S&P 500 vs Nasdaq 100: Which US ETF?
Short answer: the S&P 500 bundles 500 US stocks across every sector, the Nasdaq 100 only 100 — tech-heavy, with no banks or insurers and around 50 % IT. The Nasdaq 100 has grown faster historically but is more concentrated and more volatile. Over 80 of the Nasdaq 100 names already sit inside the S&P 500 — the overlap is huge. Most investors pick one as their core, usually the broader S&P 500, and should not hold both at the same time.
The difference in one sentence
The S&P 500 tracks the 500 largest US companies across all eleven sectors — from tech to banks, healthcare and energy. The Nasdaq 100, by contrast, holds only the 100 largest non-financial names listed on the Nasdaq and, at around 50 % technology, is far more concentrated. If you want broad diversification, take the S&P 500; if you deliberately want a heavier tilt to tech and growth, the Nasdaq 100.
S&P 500 ETFs compared (ISIN & TER)
The S&P 500 is the most traded US index in the world. The UCITS products are extremely cheap — with cost leader SPDR you pay just 0.03 % per year. Acc means accumulating (dividends reinvested), Dist means distributing.
S&P 500 UCITS ETFs (as of June 2026)
| Product | ISIN | TER p.a. | Type |
|---|---|---|---|
| SPDR S&P 500 | IE00B6YX5C33 | 0.03 % | distributing |
| Invesco S&P 500 | IE00B3YCGJ38 | 0.05 % | accumulating (swap) |
| iShares Core S&P 500 | IE00B5BMR087 | 0.07 % | accumulating |
| Vanguard S&P 500 | IE00B3XXRP09 | 0.07 % | distributing |
Nasdaq 100 ETFs compared (ISIN & TER)
Nasdaq 100 ETFs are noticeably more expensive — usually around 0.30 %. The cheapest here is the swap-based Amundi version. Higher costs plus stronger concentration are the price of the growth bet.
Nasdaq 100 UCITS ETFs (as of June 2026)
| Product | ISIN | TER p.a. | Type |
|---|---|---|---|
| Amundi Nasdaq-100 | LU1681038243 | 0.23 % | accumulating (swap) |
| iShares Nasdaq 100 | IE00B53SZB19 | 0.30 % | accumulating |
| Invesco EQQQ Nasdaq-100 | IE0032077012 | 0.30 % | distributing |
Head to head: S&P 500 vs Nasdaq 100
S&P 500 vs Nasdaq 100 at a glance
| Feature | S&P 500 | Nasdaq 100 |
|---|---|---|
| Number of stocks | 500 | 100 |
| Sectors | all 11 | no financials |
| IT weighting | ~33 % | ~50 % |
| Character | broad market | growth / tech |
| Volatility | more moderate | higher |
| TER (cheapest) | 0.03 % | 0.23 % |
Growth versus concentration — which to pick?
The Nasdaq 100 has beaten the S&P 500 on returns over the past decade — carried by Apple, Microsoft, Nvidia, Amazon and Alphabet. But that very concentration is the risk: in tech corrections the Nasdaq 100 falls considerably further. The S&P 500 holds the same high-flyers but cushions them with banks, healthcare, industrials and energy. For most investors the S&P 500 is the better core; the Nasdaq 100 is better suited as a deliberate growth satellite.
Over 80 of the 100 Nasdaq names already sit inside the S&P 500. Holding both ETFs as your core does not buy real diversification — it just doubles up the tech heavyweights, so Apple, Microsoft, Nvidia & co. appear twice. The result is concentration risk in a handful of stocks. Better: pick one US ETF as your core (usually the S&P 500) and widen diversification across regions or a global ETF, not via a second US index.
🌍 Tax: an equity ETF (German example)
S&P 500 and Nasdaq 100 ETFs are equity ETFs (equity quota above 51 %). As an example, in Germany they qualify for the 30 % partial exemption (Teilfreistellung), so only 70 % of gains and distributions are taxed. Rules vary by country — check your local rules.
- Germany (example): 25 % flat tax + solidarity surcharge on 70 % of the gain thanks to the partial exemption.
- An annual tax-free allowance of €1,000 applies in Germany.
- Accumulating ETFs trigger an annual advance lump sum (Vorabpauschale), credited against tax due at sale. Other countries treat this differently — check your local rules.
FAQ — S&P 500 vs Nasdaq 100
S&P 500 or Nasdaq 100 — which is better?
For most investors the S&P 500 is the better core because, with 500 stocks across all sectors, it is more broadly diversified. The Nasdaq 100 holds only 100 tech-heavy names (around 50 % IT, no financials), has grown faster historically but is much more volatile. If you deliberately want a heavier tech tilt, use the Nasdaq 100 as a satellite.
Should I hold both the S&P 500 and the Nasdaq 100?
Usually no. Over 80 of the 100 Nasdaq names already sit inside the S&P 500. Holding both as your core just doubles up the big tech names like Apple, Microsoft and Nvidia, creating concentration risk rather than real diversification. It is smarter to use one US ETF as your core plus diversification via a global ETF or other regions.
Which S&P 500 ETF is the cheapest?
The SPDR S&P 500 UCITS ETF (IE00B6YX5C33) is the cost leader at 0.03 % TER. Also very cheap are the Invesco S&P 500 (IE00B3YCGJ38, 0.05 %) plus the iShares Core S&P 500 (IE00B5BMR087) and Vanguard S&P 500 (IE00B3XXRP09) at 0.07 % each.
Why is the Nasdaq 100 more volatile?
Because with just 100 holdings and around 50 % technology it is far more concentrated than the S&P 500. Banks, insurers and defensive sectors are entirely absent. In tech corrections the Nasdaq 100 therefore falls deeper, and in tech rallies it rises more — higher return potential at higher risk.