Invesco QQQ Trust

The Nasdaq-100 Index was launched on January 31, 1985, designed to represent the “top 100 (non-financial) stocks listed on Nasdaq.” Options and futures on the index followed, and the QQQ, introduced in 1999, allowed investors to capture the index’s returns.⁠[1]

The trust agreement took effect, with the initial deposit, on March 4, 1999.⁠[2]

On March 10, 1999, the American Stock Exchange (Amex) listed a stock tracking the Nasdaq-100 Index under the ticker QQQ. The exchanges had originally planned to use the single-letter symbol “Q,” but the New York Stock Exchange objected. Priced at one-twentieth of the index value, the shares opened at $102.25 and represented ownership in the Nasdaq-100 Trust, a unit investment trust designed to closely track the index.⁠[3]

On February 14, 2000, Nasdaq announced that the board of the QQQ’s sponsor had approved a two-for-one stock split for holders of record on February 28, 2000. The Nasdaq-100 Index rose more than 101 percent in 1999.⁠[4]

The split took effect before the market open on March 20, 2000. At the close on March 24, 2000, the QQQ’s total assets reached a record of more than $12 billion, its price had risen 130 percent since its initial listing, and its average daily volume since inception was 12 million shares. Frank G. Zarb, chairman and CEO of the NASD, said: “The QQQ continues to be an exciting vehicle for investors.”⁠[5]

In November 2004, Nasdaq and Amex announced that the Nasdaq-100 Index Tracking Stock would move its listing from Amex to Nasdaq effective December 1, 2004, under the symbol QQQQ. Its assets had grown from $14.5 million at launch to $22.1 billion as of October 31, 2004. John Jacobs, CEO of sponsor NASDAQ Financial Products Services, called the move “a homecoming of sorts for QQQ.”⁠[6]

On October 19, 2006, Nasdaq Global Funds, a Nasdaq subsidiary, and PowerShares Capital Management announced an agreement to transfer sponsorship of the QQQ and other products to PowerShares, pending approval by the U.S. Securities and Exchange Commission and other regulators. As of September 30, 2006, the QQQ averaged 107.9 million shares traded daily and was “the most actively traded ETF in the world.”⁠[7]

On March 21, 2007, the sponsorship transfer was completed and the Nasdaq-100 Trust was renamed the PowerShares QQQ Trust. Bruce Bond, president of PowerShares Capital Management, said: “We are pleased to be celebrating today’s QQQ sponsorship transfer.”⁠[8]

On March 22, 2011, Invesco PowerShares Capital Management announced that the ticker of PowerShares QQQ would change from QQQQ back to QQQ effective March 23, 2011, with the fund remaining on Nasdaq and all other attributes unchanged. The fund was then a unit investment trust that generally held all stocks in the index, and its portfolio was rebalanced quarterly and reconstituted annually.⁠[9]

In April 2018, after completing its acquisition of Guggenheim Investments’ ETF business, Invesco announced that it would retire the PowerShares brand, rebranding the 206 ETFs trading under the PowerShares name as Invesco funds as of June 4, covering about $182 billion in assets. PowerShares had been founded in 2002 by Bruce Bond and John Southard and was acquired by Invesco in 2006.⁠[10]

Effective June 4, 2018, PowerShares QQQ Trust, Series 1 was renamed Invesco QQQ Trust, Series 1 and began using a new CUSIP number, 46090E103. The related prospectus supplement was dated May 31, 2018.⁠[11]

As of 2024, the unit investment trust had The Bank of New York Mellon as trustee and Invesco Capital Management as sponsor, which undertook to cap ordinary operating expenses at 0.20% of net asset value, including a 0.04% trustee’s fee, a 0.08% Nasdaq license fee and 0.08% in marketing expenses.⁠[2]

As of October 18, 2024, QQQ’s assets stood at $300.05 billion, passing the $300 billion mark and making it the fifth-largest US-listed ETF by assets. 2024 marked the fund’s 25th anniversary.⁠[12]

In July 2025, Invesco Capital Management filed a preliminary proxy statement seeking to convert QQQ from a unit investment trust to an open-end fund. Under the existing structure, Invesco received only reimbursements for marketing and administrative costs, without profit. After conversion, Invesco could collect a 0.18% unitary management fee on what were then $352.7 billion in assets and use custom redemption baskets.⁠[13]

The definitive proxy statement, dated August 18, 2025, set the shareholder meeting for October 24, 2025, to vote on amending the trust indenture, electing a board of trustees and approving an investment advisory agreement with Invesco, all three of which had to pass. As a unit investment trust, QQQ had no board and no investment adviser, could not lend securities and could not reinvest income.⁠[14]

On October 24, 2025, after falling short of the votes needed for the conversion, Invesco adjourned the special shareholder meeting to December 5, 2025, saying “additional time is needed to reach the required totals” and that votes cast so far were “overwhelmingly in favor” of the proposals.⁠[15]

On December 5, 2025, the meeting was adjourned again, until 7:00 a.m. Central Time on December 19, 2025. Invesco said the proposals were very close to the required threshold, having already received over 50% of shares voting in favor.⁠[16]

The Nasdaq-100 Index is reconstituted each year in December. On December 12, 2025, Nasdaq announced the results of that year’s reconstitution, effective before the market open on December 22, 2025: Alnylam Pharmaceuticals, Ferrovial, Insmed, Monolithic Power Systems, Seagate Technology and Western Digital joined the index, while Biogen, CDW, GlobalFoundries, Lululemon Athletica, ON Semiconductor and The Trade Desk were removed.⁠[17]

On December 19, 2025, Invesco announced that QQQ shareholders had approved the modernization proposals, moving QQQ from a unit investment trust to an open-end fund governed by a board of trustees and cutting its total expense ratio from 0.20% to 0.18%, with trading as an open-end fund expected from December 22. Invesco said the change carries no tax implications for investors.⁠[18]

The reclassification took effect after the market close on December 19, 2025, when Invesco Capital Management changed from sponsor to adviser.⁠[19]

Based on the breakdown Invesco gave on its July 2025 earnings call, about 14 basis points of the new fee cover Nasdaq-100 licensing, administration, custody and marketing, while the remaining 4 basis points become incremental net revenue for Invesco, roughly $160 million a year.⁠[20]

By February 2026, QQQ had recorded $3.9 billion in net outflows since it began trading as an open-end ETF on December 22, 2025, while $7.5 billion had been withdrawn year to date. QQQM, which charges 0.15%, gathered $2.7 billion in inflows over the same post-conversion period.⁠[21]

As of March 31, 2026, the fund had net assets of $371,121,437,386 and 102 portfolio holdings. Its annualized expense ratio for October 1, 2025, to March 31, 2026, was 0.19%.⁠[19]

As of June 30, 2026, the fund had net assets of $485,758,163,019. Some of its securities were on loan, and investments purchased with cash collateral from securities on loan totaled $1,732,582,992.⁠[22]