Nasdaq, Inc. · NASDAQ:NDAQ
Nasdaq — Celebrating 40 Years of the Nasdaq-100 Index® (NDX®)
33 slides from Nasdaq's investor presentation, Jan 31, 2025
Slide 1: Nasdaq-100 Index: The Benchmark of the 21st Century
Nasdaq - 100 Index®: The Benchmark of the 21st Century August 2026
Slide 2: Nasdaq: A Leading US and Global Exchange Operator with World-Class Indexing Capabilities
Nasdaq: A Leading US and Global Exchange Operator with World - Class Indexing Capabilities 1971 1980 1986 1997 2004 2012 2026 Nasdaq Stock Market® Total value of ~3,300 Apple went Microsoft Amazon Google went Facebook began operations as securities listed on public on went public went public public
Slide 3: The Benchmark of the 21st Century
The Benchmark of the 21st Century Different economic eras deserve distinct benchmarks that measure the most important market participants. 1896 THE DOW 1957 S&P 500 1985 NASDAQ - 100 30 Industrials 500 Large Caps A New Blueprint Starting with 12 companies 500 companies reflecting a A shift toward in
Slide 4: Nasdaq-100: The Benchmark of the 21st Century
Nasdaq - 100: The Benchmark of the 21st Century The Nasdaq - 100 is a benchmark of 100 of the largest non - financial companies listed on the Nasdaq Stock Market®. 100 Innovative large caps 10 Industries Represented 1 Leading US exchange LISTING VENUE SECTOR BREADTH GROWTH/VALUE OVERLAP MODERN COMPA
Slide 5: Nasdaq-100's Long-Run Performance vs. Benchmarks
Nasdaq - 100’s Long - Run Performance vs. Benchmarks Nasdaq-100 S&P 500 S&P 500 Growth Russell 1000 Growth S&P Technology Select Sector 2000% KEY TAKEAWAYS 1800% +1,783% 01 1600% +1,635% In line with S&P Tech 1400% Sector despite being far 1200% more diversified 1000% +936% 02 800% +923% More than 2
Slide 6: Two Decades of Fundamental Outperformance
Two Decades of Fundamental Outperformance • Over the last 20 years, the Nasdaq - 100 has produced annualized growth in Revenues / Earnings / Free Cash Flow approximately twice that of the broader S&P 500, and 2.5 times the rate of dividend growth. • On a cumulative basis, NDX index - weighted revenu
Slide 7: Nasdaq-100 is an Innovation Powerhouse
Nasdaq - 100 is an Innovation Powerhouse • R&D is a key driver of innovation and economic growth, with empirical support showing that high R&D spending firms outperform ov er the long run • Companies in the Nasdaq - 100 spend about 1.2 x in R&D, on average, compared to those in the S&P 500; 8 5 of t
Slide 8: Performance Deep Dive
Performance Deep Dive 8
Slide 9: Nasdaq-100: Historical 1-Year Price Returns
Nasdaq - 100: Historical 1 -Year Price Returns ~4 decades in, the index has produced positive price returns in more than 8 years per decade on average. 82.5% Positive Years (33 / 40) 18.3% Average Annual Return +28.0% Avg. Positive Year −27.6% Avg. Negative Year Best year 1999 +102.0% 1999 102.0% 19
Slide 10: Nasdaq-100 Index: Performance vs. S&P 500
Nasdaq - 100 Index: Performance vs. S&P 500 Outperformed the S&P 500 in 14 of 18 years — with only ~3% higher annualized volatility. INDEX ANNUAL TOTAL RETURNS 18-YEAR CUMULATIVE Annual Total Return Performance Nasdaq-100® S&P 500 +1,635% 60% 54.61% 55.13% NDX cumulative total return 48.88% vs. +627
Slide 11: Nasdaq-100: Performance vs. S&P 500 (Volatility)
Nasdaq - 100: Performance vs. S&P 500 INDEX VOLATILITY SINCE DECEMBER 31, 2007 CBOE Nasdaq - 100 Volatility Index CBOE S&P 500 Volatility Index 90 80 70 60 50 40 30 20 10 0 2007 2008 2009 2010 2011 2012 2013 2014 2015 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 Cumulative annualized volatility
Slide 12: Nasdaq-100 Cumulative 2026 Performance vs. Top 10
Nasdaq - 100® Cumulative 2026 Performance vs. Top 10 January February March April May June YTD NDX YTD NDX YTD NDX YTD NDX YTD NDX YTD NDX 1.20% - 1.15% - 5.98% 8.72% 20.13% 19.91% COST COST COST GOOGL AVGO GOOGL 9.19% 17.38% 15.71% 23.02% 29.35% 14.32% META WMT WMT AVGO GOOGL AVGO 8.55% 14.85% 11.7
Slide 13: NDX vs SPX: Drawdown Recovery
NDX vs SPX: Drawdown Recovery 25% faster recovery on average — NDX rebounds in 361 days vs. 476 for the S&P 500, faster in 7 of the last 8 drawdowns. 2008 Financial Crisis 2010 European Debt Crisis 2011 US Credit Downgrade 2015 China Yuan Devaluation 40% 10% 10% 10% 20% 0% 0% 0% 0% -20% -10% -10% -1
Slide 14: Morningstar Rankings
Morningstar Rankings QQQ, largest fund tracking NDX, ranked in the top (95 - 99 th ) percentiles across all funds in its Large Growth category (trailing 10/15 - year basis) 14
Slide 15: Coveted Placement
Coveted Placement The 100 that Make the Index 15
Slide 16: Nasdaq-100: Constituent Size vs. S&P 500
Nasdaq - 100: Constituent Size vs. S&P 500 As of year - end 2025, NDX companies are at least 2x larger than S&P 500 peers across the board. AVERAGE MARKET CAP MEDIAN MARKET CAP SMALLEST COMPANY $330B NDX $78B NDX $26B NDX vs. $122B S&P 500 vs. $39B S&P 500 vs. $6B S&P 500 2.7 × larger 2.0 × larger 4
Slide 17: Nasdaq-100 vs. S&P 500: Composition Over Time
Nasdaq - 100 vs. S&P 500: Composition Over Time NDX vs. SPX Market Capitalization Number of Components in NDX and SPX by Exchange 60% 600 60 NDX/SPX Ratio: Index market capitalization 54% 53 53 of the Nasdaq - 100 divided by index market 52% 52 capitalization of the S&P 500, in % 50% 48% 500 48 48 5
Slide 18: Nasdaq-100: Index Methodology
Nasdaq - 100: Index Methodology 100 Modified Quarterly Annual Largest Nasdaq - listed Market - cap weighting Rebalances (w/ capping) Reconstitution (w/ unique companies, ex - Financials Not float - adjusted and additions/deletions capping process) What gets into the index & when Concentration safegu
Slide 19: Ecosystem Continues Expanding
Nasdaq - 100 Ecosystem Continues Expanding Average 2025 Market Size (Notional) $350bn in total notional value added in 2025 Across Global NDX Products ($) Source: Nasdaq, CME, OCC, Factset, Bloomberg, Morningstar. ETF and Mutual Fund sizes are reflective of the Assets Under Manageme nt linked or ben
Slide 20: Nasdaq-100 Volumes Well Over $100 Trillion
Nasdaq - 100 Volumes Well Over $100 Trillion 2025 Dollar Volume Across Exchange -Traded NDX Products ($) • In 2025, total notional traded across Nasdaq - 100 futures (~$85 trillion), Nasdaq - 100 listed options (~$46 trillion), and ETFs (~$7 trillion) exceeded $140 trillion. • Per CME: “Once the E -
Slide 21: Fundamentals Drive Performance
Fundamentals Drive Performance 21
Slide 22: What's inside the NDX today
What's inside the NDX today 10 sectors, 100 names — diversification across the modern economy. SECTOR BREAKDOWN · Q2 2026 Technology 68.5% Consumer Staples 2.0% Consumer Disc. 16.4% Basic Materials 1.3% Health Care 3.6% Utilities 1.1% Telecom 3.5% Energy 0.5% Industrials 3.1% Real Estate 0.0% Source
Slide 23: Nasdaq-100 Tracks Growth of New Economy
Nasdaq - 100 Tracks Growth of New Economy The underlying story for the rise in the Nasdaq - 100 is that the U.S.'s economic growth is shifting from capital - intensive, tradi tional industries (Industrials, Materials & Energy) to the “new - economy” sectors such as Health Care, Technology & Consumer
Slide 24: What Powers NDX Returns? Earnings.
What Powers NDX Returns? Earnings. Since 2006, NDX earnings have grown nearly 17x — and price simply followed. EARNINGS GROWTH PRICE RETURN SALES GROWTH VALUATION CHANGE +1,707% +1,670% +734% +17% ● From 2014 - 2019, NDX P/E ratio 2000 40 (TTM basis) in low - to- mid 20s, below 1800 35 where it was
Slide 25: Nasdaq-100: Performance vs. Interest Rates
Nasdaq - 100: Performance vs. Interest Rates Nasdaq - 100 vs. Fed Funds vs. US 10 -Year Yield • The last Fed rate hiking cycle 6.00 33000 began in December 2015, and consisted of 9 hikes of 25 bps 30000 each (total = 225 bps) 5.00 27000 • The Nasdaq - 100 dropped 23% 24000 during Q4 of 2018, until t
Slide 26: Nasdaq-100 vs. S&P 500: Significantly Less Leveraged
Nasdaq - 100 vs. S&P 500: Significantly Less Leveraged Net Debt to EBITDA Total Debt to Enterprise Value Total Debt to Total Equity 1.8 140 0.30 1.6 113.67 1.49 1.56 120 0.25 1.4 100 1.2 41% less 0.20 0.20 1.03 leveraged 1.0 80 0.88 0.15 ~43% less 0.8 leveraged ~63% less 60 leveraged 66.79 0.6 0.10
Slide 27: Quantifying Innovation
Quantifying Innovation 27
Slide 28: The Growing Importance of R&D
The Growing Importance of R&D The underlying story for the rise in the Nasdaq - 100 is that economic growth is shifting from capital - intensive, traditional indu stries to the “new - economy” sectors that are increasingly driven by innovation, which can be measured by patents and R&D spending. Top
Slide 29: Disruptive Technology and R&D
Disruptive Technology and R&D: Nasdaq - 100 60 companies in the Nasdaq - 100 (representing 84% of index weight) recently filed patents across one or more of 35 key areas of Disruptive Technology relating to Artificial Intelligence, Energy Transition, Healthcare, etc. 16 companies in the Nasdaq - 100
Slide 30: Nasdaq-100 by Thematic Exposures
Nasdaq - 100 by Thematic Exposures # of Constituents per Theme Index Weight per Theme Clean Energy Tech + Renewables 13 Clean Energy Tech + Renewables 17.5% Sustainability Leaders 26 Sustainability Leaders 31.2% Healthcare Innovation 2 Healthcare Innovation 0.7% Biotech 5 Biotech 2.5% Cybersecurity
Slide 31: Key Takeaways
Key Takeaways ➢ Nasdaq - 100 is a differentiated US Large Cap equity benchmark that overweights companies with strong innovation focus, driving better fundamental metrics which ultimately drive performance “New Economy Index” • Powered by the reputation and IPO leadership of the Nasdaq Stock Market
Slide 32: Weekly Insights into the Nasdaq-100
Weekly Insights into the Nasdaq - 100® Multimedia Coverage of the Nasdaq - 100 delivered to your inbox every Wednesday Research Content Sign up using the QR Code A mix of short - and long - form content spanning weekly commentary, index deep dives, educational videos, and interviews. Fundamental, te
Slide 33: Disclaimer
Disclaimer Nasdaq® is a registered trademark of Nasdaq, Inc. The information contained above is provided for informational and education al purposes only, and nothing contained herein should be construed as investment advice, either on behalf of a particular securi ty or an overall investment strate