It certainly was a bruising quarter for Wall Street.
U.S. stocks have stumbled hard and nowhere has the pain been felt more than in the tech-heavy Nasdaq Composite. A sharp selloff, driven by renewed trade tensions, inflation fears, and recession concerns, has pushed the Nasdaq into correction territory and left investors wondering what's next.
But for savvy investors, moments like this often spell one thing: opportunity.
And one ASX ETF may be the perfect vehicle to take advantage.
Let's talk about the Betashares Nasdaq 100 ETF (ASX: NDQ) — and why it might be time to buy it on sale.
Image source: Getty Images
What just happened?
The first quarter of 2025 was nothing short of brutal. The Nasdaq fell 10.4%, logging its worst three-month performance since 2022. The S&P 500 fared a bit better but was still down 4.6% for the quarter, snapping a five-quarter winning streak.
Driving the volatility is a cocktail of uncertainty: a fresh round of U.S. trade tariffs, fears of slowing economic growth, and rumblings of stagflation. Goldman Sachs has already downgraded its growth forecasts and raised its recession odds to 35% in the next 12 months.
It is the kind of backdrop that understandably rattles share markets. But it is also the kind of environment that can throw up high-quality growth stocks at temporarily low prices.
What's in the NDQ ETF?
The NDQ ETF gives Australian investors access to 100 of the largest non-financial companies listed on the Nasdaq — including some of the most dominant tech names on the planet. We're talking about Apple (NASDAQ: AAPL), Microsoft (NASDAQ: MSFT), Nvidia (NASDAQ: NVDA), Amazon (NASDAQ: AMZN), Alphabet (NASDAQ: GOOG), and Tesla (NASDAQ: TSLA).
Yes, these companies have taken a hit recently. But their underlying businesses remain strong, and many are still reporting robust earnings, growing user bases, and expanding margins. The long-term structural tailwinds — like artificial intelligence (AI), cloud computing, digital advertising, and automation — haven't gone anywhere.
In fact, the recent US$40 billion funding round into OpenAI, led by Microsoft and SoftBank, is a reminder that the innovation engine powering these firms is still firing on all cylinders.
Time to buy NDQ on sale?
The NDQ ETF has fallen sharply from its recent highs, mirroring the broader Nasdaq pullback. But that doesn't make it broken — it makes it better value. Long-term investors have the chance to pick up shares in world-leading companies at a discount.
If history is any guide, periods of heavy tech selloffs often lay the foundation for the next leg higher. Quality doesn't stay cheap forever — and when fear pushes prices lower, patient investors can be well rewarded.
