Marshall Dumps 15,220 QQQ Shares Worth $7,560,000

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On the 11th of July, Marshall Financial Group revealed a decrease of around $7.56 million in their holdings of the Invesco QQQ Trust Series 1.

What happened

Marshall Financial Group disposed of 15,220 shares worth approximately $7.56 million from its holding in Invesco QQQ Trust, Series 1. This transaction is outlined in a filing with the U.S. Securities and Exchange Commission which can be found here. Following the sale, the fund retained 13,058 remaining shares of QQQ, valued at approximately $7.21 million as per the July 10 closing price.

What else to know

The sale reduced QQQ’s share of Marshall’s 13F AUM to 1.4% as of July 10.

Top fund holdings after the filing:

QLD: $60.49 million (11.9% of AUM) as of June 30, 2025

OBND: $52.59 million (10.3% of AUM) as of June 30, 2025

SSO: $49.84 million (9.8% of AUM) as of June 30, 2025

JBBB: $40.69 million (8.0% of AUM) as of June 30, 2025

MFSB: $36.49 million (7.2% of AUM) as of June 30, 2025

On July 10, 2025, QQQ closed at $555.45, marking a 11.6% increase from the previous year. However, it lagged behind the S&P 500 by a marginal 1.0 percentage point in this timeframe.

In simple terms, the dividend yield is 0.5%, the forward P/E ratio is 32.53, and on July 10, 2025, QQQ was 0.4% lower than its highest price point over the past year.

ETF overview

Metric Value
Assets Under Management (AUM) $358 billion
Current price $555.45
Dividend yield 0.5%

ETF snapshot

I, an observer, note that QQQ functions as an Exchange-Traded Fund (ETF), mirroring the NASDAQ-100 Index. This fund is passively managed, intended to reflect the index’s mix of components and overall performance. QQQ caters primarily to institutional investors, financial advisors, and individual investors who desire investment in large-cap growth stocks within this index.

The fund’s approach is to closely mirror the mix and results of the NASDAQ-100 Index, making adjustments as the index evolves to ensure conformity. This large-scale and highly liquid investment offers easy access for investors to a diverse range of forward-thinking, growth-focused companies.

Foolish take

Over the last decade, I’ve found myself drawn to the QQQ fund as an exciting avenue for investing on the dynamic side of Wall Street, mirroring the tech-focused NASDAQ-100 index. This investment vehicle has seen a staggering 402% growth over the past ten years, outpacing the broader S&P 500 index’s 196% increase during the same period. However, if you consider total returns instead, the performance gap narrows somewhat due to the lower average dividend yields associated with the growth-oriented NASDAQ index.

It appears that Marshall Financial chose to sell more than half of its QQQ shares, which might seem like a strategy to reduce risk initially. While the QQQ can be thrilling during uptrends, it’s important to remember that market corrections can intensify the discomfort felt by ETF owners. Since predicting market movements is impossible, Marshall Financial could miss out on substantial profits if the QQQ continues its upward trend. However, if the economy takes a turn for the worse in the second half of 2025, these sales could prove to be a shrewd decision.

Nevertheless, it’s important to note a peculiarity in this transaction: Prior to this sale, QQQ didn’t account for a significant share of Marshall Financial’s overall investments. Instead, their largest holding was a leveraged version of the same index ETF called QLD or ProShares Ultra QQQ 2x Shares. This investment utilizes options and ETF-related accounting techniques to double the daily returns of the QQQ, regardless of whether the underlying security is rising or falling. For Marshall Financial, this is a fresh addition to their portfolio.

Essentially, Marshall seems to be boosting its involvement with the QQQ, thereby heightening its potential losses due to market fluctuations. In simpler terms, it looks like Marshall anticipates substantial growth in the technology sector for the remainder of the year.

Moving forward, the specifics remain uncertain, but transitioning from QQQ to QLD represents a particularly optimistic move according to Marshall Financial. Regardless of whether this decision proves correct in the long run, it demonstrates a confident outlook on current market conditions at present.

Glossary

Investment product traded over stock markets, containing various stocks to mirror a specific market index.

The NASDAQ-100 Index is a collection of 100 major, non-financial corporations that are publicly traded on the NASDAQ stock market.

Total investment portfolio value: This refers to the combined worth of all investments overseen by a particular fund or financial entity.

A quarterly document submitted by institutional investors detailing their ownership of stocks, which is made available to the Securities and Exchange Commission (SEC).

Annual dividend rate for a fund or company: The yearly dividend amount given out, calculated as the ratio of this amount against the current share price, then presented in percentage form.

Predicted Earnings-to-Price Ratio: This is a method for evaluating investment worthiness by considering the amount paid by investors for each anticipated dollar of profit.

Trailing: Refers to performance or data measured over a previous period, such as the past year.

Stake: The amount or percentage of ownership an investor or fund holds in a particular asset.

Replicate: To closely match the composition and performance of a specific index or benchmark.

Trade Value: The total U.S. dollars realized from the exchange of securities during a single transaction.

Sharing my excitement here! When I talk about filing, I’m referring to the thrill of preparing and submitting an important document, usually containing details about finances or investments, to those who keep a watchful eye on such matters – our trusted regulators. It’s like sharing a piece of myself with them, ensuring transparency and accountability in my endeavors!

52-week high: The highest price at which a security has traded during the past year.

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2025-07-22 17:45