Since it passively follows the index, the QQQ stock price goes up and down along with the tech-heavy Nasdaq 100. Passive management keeps fees low, and investors are rewarded with the full gains of this volatile index if it rises. However, investors also take the Nasdaq 100's full losses when it falls.

Is QQQ ETF actively managed?

They're also passively managed, making them less expensive than their actively managed counterparts. Choosing the right ETF, however, can sometimes be a challenge. ... Two of the most popular ETFs are the Invesco QQQ ETF (NASDAQ:QQQ) and the Vanguard S&P 500 ETF (NYSEMKT:VOO).

Is QQQ active fund?

The Invesco NASDAQ-100 Growth Leaders Portfolio is an actively managed fund (QQQ is passive) and unique in that focuses on the 25 Nasdaq-100 companies deemed to have the best growth prospects. In other words, this is an actively managed large-cap growth fund.