Why Buy Next-Gen Technology When You Can Invest In It?
In the dynamic realm of investing, where the rapid evolution of technology shapes the landscape, the Nasdaq-100 Index® emerges as a symbol of innovation and opportunity. Comprising the 100 most forward-thinking companies globally, the index offers a tantalizing opportunity for investors seeking exposure to next-gen technology. But beyond the mere thrill of investment, lies a deeper narrative.
Imagine this: you’re contemplating purchasing the latest tech gadget, a marvel of modern engineering. It’s sleek, it’s cutting-edge, and it promises to revolutionize your daily life. Yet, lurking in the shadows of your excitement is a nagging uncertainty – how long until this product becomes obsolete?
Herein lies the beauty of investing in the Nasdaq-100.
While the technology we adore today may fade into obsolescence tomorrow, the innovations powering them endure. The Nasdaq-100 index, housing the 100 most innovative companies globally, serves as a testament to this enduring spirit of progress. From artificial intelligence to renewable energy, biotechnology to e-commerce, these companies are the architects of tomorrow’s world.
By investing in the Nasdaq-100, you’re not merely purchasing shares; you’re investing in the very fabric of future technologies. You’re aligning your portfolio with the relentless march of progress, where yesterday’s breakthroughs are but steppingstones to tomorrow’s marvels.
So, while the allure of today’s gadgets may captivate us, it’s essential to consider the broader implications of our investments. By embracing the Nasdaq-100, we not only participate in the transformative journey of technology but also lay the foundation for a more prosperous and innovative future.
The Numbers
Now, let’s delve into the financial aspect. The average price of an iPhone 15 is roughly $974. If you buy a new iPhone every 2 years, you would have spent around $4,870 over 10 years. But what if you invested $974 every two years in the Nasdaq-100 Index Fund (NASDX) for the same duration?
Using the power of compounding, let’s calculate the future value of this investment. Assuming an annual return of 18.12%*, the future value of the investment after 10 years with payments made every two years would be approximately $4,911.38.
In this ever-evolving landscape of technology, investing in the Nasdaq-100 isn’t merely about chasing returns; it’s about investing in a future both defined by innovation and where opportunities are seemingly endless.
Important Information
*This was the average rate of return for NASDX for the last ten years ending 3/31/24.
Performance as of 3/31/2024: NASDX: YTD: 17.24% 1YR: 30.30% 3YR: 11.09% 5YR: 21.38% 10YR: 18.12% Nasdaq-100 Index: YTD: 17.47% 1YR: 30.77% 3YR: 11.51% 5YR: 21.74% 10YR: 18.91%
NASDX Expense Ratio: Gross: 0.66% Net: 0.52%
An investment in the Fund involves risk, including possible loss of principal. Fund information is not intended to represent future portfolio composition. Portfolio holdings are subject to change and should not be considered a recommendation to buy individual securities.
The Fund invests in the largest non-financial companies that are traded on the Nasdaq Stock Market. They are currently concentrated in the technology sector which has been among the volatile sectors of the U.S. stock market. During a declining stock market, this fund would lose money. It would potentially lose more money than other large cap funds.
Nasdaq®, Nasdaq-100® and Nasdaq-100 Index® are trade or service marks of The Nasdaq Stock Market, Inc. which with its affiliates are the “Corporations”) and are licensed for use by the Fund. The Fund has not been passed on by the Corporations as to their legality or suitability. The Fund is not issued, endorsed, sold, or promoted by the Corporations. The Corporations make no warranties and bear no liability with respect to the Fund.
It is not possible for individuals to invest directly in an index. Performance figures for an index do not reflect deductions for sales charges, commissions, expenses or taxes.
Shelton Funds are distributed by RFS Partners, a member of FINRA and affiliate of Shelton Capital Management.
Investors should consider a fund’s investment objectives, risks, charges, and expenses carefully before investing. The prospectus contains this and other information about the fund. To obtain a prospectus, visit www.sheltonfunds.com or call (800) 955-9988. A prospectus should be read carefully before investing. Diversification does not assure a profit or protect against lost in a declining market.
INVESTMENTS ARE NOT FDIC INSURED OR BANK GUARANTEED AND MAY LOSE VALUE.