Launched on June 12, 2008, the Invesco NASDAQ Internet ETF (PNQI) is a passively managed exchange traded fund designed to provide a broad exposure to the Technology - Internet segment of the equity market.
An increasingly popular option among retail and institutional investors, passively managed ETFs offer low costs, transparency, flexibility, and tax efficiency; they are also excellent vehicles for long term investors.
Investor-friendly, sector ETFs provide many options to gain low risk and diversified exposure to a broad group of companies in particular sectors. Technology - Internet is one of the 16 broad Zacks sectors within the Zacks Industry classification. It is currently ranked 6, placing it in top 38%.
Index Details
The fund is sponsored by Invesco. It has amassed assets over $580.68 million, making it one of the average sized ETFs attempting to match the performance of the Technology - Internet segment of the equity market. PNQI seeks to match the performance of the NASDAQ Internet Index before fees and expenses.
The Nasdaq CTA Internet Index is a modified market-capitalization weighted index designed to track the performance of the largest & most liquid U.S.-listed companies engaged in internet-related businesses & that are listed on one of the three major U.S. stock exchanges.
Costs
Since cheaper funds tend to produce better results than more expensive funds, assuming all other factors remain equal, it is important for investors to pay attention to an ETF's expense ratio.
Annual operating expenses for this ETF are 0.6%, making it on par with most peer products in the space.
It has a 12-month trailing dividend yield of 0.02%.
Sector Exposure and Top Holdings
It is important to delve into an ETF's holdings before investing despite the many upsides to these kinds of funds like diversified exposure, which minimizes single stock risk. And, most ETFs are very transparent products that disclose their holdings on a daily basis.
This ETF has heaviest allocation in the Telecom sector -- about 34.6% of the portfolio. Information Technology and Consumer Discretionary round out the top three.
Looking at individual holdings, Meta Platforms Inc (META) accounts for about 9.38% of total assets, followed by Alphabet Inc (GOOG) and Apple Inc (AAPL).
The top 10 holdings account for about 62.32% of total assets under management.
Performance and Risk
The ETF has lost about 14.84% so far this year and is down about 10.17% in the last one year (as of 02/18/2026). In that past 52-week period, it has traded between $39.02 and $57.08.
The ETF has a beta of 1.26 and standard deviation of 20.45% for the trailing three-year period, making it a high risk choice in the space. With about 80 holdings, it effectively diversifies company-specific risk.
Alternatives
Invesco NASDAQ Internet ETF holds a Zacks ETF Rank of 2 (Buy), which is based on expected asset class return, expense ratio, and momentum, among other factors. Because of this, PNQI is a great option for investors seeking exposure to the Technology ETFs segment of the market. There are other additional ETFs in the space that investors could consider as well.
ALPS (OGIG) tracks OSHARES GLOBAL INTERNET GIANTS INDEX and the First Trust Dow Jones Internet ETF (FDN) tracks Dow Jones Internet Composite Index. ALPS has $113.69 million in assets, First Trust Dow Jones Internet ETF has $5.64 billion. OGIG has an expense ratio of 0.48%, and FDN charges 0.49%.
Bottom Line
To learn more about this product and other ETFs, screen for products that match your investment objectives and read articles on latest developments in the ETF investing universe, please visit Zacks ETF Center.
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Invesco NASDAQ Internet ETF (PNQI): ETF Research ReportsThis article originally published on Zacks Investment Research (zacks.com).
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