserved www.qummif.org
Advantages of an ETF
- Diversification
- Relativelysimple methodtogain exposure todifferent markets3
- Cost effective forbuy-and-holdstrategies
- Recommendbuyingandholdingtoavoidlarge commissionfeesfrombrokers
- Usuallyhave nominimuminvestment
- Trade Flexibilitywhichisideal fornon-institutionalinvestors4
Powershares QQQ Trust Series 1
5
3 i.e. Instead of havingto investin many individual stocks in a country,you can purchasea fund that tracks an
underlyingindex to gain exposure to a foreign market. The Powershares QQQ Trust Series 1 ETF tracks closely
with the NASDAQ 100 Stock Index in the US. In fact, the benchmark index is the NASDAQ 100 Total Returns
Index.
4 http://www.investopedia.com/articles/mutualfund/05/etfindexfund.asp
5 Data acquired for the period 12/11/2000 to 12/11/2015.
0
5
10
15
20
25
30
35
40
45
50
2000
2001
2002
2003
2004
2005
2006
2007
2008
2009
2010
2011
2012
2013
2014
2015
FundTotalAssets(USD,Billions)
QQQ US Equity Asset UnderManagement
40
50
60
70
80
90
100
110
120
Jan 2010 Jan 2011 Jan 2012 Jan 2013 Jan 2014 Jan 2015
0
50
100
150
200
250
300
QQQUSEquityPrice
Volume(Millions,USD)
QQQ Equity Price and Volume
Volume (USD, millions)
QQQ US Equity
5
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Comparative Analysis6
Ticker8
ETF Sharpe Ratio Benchmark Sharpe
Ratio
1 Year NAV Tracking Error
(%)
Average 0.75 0.77 0.12
QQQ 0.94 0.96 0.06
IBB 0.71 0.71 0.05
QQQE 0.58 0.62 0.26
QQXT 0.70 0.74 0.09
PNQI 1.27 1.28 0.10
QQEW 0.56 0.62 0.25
SPY 0.49 0.49 0.05
6 Tables in this section have been rounded to 2 decimal places.
7 Total Returns (%) figures are quoted as of 10/11/2015,2:14pm.
8 Comparableticker Descriptions Tablein the Appendix
Total Return (%)7
1m 3m YTD 1yr 3yr 5yr
Average 7.88 -0.33 8.2 10.98 23.15 18.49
XNDX 6.64 3.30 11.04 13.23 23.29 17.84
QQQ US 6.61 3.21 10.77 12.99 23.04 17.58
IBB US 7.14 -10.33 8.99 13.96 36.63 30.63
QQQE US 3.27 -1.03 2.63 6.23 21.88 -
QQXT US 2.01 -3.73 3.04 6.98 20.92 16.00
PNQI US 7.66 4.31 18.65 19.13 27.04 17.82
QQEW US 3.15 -1.16 2.24 5.79 21.54 14.57
SPY US 3.35 0.59 2.72 4.40 16.98 13.62
6
QUMMIF Investment Club |2015-2014. All rights reserved www.qummif.org
Ticker Expense Ratio (%)
Average Bid Ask
Spread (%) Premium (%)
52 Week Average
Premium (%)
Average 0.42 0.08 -0.01 0.00
QQQ 0.20 0.01 -0.03 0.00
IBB 0.48 0.10 -0.08 0.01
QQQE 0.35 0.06 -0.08 0.00
QQXT 0.60 0.20 0.02 0.04
PNQI 0.60 0.16 0.05 -0.03
QQEW 0.60 0.06 0.07 0.01
SPY 0.09 0.00 0.01 0.00
PowersharesQQQTrustSeries1 hasa low bidask spreadwhichgivingthe ETFadequate liquidity.
Thisis importantforus to be able to buyand sell atcertaintime periods.A Sharpe Ratioof 0.94 is
above the othercomparable ETFsindicatingQQQhas a good rewardto riskpremiumfor investors.
In addition,the ETFhas one of the lowestexpense ratiosincomparisontootherETFsthat are also
trackinglarge-cap,growthindexes.Thisstrongcomparative advantage willbe veryattractive for
QUMMIF and othernon-institutional investors.
7
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Fundamental Analysis
Business Cycle Analysis
Technology,ConsumerGoodsandHealthcare sectorsare outperformingrightnow indicatingthat
we are inthe mid/late bullphase of the businesscycle. Infact,the Federal Reservehadannounced
that consumerborrowinghadincreasedby $29.8 billion10
inSeptemberindicatinganincrease in
domesticconsumptioninthe US;the biggestmonthlyjumpsince 1941. Asa result,if fundamentals
hold,QQQis likelytoperformwellsince approximately37% of the fundismade up of equityinthe
techsector.
9 Table quotes are from 12/11/2015,at 12.55pm. Data extrapolated from http://www.finviz.com/groups.ashx
10 http://www.nytimes.com/2015/11/07/business/economy/jobs-report-hiring-unemployment-
october.html?_r=0
Sector9
1 Day 1 Week 1 Month 3 Month 6 Month 1 Year YTD
Technology -0.3 -1.4 4.6 1.7 0.6 5.9 6.3
Healthcare -0.9 -2.8 2 -9.4 -7.3 4.2 2.9
ConsumerGoods -1 -2.8 1 -1.6 -4.4 3.2 2.9
Services -0.8 -1.8 3 -1.7 -2.9 3.7 0.4
Industrial Goods -1.2 -1.8 4 -0.7 -5.2 -0.4 -0.3
Financial -1.3 -1.6 2.9 -4.7 -6.1 -2 -3.2
Utilities -1.1 -2.9 -3.1 -5.1 -6.7 -6.5 -9.1
Conglomerates -2.3 -4.7 -2.6 -3.1 -12.9 -17.9 -16.3
Basic Materials -2 -5.9 -6.6 -9.3 -25.3 -27.8 -21.2
Stock Market
1. Technology++
2. ConsumerGoods +
3. Services+
4. Healthcare +
Trough
1
2, 3
Business Cycle
Peak
8
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Market Breakdown
11
Company breakdown
11 Refer to table3 in Appendix.
Communications
34%
Consumer,Cyclical
9%
Consumer,Non-cyclical
19%
Industrial
1%
Technology
37%
QQQ US Equity Market Breakdown
12.86
8
5.524.62
4.38
4.04
3.01
2.97
2.71
2.45 TOP 10 HOLDINGS (%)
APPLE INC
MICROSOFT CORP
AMAZON.COM INC
ALPHABET INC-CL C
FACEBOOK INC-A
ALPHABET INC-CL A
INTEL CORP
GILEAD SCIENCES INC
CISCO SYSTEMS INC
COMCAST CORP-CLASS A
9
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Geographical Breakdown12
Seasonality Comparison13
Accordingto the ETF’s average monthlyperformance,we wouldbe looking foranentryduringthe
November/Decemberperiod andexitduringthe peakoutperformancesinFebruaryorOctober.
12 Refer to Table1 in Appendix for exact figures of other regions.
13 The months November and December only have 4 data points.Graph was produced in November 2015.
Refer to Table2 in Appendix.
US
96%
QQQ US EQUITY GEOGRAPHICAL BREAKDOWN
US
China
UK
Singapore
Netherlands
Israel
Switzerland
-1
0
1
2
3
4
5
6
MONTHLY AVERAGE TOTAL RETURN (%)
QQQ US Equity Average Total
Return (%)
10
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Risk Assessment
Volatility
QQQ USEquity
VOLATILITY_30D 14.76248153
VOLATILITY_60D 26.16066906
VOLATILITY_90D 22.82878523
VOLATILITY_360D 16.39171763
VOLATILITY MEAN 16.97030578
Sector and Company Concentration
Due to the highconcentrationof the ETF intechnology,communicationsandconsumernon-cyclical
sectorsthe ETF performance willbe closelyimpactedbythe performance inthese sectors.In
particular,the performance of Apple,Google,AmazonandMicrosoft overthe Christmasperiodwill
be important.
Market Risk
Macro Risk
QQQ US Equity
EQY_BETA 0.999006152
EQY_ALPHA -0.024428736
EQY_RAW_BETA 0.998509228
CORR_COEF 0.998719536
STDDEV_ERROR 0.093072757
BETA_T_TEST 199.3811356
R^2(CORRELATION^2) 0.997510154
NUMBER OF POINTS 104
STD ERROR OF BETA 0.005005361
Dates
Probability of
Move (%) 0-0.25 0.25-0.5 05-0.75 0.75-1
12/16/2015 68 32 68 - -
01/27/2016 71.2 28.8 64.4 6.8 -
03/16/2016 85 15 47.3 34.4 3.3
04/27/2016 87.7 12.3 41.5 36.8 8.9
06/15/2016 92.9 7.1 29.2 38.7 20.6
07/27/2016 94.4 5.6 24.4 36.7 24.6
09/21/2016 96.4 3.6 17.6 32.2 28.9
11/02/2016 97.3 2.7 14.1 28.6 29.7
11
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Currency Risk
Riskalsocomesfrom the likelihoodof anincrease ininterestrate inthe US. All factorsbeingequal,if
interestratesincrease,thenthe USDislikelytoappreciate.The forwardspotratesgivesthe implied
future spotprice,showinganappreciationin USdollar.Soif we investbefore the Fedincreases
interestrates,we couldsee gainsfromthe currencyconversionbackintoGBP.
14 Spot Prices as of 13/11/2015,Time: 5:34pm
Currency
GBP/USD
Spot Price14
0.6577
1 Month 0.657844
3 Month 0.657697
6 Month 0.657465
1 year 0.656858
2 year 0.655008
12
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Technical Analysis
Moving Averages
The Moving Averageshelpsustosubjectivelylookatmovementof QQQ’sprice withoutthe sharp
decline fromBlackMonday.It isclearthat 50-Day MA isbelow the 100-Day and 200-Day MA curves
indicatingabearishmarketinDecember.
Relative Strength Index
85
90
95
100
105
110
115
120
Nov
2014
Dec
2014
Jan
2015
Feb
2015
Mar
2015
Apr
2015
May
2015
Jun
2015
Jul
2015
Aug
2015
Sep
2015
Oct
2015
Nov
2015
MA
QQQ US Equity
20 Day
50 Day
100 Day
0
10
20
30
40
50
60
70
80
90
Nov
2014
Dec
2014
Jan
2015
Feb
2015
Mar
2015
Apr
2015
May
2015
Jun
2015
Jul
2015
Aug
2015
Sep
2015
Oct
2015
Nov
2015
RSI
QQQ US Equity RSI
QQQ US Equity Overbought Line
QQQ US Equity Oversold Line
13
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MACD
Bollinger Bands15
The Relative StrengthIndexindicatesthatthe ETF hasbeenoverbought andsuggeststhatthe ETF is
currentlyexperiencing pull-back.The 50-daymovingaverage line isbelowthe 100-dayand 200-day
line whichalsoindicatespressure infavourof the sell-side.MACDisshowingmixedsignals.Onthe
one hand, the buy side lookslike itcouldbe losingmomentumandonthe other, itcouldcontinue to
trendup inthe short term.
15 Bollinger Bands drawn using20 day moving average, and 2 standard deviations aboveand below the moving
average.
-2.5
-2
-1.5
-1
-0.5
0
0.5
1
1.5
2
2.5
Nov
2014
Dec
2014
Jan
2015
Feb
2015
Mar
2015
Apr
2015
May
2015
Jun
2015
Jul
2015
Aug
2015
Sep
2015
Oct
2015
Nov
2015
MACD
QQQ US Equity MACD Difference
QQQ US Equity MACD
QQQ US Equity MACD Signal
85
90
95
100
105
110
115
120
Nov
2014
Dec
2014
Jan
2015
Feb
2015
Mar
2015
Apr
2015
May
2015
Jun
2015
Jul
2015
Aug
2015
Sep
2015
Oct
2015
Nov
2015
BollingerBands
20 Day Moving Average
Upper Bollinger
Lower Bollinger
QQQ US Equity
14
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Monte Carlo Simulation
Usingthe Monte Carlo Simulationandapplyingthe GeometricBrownianMotion(havingthe average
and standarddeviationof the time seriespricesforthe lasttwoyears) we can see thatthere isa
verystronguptrend.A longstrategywill be veryideal giventhisbullmarket.
Fibonacci Retracement
Fibonacci Level Price Colour
100% 115.02 Red
76.40% 99.6824 Grey
61.80% 90.1938 Green
50% 82.525 LightBlue
38.20% 74.8562 Green
23.60% 65.3676 Grey
0% 50.03 Red
110
115
120
125
130
135
140
Oct 2015 Dec 2015 Jan 2016 Mar 2016 May 2016 Jun 2016 Aug 2016 Oct 2016 Nov 2016
Monte Carlo Simulation
40
50
60
70
80
90
100
110
120
Nov 2010 Nov 2011 Nov 2012 Nov 2013 Nov 2014 Nov 2015
FibbonacciRetracement
100%
76.4%
%61.8%
50%
38.2%
23.6%
0%
15
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The BollingerBandsandthe 20-Day movingaverage are stronglytrendingupwardsindicatinga
strongbuy signal andan upwardtrendin the price of the ETF.
Recommendations:
52 WeekHigh:115.47
52 WeekLow:84.74
SupportLevel 1: 100.0026
SupportLevel 2: 99.6824
Resistance Level 1: 115.02
Resistance Level 2: 115.47
Target BuyPrice:between100 and 110
Target Sell Price:130
Conclusion
Strong Returns
Diversification
Low Expense
Ratio
Low Tracking
Error
16
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Appendix
ETFs have become verypopularoverthe past10 years.Thisis due to the relative performance of
equity,bondandcommoditymarkets.GainsinmajorUS stockindexesanddeclininglongterm
interestrateshave made itrelativelyattractive forinvestorstoaccessthese markets;whichincludes
buyingETFsthat primarilytrackswithan index.
Table 1
Country Proportion (%)
US 95.87
China 1.48
UK 0.99
Singapore 0.63
Netherlands 0.49
Israel 0.28
Switzerland 0.13
Table 2
Month
Average Total
Return (%)
January 1.98
February 4.46
March 0.51
April 1.17
May 0.41
June -0.03
July 2.94
August -0.42
September -0.35
October 4.82
November* 1.68
December* -0.12
17
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Table 3
Market Breakdown Proportion (%)
Communications 34.146394
Consumer,Cyclical 9.069215
Consumer,Non-cyclical 18.610342
Industrial 0.942575
Technology 37.099202
Profitability of Top 10 Companies in Fund
0%
10%
20%
30%
40%
50%
60%
70%
80%
90%
100%
Mar 2010 Mar 2011 Mar 2012 Mar 2013 Mar 2014 Mar 2015
Profit Margin
AAPL US Equity MSFT US Equity AMZN US Equity GOOG US Equity FB US Equity
GOOGLUS Equity INTC US Equity GILD US Equity CSCO US Equity CMCSA US Equity
18
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Descriptions
Name Ticker
Benchmark
Index Ticker Description
Powershares QQQ
Trust Series 1 QQQ US XNDX
PowerShares QQQ™, formerly known as "QQQ" or the "NASDAQ- 100 Index
Tracking Stock®", is an exchange-tradedfundbasedon the Nasdaq-100 Index®. The
Fund will, under most circumstances, consist of all ofstocks inthe Index. The Index
includes 100 of the largest domestic andinternational nonfinancial companies
listed onthe NasdaqStockMarket basedon market capitalization. The Fund and
the Index are rebalanced quarterly and reconstituted annually.
iShares Nasdaq
Biotechnology IBB US XNBI
iShares NasdaqBiotechnologyETF is anexchange-tradedfundincorporated in the
USA. The Fund's objective s eeks investment results that correspond to the
performance of the NasdaqBiotechnology Index. The Fund will concentrate its
investments in companies primarilyengagedin using biomedical research for the
discovery or development of new treatments or cures for human disease.
Direxion NASDAQ-
100 Equal Weighted
Index Shares QQQE US NDXE
The Direxion NASDAQ-100® Equal WeightedIndex Shares seeks investment results,
before fees and expenses, that track the NASDAQ-100 Equal Weighted TR
Index. There is noguarantee the fundwill meet its stated investment objective.
First Trust NASDAQ-
100 Ex-Tech QQXT US NDXM
The First Trust NASDAQ-100 Ex-Technology Sector Index Fund is an exchange-
traded index fund. The objective of the Fund is to seek investment results that
correspond generallyto the price andyield(before the Fund's fees and expenses)
of an equity index called the NASDAQ-100 Ex-Tech Sector IndexSM
PowerShares
NASDAQ Internet
Portfolio PNQI US NETX
The PowerShares NASDAQ Internet Portfolio (Fund) is based on the NASDAQ
Internet Index® (Index). The Fund will normally invest at least 90% of its total
assets in common stocks that comprise the Index. The Index is designed to track
the performance of the largest andmost liquidUS-listed companies engaged in
internet-relatedbusinesses and that are listed on one of the major US stock
exchanges. The Underlying Index employs a modified market capitalization -
weighted methodology based on the market capitalization ranking of the
Underlying Index securities. The Fund and the Index are rebalanced and
reconstituted quarterly.
First Trust NASDAQ-
100 Equal Weighted
Index Fund QQEW US NDXE
The First Trust NASDAQ-100 Equal WeightedIndex Fund is an exchange-traded
index fund. The investment objective of the Fund is to replicate as closely as
possible, before fees andexpenses, the price andyieldof the NASDAQ-100 Equal
Weighted IndexSM
SPDR S&P 500 ETF
Trust SPY US SPXT
SPDR S&P500 ETF Trust is anexchange-tradedfundincorporated in the USA. The
ETF tracks the S&P500 Index. The Trust consists of a portfolio representing all 500
stocks inthe S&P500 Index. It holds predominantlylarge-cap U.S. stocks. This ETF
is structuredas a Unit Investment Trust andpays dividends on a quarterly basis.
The holdings are weighted by market capitalization.
19
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Ticker Leverage
UK
Reporting
Status
UCITS
Complaint
Fund China QDII Fund ISIN SEDOL
QQQ US No No No No US73935A1043 2402433
IBB US No No No No US4642875565 2724892
QQQE US No No No No US25459Y2072 B7F2946
QQXT US No No No No US33733E4017 B1RMJQ4
PNQIUS No No No No US73935X1467 B39XXY5
QQEW US No No No No US3373441050 B13HML9
SPY US No - No No US78462F1030 2840215
References
http://www.icifactbook.org/fb_ch3.html#what
http://www.finviz.com/
http://www.nytimes.com/
*Unreferencedgraphsandtableshave beenimportedfromBloomberg,andcomputedthrough
excel.
Contributions:
Overview sectioncompletedby:AndyVoong
Fundamental Analysiscompletedby:AndyVoong
RiskAssessmentcompletedby:AndyVoongandMengyuanTang
Technical Analysiscompletedby:AndyVoong
PresentationproducedbyAndyVoong
ResearchTeam:AndyVoong,MengyuanTangand HosseinGoudarzi

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Powershares QQQ Trust series 1

  • 1. INVESCO POWERSHARES QQQ TRUST SERIES 1 POWERSHARES QQQ TRUST SERIES 1 IS AN EXCHANGE-TRADED FUND INCORPORATED INTHE USA. THE ETF TRACKS THE PERFORMANCE OF THE NASDAQ 100 INDEX. THE ETF HOLDS LARGE CAP U.S. STOCKS. ITS INVESTMENTS EXCLUDE THE FINANCIAL SECTOR AND THEREFORE, TEND TO BE FOCUSED ON THE TECHNOLOGY AND CONSUMER SECTOR. THE ETF WEIGHTS THE HOLDINGS USING A MARKET CAPITALIZATION METHODOLOGY. NOVEMBER 12, 2015 ISIN:US73935A1043 SEDOL: 2402433 CUSIP: 73935A104 Group 18: Andy Voong, Mengyuan Tang and Hossein Goudarzi QUEEN MARY UNIVERSITY OF LONDON MileEnd Road, London, E1 4NS
  • 2. 1 QUMMIF Investment Club |2015-2014. All rights reserved www.qummif.org 0 10 20 30 40 Communications Consumer, Cyclical Consumer, Non-cyclical Industrial Technology MARK E T B RE AK D OW N 0 20 40 60 80 100 US China UK Singapore Netherlands Israel Switzerland G EOG RAPHICAL BREAKDOW N Net of Fees Benchmark Tracking Error Correlation Beta R2 3 months 1.4% 1.1% 0.8% 1.00 - - 1 year 13.0% 11.8% 0.7% 1.00 1.00 1.00 3 years 22.0% 20.6% 0.7% 1.00 0.99 1.00 5 years 18.1% 17.0% 0.7% 1.00 0.99 1.00 Inception 5.5% 5.1% 5.7% 0.97 0.96 0.95 Volatility 360D 14.07 16.48 - - - - Clear Investment Strategy Actively Managed N Replication Strategy Full Leverage N Securities Lending N Proven 3rd Party Index used as Benchmark NASDAQ 100 TOTAL RETURN Benchmark Ticker: XNDX Index The NASDAQ-100 Index is a modified capitalization-weighted index of the 100 largest and most active non-financial domestic and international issueslisted on the NASDAQ. Sub-Fund Facts Market price ($) 110.05 Sub-Fund AUM ($Billion) 42.35 Inception Date: 10/03/1999 Min. Investment: 0 Turnover: (%) 15 Average Bid Ask Spread (%) 0.01 Expenses (%) TER (%) 0.20 Investment Type Growth, Large-Cap Fundamentals Dividend 12 month Yield (%) 1.02 Number of Holdings 109 Dividend Net 3yr Growth Rate 23.05 P/B ratio 4.89 Outstanding Shares (mln) 374.3 Sharpe ratio 1yr 0.76 P/E ratio 20.95 Average Volume 30d (shares, mln) 31.9 Average Volume 3 Months (USD) 2,943,550,750.48 Implied Liquidity (mln) 13.412 Exchange Domicile NASDAQ GM US Bloomberg Currency QQQ US equity USD Outstanding Shares (mln) 374.3 52 Week High 115.47 52 Week Low 84.74 10,000 20,000 30,000 40,000 50,000 50 100 150 200 250 Dec2005 Dec2006 Dec2007 Dec2008 Dec2009 Dec2010 Dec2011 Dec2012 Dec2013 Dec2014 AUM($mln) EfficiencyAUM QQQ US equity NDX Index POWERSHARES QQQ TRUST SERIES
  • 3. 2 QUMMIF Investment Club |2015-2014. All rights reserved www.qummif.org Contents POWERSHARES QQQ TRUST SERIES ............................................................................................... 1 Overview .....................................................................................................................................3 Industry Overview..................................................................................................................... 3 Advantages of an ETF................................................................................................................ 4 Powershares QQQ Trust Series 1...................................................................................................4 Comparative Analysis................................................................................................................ 5 Fundamental Analysis................................................................................................................... 7 Business Cycle Analysis.............................................................................................................. 7 Market Breakdown................................................................................................................... 8 Company breakdown................................................................................................................ 8 Geographical Breakdown ..........................................................................................................9 Seasonality Comparison............................................................................................................ 9 Risk Assessment......................................................................................................................... 10 Volatility................................................................................................................................. 10 Sector and Company Concentration......................................................................................... 10 Market Risk............................................................................................................................ 10 Macro Risk ............................................................................................................................. 10 Currency Risk.......................................................................................................................... 11 Technical Analysis....................................................................................................................... 12 Moving Averages.................................................................................................................... 12 Relative Strength Index........................................................................................................... 12 MACD .................................................................................................................................... 13 Bollinger Bands....................................................................................................................... 13 Monte Carlo Simulation .......................................................................................................... 14 Fibonacci Retracement............................................................................................................ 14 Recommendations:................................................................................................................. 15 Conclusion ................................................................................................................................. 15 Appendix.................................................................................................................................... 16 Table 1................................................................................................................................... 16 Table 2................................................................................................................................... 16 Table 3................................................................................................................................... 17 Profitability of Top 10 Companiesin Fund ................................................................................ 17 Descriptions ........................................................................................................................... 18 References................................................................................................................................. 19 Premium to NAV 0.03%
  • 4. 3 QUMMIF Investment Club |2015-2014. All rights reserved www.qummif.org Overview Industry Overview In comparisontoMutual funds,the ETF industryisstill veryyoung.The firstETFwasintroducedin 1993. The US ETF marketleads the waywith1,411 differentfundsandnearly $2 trillionin assets undermanagementatthe endof 2014 and accounts for around73% of the Global ETF assets.1 2 1 http://www.icifactbook.org/fb_ch3.html#what 2 ETFs have become verypopularoverthe past10 years.Thisisdue to the relative performance of equity,bondandcommoditymarkets.GainsinmajorUS stockindexesanddeclininglongterm interestrateshave made itrelativelyattractive forinvestorsto accessthese markets;whichincludes buyingETFsthat primarilytrackswithan index. 0 0.5 1 1.5 2 2.5 2003 2004 2005 2006 2007 2008 2009 2010 2011 2012 2013 2014 US Net ETF Assets (USD, Trillions) 0 10 20 30 40 50 60 70 80 United States Europe Africa and Asia-Pacific Other Americas Global ETF Market Distribution (%)
  • 5. 4 QUMMIF Investment Club |2015-2014. All rights reserved www.qummif.org Advantages of an ETF - Diversification - Relativelysimple methodtogain exposure todifferent markets3 - Cost effective forbuy-and-holdstrategies - Recommendbuyingandholdingtoavoidlarge commissionfeesfrombrokers - Usuallyhave nominimuminvestment - Trade Flexibilitywhichisideal fornon-institutionalinvestors4 Powershares QQQ Trust Series 1 5 3 i.e. Instead of havingto investin many individual stocks in a country,you can purchasea fund that tracks an underlyingindex to gain exposure to a foreign market. The Powershares QQQ Trust Series 1 ETF tracks closely with the NASDAQ 100 Stock Index in the US. In fact, the benchmark index is the NASDAQ 100 Total Returns Index. 4 http://www.investopedia.com/articles/mutualfund/05/etfindexfund.asp 5 Data acquired for the period 12/11/2000 to 12/11/2015. 0 5 10 15 20 25 30 35 40 45 50 2000 2001 2002 2003 2004 2005 2006 2007 2008 2009 2010 2011 2012 2013 2014 2015 FundTotalAssets(USD,Billions) QQQ US Equity Asset UnderManagement 40 50 60 70 80 90 100 110 120 Jan 2010 Jan 2011 Jan 2012 Jan 2013 Jan 2014 Jan 2015 0 50 100 150 200 250 300 QQQUSEquityPrice Volume(Millions,USD) QQQ Equity Price and Volume Volume (USD, millions) QQQ US Equity
  • 6. 5 QUMMIF Investment Club |2015-2014. All rights reserved www.qummif.org Comparative Analysis6 Ticker8 ETF Sharpe Ratio Benchmark Sharpe Ratio 1 Year NAV Tracking Error (%) Average 0.75 0.77 0.12 QQQ 0.94 0.96 0.06 IBB 0.71 0.71 0.05 QQQE 0.58 0.62 0.26 QQXT 0.70 0.74 0.09 PNQI 1.27 1.28 0.10 QQEW 0.56 0.62 0.25 SPY 0.49 0.49 0.05 6 Tables in this section have been rounded to 2 decimal places. 7 Total Returns (%) figures are quoted as of 10/11/2015,2:14pm. 8 Comparableticker Descriptions Tablein the Appendix Total Return (%)7 1m 3m YTD 1yr 3yr 5yr Average 7.88 -0.33 8.2 10.98 23.15 18.49 XNDX 6.64 3.30 11.04 13.23 23.29 17.84 QQQ US 6.61 3.21 10.77 12.99 23.04 17.58 IBB US 7.14 -10.33 8.99 13.96 36.63 30.63 QQQE US 3.27 -1.03 2.63 6.23 21.88 - QQXT US 2.01 -3.73 3.04 6.98 20.92 16.00 PNQI US 7.66 4.31 18.65 19.13 27.04 17.82 QQEW US 3.15 -1.16 2.24 5.79 21.54 14.57 SPY US 3.35 0.59 2.72 4.40 16.98 13.62
  • 7. 6 QUMMIF Investment Club |2015-2014. All rights reserved www.qummif.org Ticker Expense Ratio (%) Average Bid Ask Spread (%) Premium (%) 52 Week Average Premium (%) Average 0.42 0.08 -0.01 0.00 QQQ 0.20 0.01 -0.03 0.00 IBB 0.48 0.10 -0.08 0.01 QQQE 0.35 0.06 -0.08 0.00 QQXT 0.60 0.20 0.02 0.04 PNQI 0.60 0.16 0.05 -0.03 QQEW 0.60 0.06 0.07 0.01 SPY 0.09 0.00 0.01 0.00 PowersharesQQQTrustSeries1 hasa low bidask spreadwhichgivingthe ETFadequate liquidity. Thisis importantforus to be able to buyand sell atcertaintime periods.A Sharpe Ratioof 0.94 is above the othercomparable ETFsindicatingQQQhas a good rewardto riskpremiumfor investors. In addition,the ETFhas one of the lowestexpense ratiosincomparisontootherETFsthat are also trackinglarge-cap,growthindexes.Thisstrongcomparative advantage willbe veryattractive for QUMMIF and othernon-institutional investors.
  • 8. 7 QUMMIF Investment Club |2015-2014. All rights reserved www.qummif.org Fundamental Analysis Business Cycle Analysis Technology,ConsumerGoodsandHealthcare sectorsare outperformingrightnow indicatingthat we are inthe mid/late bullphase of the businesscycle. Infact,the Federal Reservehadannounced that consumerborrowinghadincreasedby $29.8 billion10 inSeptemberindicatinganincrease in domesticconsumptioninthe US;the biggestmonthlyjumpsince 1941. Asa result,if fundamentals hold,QQQis likelytoperformwellsince approximately37% of the fundismade up of equityinthe techsector. 9 Table quotes are from 12/11/2015,at 12.55pm. Data extrapolated from http://www.finviz.com/groups.ashx 10 http://www.nytimes.com/2015/11/07/business/economy/jobs-report-hiring-unemployment- october.html?_r=0 Sector9 1 Day 1 Week 1 Month 3 Month 6 Month 1 Year YTD Technology -0.3 -1.4 4.6 1.7 0.6 5.9 6.3 Healthcare -0.9 -2.8 2 -9.4 -7.3 4.2 2.9 ConsumerGoods -1 -2.8 1 -1.6 -4.4 3.2 2.9 Services -0.8 -1.8 3 -1.7 -2.9 3.7 0.4 Industrial Goods -1.2 -1.8 4 -0.7 -5.2 -0.4 -0.3 Financial -1.3 -1.6 2.9 -4.7 -6.1 -2 -3.2 Utilities -1.1 -2.9 -3.1 -5.1 -6.7 -6.5 -9.1 Conglomerates -2.3 -4.7 -2.6 -3.1 -12.9 -17.9 -16.3 Basic Materials -2 -5.9 -6.6 -9.3 -25.3 -27.8 -21.2 Stock Market 1. Technology++ 2. ConsumerGoods + 3. Services+ 4. Healthcare + Trough 1 2, 3 Business Cycle Peak
  • 9. 8 QUMMIF Investment Club |2015-2014. All rights reserved www.qummif.org Market Breakdown 11 Company breakdown 11 Refer to table3 in Appendix. Communications 34% Consumer,Cyclical 9% Consumer,Non-cyclical 19% Industrial 1% Technology 37% QQQ US Equity Market Breakdown 12.86 8 5.524.62 4.38 4.04 3.01 2.97 2.71 2.45 TOP 10 HOLDINGS (%) APPLE INC MICROSOFT CORP AMAZON.COM INC ALPHABET INC-CL C FACEBOOK INC-A ALPHABET INC-CL A INTEL CORP GILEAD SCIENCES INC CISCO SYSTEMS INC COMCAST CORP-CLASS A
  • 10. 9 QUMMIF Investment Club |2015-2014. All rights reserved www.qummif.org Geographical Breakdown12 Seasonality Comparison13 Accordingto the ETF’s average monthlyperformance,we wouldbe looking foranentryduringthe November/Decemberperiod andexitduringthe peakoutperformancesinFebruaryorOctober. 12 Refer to Table1 in Appendix for exact figures of other regions. 13 The months November and December only have 4 data points.Graph was produced in November 2015. Refer to Table2 in Appendix. US 96% QQQ US EQUITY GEOGRAPHICAL BREAKDOWN US China UK Singapore Netherlands Israel Switzerland -1 0 1 2 3 4 5 6 MONTHLY AVERAGE TOTAL RETURN (%) QQQ US Equity Average Total Return (%)
  • 11. 10 QUMMIF Investment Club |2015-2014. All rights reserved www.qummif.org Risk Assessment Volatility QQQ USEquity VOLATILITY_30D 14.76248153 VOLATILITY_60D 26.16066906 VOLATILITY_90D 22.82878523 VOLATILITY_360D 16.39171763 VOLATILITY MEAN 16.97030578 Sector and Company Concentration Due to the highconcentrationof the ETF intechnology,communicationsandconsumernon-cyclical sectorsthe ETF performance willbe closelyimpactedbythe performance inthese sectors.In particular,the performance of Apple,Google,AmazonandMicrosoft overthe Christmasperiodwill be important. Market Risk Macro Risk QQQ US Equity EQY_BETA 0.999006152 EQY_ALPHA -0.024428736 EQY_RAW_BETA 0.998509228 CORR_COEF 0.998719536 STDDEV_ERROR 0.093072757 BETA_T_TEST 199.3811356 R^2(CORRELATION^2) 0.997510154 NUMBER OF POINTS 104 STD ERROR OF BETA 0.005005361 Dates Probability of Move (%) 0-0.25 0.25-0.5 05-0.75 0.75-1 12/16/2015 68 32 68 - - 01/27/2016 71.2 28.8 64.4 6.8 - 03/16/2016 85 15 47.3 34.4 3.3 04/27/2016 87.7 12.3 41.5 36.8 8.9 06/15/2016 92.9 7.1 29.2 38.7 20.6 07/27/2016 94.4 5.6 24.4 36.7 24.6 09/21/2016 96.4 3.6 17.6 32.2 28.9 11/02/2016 97.3 2.7 14.1 28.6 29.7
  • 12. 11 QUMMIF Investment Club |2015-2014. All rights reserved www.qummif.org Currency Risk Riskalsocomesfrom the likelihoodof anincrease ininterestrate inthe US. All factorsbeingequal,if interestratesincrease,thenthe USDislikelytoappreciate.The forwardspotratesgivesthe implied future spotprice,showinganappreciationin USdollar.Soif we investbefore the Fedincreases interestrates,we couldsee gainsfromthe currencyconversionbackintoGBP. 14 Spot Prices as of 13/11/2015,Time: 5:34pm Currency GBP/USD Spot Price14 0.6577 1 Month 0.657844 3 Month 0.657697 6 Month 0.657465 1 year 0.656858 2 year 0.655008
  • 13. 12 QUMMIF Investment Club |2015-2014. All rights reserved www.qummif.org Technical Analysis Moving Averages The Moving Averageshelpsustosubjectivelylookatmovementof QQQ’sprice withoutthe sharp decline fromBlackMonday.It isclearthat 50-Day MA isbelow the 100-Day and 200-Day MA curves indicatingabearishmarketinDecember. Relative Strength Index 85 90 95 100 105 110 115 120 Nov 2014 Dec 2014 Jan 2015 Feb 2015 Mar 2015 Apr 2015 May 2015 Jun 2015 Jul 2015 Aug 2015 Sep 2015 Oct 2015 Nov 2015 MA QQQ US Equity 20 Day 50 Day 100 Day 0 10 20 30 40 50 60 70 80 90 Nov 2014 Dec 2014 Jan 2015 Feb 2015 Mar 2015 Apr 2015 May 2015 Jun 2015 Jul 2015 Aug 2015 Sep 2015 Oct 2015 Nov 2015 RSI QQQ US Equity RSI QQQ US Equity Overbought Line QQQ US Equity Oversold Line
  • 14. 13 QUMMIF Investment Club |2015-2014. All rights reserved www.qummif.org MACD Bollinger Bands15 The Relative StrengthIndexindicatesthatthe ETF hasbeenoverbought andsuggeststhatthe ETF is currentlyexperiencing pull-back.The 50-daymovingaverage line isbelowthe 100-dayand 200-day line whichalsoindicatespressure infavourof the sell-side.MACDisshowingmixedsignals.Onthe one hand, the buy side lookslike itcouldbe losingmomentumandonthe other, itcouldcontinue to trendup inthe short term. 15 Bollinger Bands drawn using20 day moving average, and 2 standard deviations aboveand below the moving average. -2.5 -2 -1.5 -1 -0.5 0 0.5 1 1.5 2 2.5 Nov 2014 Dec 2014 Jan 2015 Feb 2015 Mar 2015 Apr 2015 May 2015 Jun 2015 Jul 2015 Aug 2015 Sep 2015 Oct 2015 Nov 2015 MACD QQQ US Equity MACD Difference QQQ US Equity MACD QQQ US Equity MACD Signal 85 90 95 100 105 110 115 120 Nov 2014 Dec 2014 Jan 2015 Feb 2015 Mar 2015 Apr 2015 May 2015 Jun 2015 Jul 2015 Aug 2015 Sep 2015 Oct 2015 Nov 2015 BollingerBands 20 Day Moving Average Upper Bollinger Lower Bollinger QQQ US Equity
  • 15. 14 QUMMIF InvestmentClub |2015-2014. All rightsreservedwww.qummif.org Monte Carlo Simulation Usingthe Monte Carlo Simulationandapplyingthe GeometricBrownianMotion(havingthe average and standarddeviationof the time seriespricesforthe lasttwoyears) we can see thatthere isa verystronguptrend.A longstrategywill be veryideal giventhisbullmarket. Fibonacci Retracement Fibonacci Level Price Colour 100% 115.02 Red 76.40% 99.6824 Grey 61.80% 90.1938 Green 50% 82.525 LightBlue 38.20% 74.8562 Green 23.60% 65.3676 Grey 0% 50.03 Red 110 115 120 125 130 135 140 Oct 2015 Dec 2015 Jan 2016 Mar 2016 May 2016 Jun 2016 Aug 2016 Oct 2016 Nov 2016 Monte Carlo Simulation 40 50 60 70 80 90 100 110 120 Nov 2010 Nov 2011 Nov 2012 Nov 2013 Nov 2014 Nov 2015 FibbonacciRetracement 100% 76.4% %61.8% 50% 38.2% 23.6% 0%
  • 16. 15 QUMMIF InvestmentClub |2015-2014. All rightsreservedwww.qummif.org The BollingerBandsandthe 20-Day movingaverage are stronglytrendingupwardsindicatinga strongbuy signal andan upwardtrendin the price of the ETF. Recommendations: 52 WeekHigh:115.47 52 WeekLow:84.74 SupportLevel 1: 100.0026 SupportLevel 2: 99.6824 Resistance Level 1: 115.02 Resistance Level 2: 115.47 Target BuyPrice:between100 and 110 Target Sell Price:130 Conclusion Strong Returns Diversification Low Expense Ratio Low Tracking Error
  • 17. 16 QUMMIF InvestmentClub |2015-2014. All rightsreservedwww.qummif.org Appendix ETFs have become verypopularoverthe past10 years.Thisis due to the relative performance of equity,bondandcommoditymarkets.GainsinmajorUS stockindexesanddeclininglongterm interestrateshave made itrelativelyattractive forinvestorstoaccessthese markets;whichincludes buyingETFsthat primarilytrackswithan index. Table 1 Country Proportion (%) US 95.87 China 1.48 UK 0.99 Singapore 0.63 Netherlands 0.49 Israel 0.28 Switzerland 0.13 Table 2 Month Average Total Return (%) January 1.98 February 4.46 March 0.51 April 1.17 May 0.41 June -0.03 July 2.94 August -0.42 September -0.35 October 4.82 November* 1.68 December* -0.12
  • 18. 17 QUMMIF InvestmentClub |2015-2014. All rightsreservedwww.qummif.org Table 3 Market Breakdown Proportion (%) Communications 34.146394 Consumer,Cyclical 9.069215 Consumer,Non-cyclical 18.610342 Industrial 0.942575 Technology 37.099202 Profitability of Top 10 Companies in Fund 0% 10% 20% 30% 40% 50% 60% 70% 80% 90% 100% Mar 2010 Mar 2011 Mar 2012 Mar 2013 Mar 2014 Mar 2015 Profit Margin AAPL US Equity MSFT US Equity AMZN US Equity GOOG US Equity FB US Equity GOOGLUS Equity INTC US Equity GILD US Equity CSCO US Equity CMCSA US Equity
  • 19. 18 QUMMIF InvestmentClub |2015-2014. All rightsreservedwww.qummif.org Descriptions Name Ticker Benchmark Index Ticker Description Powershares QQQ Trust Series 1 QQQ US XNDX PowerShares QQQ™, formerly known as "QQQ" or the "NASDAQ- 100 Index Tracking Stock®", is an exchange-tradedfundbasedon the Nasdaq-100 Index®. The Fund will, under most circumstances, consist of all ofstocks inthe Index. The Index includes 100 of the largest domestic andinternational nonfinancial companies listed onthe NasdaqStockMarket basedon market capitalization. The Fund and the Index are rebalanced quarterly and reconstituted annually. iShares Nasdaq Biotechnology IBB US XNBI iShares NasdaqBiotechnologyETF is anexchange-tradedfundincorporated in the USA. The Fund's objective s eeks investment results that correspond to the performance of the NasdaqBiotechnology Index. The Fund will concentrate its investments in companies primarilyengagedin using biomedical research for the discovery or development of new treatments or cures for human disease. Direxion NASDAQ- 100 Equal Weighted Index Shares QQQE US NDXE The Direxion NASDAQ-100® Equal WeightedIndex Shares seeks investment results, before fees and expenses, that track the NASDAQ-100 Equal Weighted TR Index. There is noguarantee the fundwill meet its stated investment objective. First Trust NASDAQ- 100 Ex-Tech QQXT US NDXM The First Trust NASDAQ-100 Ex-Technology Sector Index Fund is an exchange- traded index fund. The objective of the Fund is to seek investment results that correspond generallyto the price andyield(before the Fund's fees and expenses) of an equity index called the NASDAQ-100 Ex-Tech Sector IndexSM PowerShares NASDAQ Internet Portfolio PNQI US NETX The PowerShares NASDAQ Internet Portfolio (Fund) is based on the NASDAQ Internet Index® (Index). The Fund will normally invest at least 90% of its total assets in common stocks that comprise the Index. The Index is designed to track the performance of the largest andmost liquidUS-listed companies engaged in internet-relatedbusinesses and that are listed on one of the major US stock exchanges. The Underlying Index employs a modified market capitalization - weighted methodology based on the market capitalization ranking of the Underlying Index securities. The Fund and the Index are rebalanced and reconstituted quarterly. First Trust NASDAQ- 100 Equal Weighted Index Fund QQEW US NDXE The First Trust NASDAQ-100 Equal WeightedIndex Fund is an exchange-traded index fund. The investment objective of the Fund is to replicate as closely as possible, before fees andexpenses, the price andyieldof the NASDAQ-100 Equal Weighted IndexSM SPDR S&P 500 ETF Trust SPY US SPXT SPDR S&P500 ETF Trust is anexchange-tradedfundincorporated in the USA. The ETF tracks the S&P500 Index. The Trust consists of a portfolio representing all 500 stocks inthe S&P500 Index. It holds predominantlylarge-cap U.S. stocks. This ETF is structuredas a Unit Investment Trust andpays dividends on a quarterly basis. The holdings are weighted by market capitalization.
  • 20. 19 QUMMIF InvestmentClub |2015-2014. All rightsreservedwww.qummif.org Ticker Leverage UK Reporting Status UCITS Complaint Fund China QDII Fund ISIN SEDOL QQQ US No No No No US73935A1043 2402433 IBB US No No No No US4642875565 2724892 QQQE US No No No No US25459Y2072 B7F2946 QQXT US No No No No US33733E4017 B1RMJQ4 PNQIUS No No No No US73935X1467 B39XXY5 QQEW US No No No No US3373441050 B13HML9 SPY US No - No No US78462F1030 2840215 References http://www.icifactbook.org/fb_ch3.html#what http://www.finviz.com/ http://www.nytimes.com/ *Unreferencedgraphsandtableshave beenimportedfromBloomberg,andcomputedthrough excel. Contributions: Overview sectioncompletedby:AndyVoong Fundamental Analysiscompletedby:AndyVoong RiskAssessmentcompletedby:AndyVoongandMengyuanTang Technical Analysiscompletedby:AndyVoong PresentationproducedbyAndyVoong ResearchTeam:AndyVoong,MengyuanTangand HosseinGoudarzi