BlackRock Looks to Challenge QQQ With New Nasdaq-100 ETF

On Thursday, July 9, BlackRock debuted the iShares Nasdaq 100 ETF (IQQ). IQQ marks a significant inflection point in the ETF market, as BlackRock looks to challenge the tried-and-true Invesco QQQ Trust Series I (QQQ).

Key Takeaways:

• BlackRock has launched the iShares Nasdaq 100 ETF (IQQ), a fund that provides targeted exposure to companies within the Nasdaq-100.
• IQQ joins the State Street SPDR Portfolio Nasdaq 100 ETF (QNDX) as the second fund to challenge Invesco’s QQQ.
• QQQ continues to post strong annual results, especially after the fund announced structural adjustments at the end of 2025.

As one may expect, IQQ looks to provide focused exposure to the Nasdaq-100. This index has historically offered compelling access to companies within the tech, consumer discretionary, healthcare, and industrials sectors. 

“IQQ enhances our ability to offer investors access to the Nasdaq-100 with iShares ETFs — providing complementary strategies that allow them to align their portfolios with their objectives,” said Elise Terry, U.S. Head of iShares at BlackRock. “Supported by the liquidity, market quality, and scale of the iShares platform, this expanded suite gives investors the flexibility to customize their exposures and evolve portfolios over time.”

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Part of how IQQ aims to challenge QQQ’s long-standing dominance is through its expense ratio. IQQ usually operates with an expense ratio of 12 basis points, and is temporarily running a waiver that reduces that to 10 basis points. 

Amping Up The Competition

BlackRock is not the first firm to go to bat against the Q’s. Back in June, State Street also launched the State Street SPDR Portfolio Nasdaq 100 ETF (QNDX), which likewise provides distinct access to the Nasdaq-100. 

See More: State Street Goes Heads Up With Qs, Launches Nasdaq 100 ETF

It’s certainly worth noting that QQQ is currently posting highly impressive results. As of June 29, 2026, the fund has a 1-year cumulative return of 33.98%. 

This comes after Invesco announced a number of changes to QQQ’s structure at the end of 2025. The restructuring included shifting the format from a unit investment trust into an open-ended ETF and lowering the fund’s fee by two basis points. Consequently, long-term QQQ investors will likely stick with the strategy despite new competition.

That being said, competition can also breed innovation. Advisors and investors would be wise to keep an eye on all three ETFs in the weeks and months to come. Considering that the Nasdaq-100’s tech tilt taps into a number of favorable trends, such as artificial intelligence (AI), these funds could offer potent positions within a multitude of portfolios. 

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