undefined | Better HN

0 pointsGalanwe2y ago0 comments

> Is there more global access to the US market? Does capital flow with less friction to it?

Yes, and yes.

> What about indexes? If they qualify for NASDAQ or some other major index, there's some "mandatory" investment that gets triggered by a bunch of funds that do index tracking.

NASDAQ is an exchange, not an index.

The most prominent index on NASDAQ is the QQQ, the top 100 stocks,market cap weighted.

But this is the big boy playground, the smallest stocks in QQQ should have at least $400B marketcap. ARM by the most optimistic estimation should be 1/10th of that.

0 comments

sgerenser2y ago

Arm would definitely qualify for the Nasdaq 100 index. I don’t know where you’re getting the $400B market cap minimum, but the current index includes Zoom (19.7B), Walgreens (23.3B) and eBay (22.8B), among many other companies well below $40B (let alone $400B) market cap.

GalanweOP2y ago

Damn you're right. I should have stayed in bed today.

throw0101b2y ago

> The most prominent index on NASDAQ is the QQQ, the top 100 stocks,market cap weighted.

QQQ is an index fund:

* https://en.wikipedia.org/wiki/Invesco_QQQ

That follows the Nasdaq-100 index:

* https://en.wikipedia.org/wiki/Nasdaq-100

There are other funds that track it too from companies other than Invesco.

GalanweOP2y ago

Right, right, you're 100% correct.

To further explain, in most financial jargon, one often call an index by its (historically) most traded tracking fund. That is, the NASDAQ 100 is often called the QQQ, the S&P 500 is often called "spider" (SPDR), etc.

But you're 100% right, in a comment about vocabulary, jargon has no place.

j / k navigate · click thread line to collapse

0 pointsGalanwe2y ago0 comments

> Is there more global access to the US market? Does capital flow with less friction to it?

Yes, and yes.

> What about indexes? If they qualify for NASDAQ or some other major index, there's some "mandatory" investment that gets triggered by a bunch of funds that do index tracking.

NASDAQ is an exchange, not an index.

The most prominent index on NASDAQ is the QQQ, the top 100 stocks,market cap weighted.

But this is the big boy playground, the smallest stocks in QQQ should have at least $400B marketcap. ARM by the most optimistic estimation should be 1/10th of that.

0 comments

sgerenser2y ago

GalanweOP2y ago

Damn you're right. I should have stayed in bed today.

throw0101b2y ago

> The most prominent index on NASDAQ is the QQQ, the top 100 stocks,market cap weighted.

QQQ is an index fund:

* https://en.wikipedia.org/wiki/Invesco_QQQ

That follows the Nasdaq-100 index:

* https://en.wikipedia.org/wiki/Nasdaq-100

There are other funds that track it too from companies other than Invesco.

GalanweOP2y ago

Right, right, you're 100% correct.

But you're 100% right, in a comment about vocabulary, jargon has no place.

j / k navigate · click thread line to collapse