Invested $1,000 in the Betashares Nasdaq 100 ETF (NDQ) 5 years ago? Here's how much dividend income you've earned

Has this popular ETF really returned close to 100% in just five years?

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Key points

  • The Betashares Nasdaq 100 ETF has suffered alongside the Nasdaq-100 in recent months
  • Looking further back, however, the ETF has gained nearly 75% in just five years
  • And that's before we consider the dividends it's handed out in that time

As NASDAQ-100 Index (NASDAQ: NDX) fans will already know, last year was a rough one for Wall Street's tech-heavy index. It entered bear market territory in early 2022, taking the Betashares Nasdaq 100 ETF (ASX: NDQ) ­– an exchange-traded fund (ETF) tracking it – down with it.

Fortunately, the fund's long-term investors are still in the green despite last year's 31% tumble. The ETF is currently trading 74.5% higher than it was in February 2018.

Back then, $1,000 would have bought 66 units in the fund for $14.98, leaving $11 change.

As of Tuesday's close, those 66 units command a value of $1,725.24. The Betashares Nasdaq 100 ETF ended yesterday's session trading at $26.14.

For reference, the S&P/ASX 200 Index (ASX: XJO) has lifted 23% over the last half-decade.

So, the NDQ ETF has been outperforming the Aussie bourse in recent years – before we factor in dividends! Let's take a look at what happens to its returns when we also consider the fund's distributions.

All Betashares Nasdaq 100 ETF dividends since 2018

Here are all the dividends Betashares Nasdaq 100 ETF investors have likely received over the last five years:

NDQ dividends' pay dateDividend value
January 20233.1 cents
July 202284.2 cents
July 2021$1.175
January 20212.6 cents
July 202064.9 cents
January 20203.5 cents
July 2019 43.8 cents
January 20193.3 cents
July 20185.8 cents
Total:$3.287

All up, those invested in the NDQ ETF have received $3.287 per unit they've held over the last half-decade.

That means our figurative parcel has likely yielded around $216.94 of passive income in that time – bringing its total return on investment (ROI) to 96%, or nearly double the initial investment!

The Betashares Nasdaq 100 ETF currently boasts a 3.3% dividend yield.

Motley Fool contributor Brooke Cooper has no position in any of the stocks mentioned. The Motley Fool Australia's parent company Motley Fool Holdings Inc. has positions in and has recommended BetaShares Nasdaq 100 ETF. The Motley Fool Australia has positions in and has recommended BetaShares Nasdaq 100 ETF. The Motley Fool has a disclosure policy. This article contains general investment advice only (under AFSL 400691). Authorised by Scott Phillips.

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