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Non-Tech : QQQ - Nasdaq 100 Trust -- Ignore unavailable to you. Want to Upgrade?

To: Charlie Schultz who wrote (26)	3/28/1999 6:07:00 PM
From: neverenough	Respond to of 840

From the Bull Market Report, 3/28/99 $$$$$ THE NASDAQ 100 TRUST How would you like to be able to buy the following stocks in one purchase: Microsoft, Intel, MCI Worldcom, Dell, Cisco and EBAY? Now you can do this in the new Nasdaq product called the Nasdaq 100 Trust which is traded on the American Stock Exchange (ASE) under the symbol QQQ and known as “the Q's.” We mentioned it two weeks ago when it started trading but we must tell you that it is proving VERY popular. It was 2nd most active on the ASE last week, trading over 20 million shares. The most active was the Spider – the trust that consists of all the stocks in the S&P 500 with the symbol of SPY. It traded over 33 million shares and has been the most active stock there for months and months. What is the Q's? It is a stock that mimics the Nasdaq 100. It IS the Nasdaq 100. You can buy 10 shares or 100 shares or 1000 shares depending on how you want to allocate your assets. The Nasdaq 100 consists of 100 stocks that have the highest market caps on Nasdaq and the index and the new trust are capitalization weighted. This means that Microsoft, the largest market cap in the world, has a 17% share of the index. Intel has 7%, MCI WorldCom has 6% and Dell has 4%. So if you don't have enough Microsoft (and anyone who has been reading this report for the past months must have at least 100 shares at this point - yes!), then buying the new Nasdaq Trust will give you a healthy chunk of Microsoft. You can daytrade the Q's during the day or you can put it away and keep it for years as good investors are wont to do (!) The trust vehicle is very safe, as each dollar is invested in the actual stocks of the index and held in escrow in a major money-center bank for safekeeping. The nice thing is that you can buy, sell or short the stock at anytime during the day. You don't have to wait for the close of trading to get your money out. One of the disadvantages of the new index mutual funds is that you can't liquidate until the close of trading. Thus if the market is collapsing and you want to get out, you can't. With the Nasdaq Trust you can sell at any time during the day and if you are brave, you can short the stock (with no uptick rule) to take advantage of market declines. (We will discuss shorting in upcoming issues.) We love technology here at The Bull Market Report and have been asked many times what mutual fund we like best and we never have had a good answer. If you want to own the 100 largest technology companies on Nasdaq, go out and buy a few shares on Monday. The index has grown by a factor of five over the last five years and we think the growth will continue into the new millennium. Now we have a good answer to that question!