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How does your fund attempt to track the Nasdaq-100? Does it hold all the names in the index?
How does your fund attempt to track the Nasdaq-100? Does it hold all the names in the index?
Updated over a week ago

Cache Exchange Funds approximate the Nasdaq-100 by employing quantitative portfolio optimization strategies to approximate the risk and return characteristics of the index. It is not an index fund that aims to hold all the constituents of the benchmark.

In addition to sourcing stocks that align the fund with the benchmark, our ongoing fund management involves periodic assessments to rebalance the fund and align its holdings with the evolving dynamics of the Nasdaq-100. Occasionally, Cache might use synthetic exposures such as options or futures to achieve the desired market exposure without needing to hold all constituent stocks directly.

Through these methods, Cache funds are structured to provide investors with similar growth opportunities and diversification benefits to those associated with the Nasdaq-100. Like an index fund, participation in an index fund still includes risk, including the loss of principal.

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