ETF v praxi
CNDX (iShares NASDAQ 100): ETF Review — Composition, TER, and Who It's For
Key takeaways
- CNDX tracks the NASDAQ 100 — the 100 largest non-financial US companies listed on Nasdaq, heavily concentrated in technology.
- The fund is Irish-domiciled and accumulating (Acc), suitable for Czech investors in the accumulation phase.
- TER is approximately 0.33%, but always verify on justETF — higher than S&P 500 funds but still low in absolute terms.
- Concentration risk is extreme: the top 10 companies traditionally make up a large portion of the index; the technology sector dominates.
- CNDX is suitable as a satellite for an investor who consciously bets on technology exposure — not as a core global fund.
CNDX is a fund that is both fascinating and provocative as an investor choice — one that has historically delivered extraordinary returns, but at the cost of extreme sectoral concentration. It tracks the NASDAQ 100 and is a distillation of the best (and riskiest) of the US technology elite in one product.
What does the NASDAQ 100 track?
The NASDAQ 100 covers the 100 largest non-financial companies listed on the Nasdaq exchange. Historically, this means dominance of the technology sector — Apple, Microsoft, Nvidia, Amazon, Meta, Alphabet, Tesla, Broadcom. The financial sector is deliberately excluded (unlike the S&P 500). The result is an index where technology and technology-oriented companies make up most of the weight. This is the key property that distinguishes CNDX from CSPX or VWCE. Understanding how indices work is easier with the article what is a stock index.
TER and Irish domicile
CNDX is domiciled in Ireland — advantageous from a tax perspective, as explained in the article why Irish domicile. The fund is accumulating (Acc) — it automatically reinvests dividends. TER is approximately 0.33% per year — higher than S&P 500 funds, but still low in absolute terms compared with actively managed funds. Always verify the current TER on justETF.
Historical performance: attractive, but beware of simplistic conclusions
The NASDAQ 100 has been one of the best-performing equity indices in the world over recent decades. The technology revolution, cloud computing, AI, smartphones — all of these translated into dramatic growth for technology giants. But past performance does not guarantee future results. In 2000–2002 the Nasdaq lost over 75% of its value. Volatility is the price of concentration. How to manage risk is explained in the article what is risk.
Who is CNDX suitable for?
- Investor consciously betting on the technology sector: You want maximum exposure to US technology? CNDX is the direct route.
- Satellite position alongside a core global exposure: CNDX complements a global fund as a deliberate technology overweight — not a replacement.
- Investor with a longer horizon and high volatility tolerance: NASDAQ 100 is volatile — those who cannot handle it end up selling during drawdowns.
What CNDX is not
CNDX is not a globally diversified fund. It is not a conservative core position. It is not a cure-all. It is a bet on US technology companies — deliberate, concentrated, historically rewarding, but with full awareness of the risk of a sudden correction. For an overview of funds, visit the ETF navigator. A comparison with global alternatives can be found in the article All-World vs. S&P 500.
Conclusion: an excellent satellite, a dangerous core
CNDX is a great product for the right purpose. As a complement to a diversified portfolio, as a deliberate bet on the technology sector — yes. As the sole or primary fund in a beginner's portfolio — absolutely not. Knowledge and intent are the key to using this instrument correctly.
FAQ
What is the approximate TER of CNDX and where can I verify it?
CNDX's TER is approximately 0.33% per year, but always verify the current value on justETF or the iShares website. The figure can be updated and the precise number is important for cost calculation.
Is CNDX suitable as the sole fund in a portfolio?
We do not recommend it. CNDX is extremely concentrated in US technology. As the sole fund, it exposes you to sector and geographic concentration without diversification. As a satellite alongside a broader global fund (VWCE, FWRG), it makes more sense.
What is the difference between CNDX (NASDAQ 100) and CSPX (S&P 500)?
S&P 500 includes the 500 largest US companies across all sectors, including financials. NASDAQ 100 includes the 100 largest non-financial companies on Nasdaq — heavily concentrated in technology. CNDX is therefore riskier and more volatile than CSPX.