How to Invest in Nasdaq

Apple, Microsoft, Alphabet: The Nasdaq 100 combines the world’s biggest and most important tech companies. This guide from moneyland.ch provides the information you need in order to begin investing in this major US stock market index as a Swiss investor.

What is the Nasdaq 100?

The Nasdaq 100 tracks the 100 biggest companies listed on the Nasdaq stock exchange in New York, excluding companies in the finance sector. Which stocks are included, and how much weight they carry in the index, is determined solely on the basis of market capitalization. However, one company’s stock cannot make up more than 24 percent of the index.

A look at the index confirms Nasdaq’s reputation as an exchange for tech stocks, with tech companies making up considerably more than 50 percent of the index.

Table 1: The 10 companies with the biggest weightings in the Nasdaq 100

Source of weighting figures: Nasdaq. Date: June 30, 2026. Data sampled on July 29, 2026.

When Swiss investors talk about the Nasdaq index, they are normally referring to the Nasdaq 100 index. Another important index is the Nasdaq Composite, which tracks more than 3000 companies listed on the Nasdaq exchange. The Nasdaq Composite is much more diversified than the Nasdaq 100. But in practice, the Nasdaq Composite is strongly influenced by the most heavily weighted companies. This results in the two indexes having very similar performance.

The Nasdaq 100 is a price index. That means its performance does not account for stock dividends. There is a sub-index, the Nasdaq 100 Total Return index, which accounts for dividends in its performance.

How accurately does the Nasdaq 100 reflect the US stock market?

The Nasdaq 100 is only moderately representative of the overall US stock market. While it does include some of the biggest US companies, its focus on specific industry sectors means it is not representative of the market as a whole. The Nasdaq 100 primarily reflects the tech sector. Industrial companies outside of the tech sector only play a limited role, and banks are excluded completely.

The Nasdaq Composite, with more than 3000 different stocks, is much more widely diversified. But in practice, it is dominated by the same big companies that also make up the lion’s shares of the Nasdaq 100.

If you also want to invest in non-tech US stocks, the Dow Jones Industrial Average and especially the S&P 500 are more suitable indexes.

Which ETFs can I use to invest in the Nasdaq 100?

ETFs provide a way to invest in all of the stocks that make up the Nasdaq 100, even if you only have relatively small amounts of capital to invest. These passively managed funds invest in the stocks underlying the index in order to replicate it as accurately as possible. ETFs are traded on stock exchanges just like the stocks of companies. All that you need in order to buy shares in ETFs is a stock brokerage account. Swiss banks that specialize in online trading generally have lower fees and charges than other banks. You can find out which brokerage account is best for your investment need using the online trading comparison on moneyland.ch.

Alternatively, you can also invest in ETFs with the Swiss neobanks Neon, Yuh and Zak. However, the list of ETFs and stocks that you can invest in using these neobanks is limited. It is possible that not all of the Nasdaq 100 ETFs listed below will be available in these apps.

Table 2: ETFs that track the Nasdaq 100, sorted by their ongoing costs (TERs)

Date: July 29, 2026.

What are the costs of investing with ETFs?

An advantage of passively managed funds like ETFs is that they have relatively low fees – especially when compared to actively managed mutual funds. The fund costs are shows as the total expense ratio (TER). But there are other costs which you should also pay attention to, such as the brokerage fees and custody fees charged by your bank for buying, holding, and selling ETF shares, and Swiss stamp duties.

The Swiss stamp duties are the same no matter which Swiss bank you use, but there are big differences in the brokerage fees and custody fees charged by different banks. The online trading comparison on moneyland.ch helps you find the most affordable stock brokerage account for your needs.

What are the advantages of investing in the Nasdaq 100?

The Nasdaq 100 blends world-famous companies with high-return stocks. Investments in the tech sector can potentially deliver high returns. A look at past performance shows that between 2021 and 2024, the Nasdaq 100 gained far more value than the global stock index MSCI World as well as the Swiss Market Index, Switzerland’s flagship stock index. Please note, however, that past performance is not indicative of future returns.

Table 3: Performance comparison of a Nasdaq 100 ETF, a SMI ETF and a MSCI World ETF

Source: Justetf.com. Cumulative performance in CHF, accounting for dividends. Dates used for the performance comparison: July 28, 2021; July 28, 2026.

What are the disadvantages of investing in the Nasdaq 100?

The strong focus on specific sectors is a disadvantage. Money invested in the Nasdaq 100 is not spread out over many different sectors. While the index, with its 100 stocks, is numerically more broadly diversified than the Swiss Market Index with 20 stocks, more than 50 percent of the Nasdaq 100 is comprised of just the tech sector.

The tech sector is prone to fluctuations, and stand out with its high volatility. High potential returns are countered by substantial risks, especially for short-term investing. If you have a hard time coping with market fluctuations, then you should probably stay away from investing in the Nasdaq 100.

The currency exchange risk also should not be underestimated. The Nasdaq 100 is denominated in US dollars. If the US dollar were to lose value against the Swiss franc, that would have a negative impact on your real returns.

Also note that stock dividends paid out to shareholders of US companies are subject to a US withholding tax. You can reclaim part of this tax when you complete your Swiss tax returns. You can find more information in the guide to investing in US stocks.

Notice: This article is provided for informational purposes only, and should not be considered investment advice. The publishers do not accept any liability in connection with this article.

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How to invest in the DAX
How to invest in the Nikkei
How to invest money in Switzerland