In exchange, stocks like Microsoft ( MSFT ), Amazon ( AMZN ), and Meta Platforms ( META) moved closer to the value side. Energy exposure in SPYG moved higher after S&P Style Indices reconstituted in December. VONG's composition is more traditional for a growth fund. Compared to SPYG, VONG underweights Energy and Health Care by 6% and 8% and overweights Consumer Discretionary and Technology by 5% and 8%. Surprisingly, there are significant differences. The SPDR S&P 500 Growth ETF ( SPYG) and the Vanguard Mega Cap Growth ETF ( MGK) are two, and I've listed their sector exposures below. Sector Exposures and Top Ten HoldingsĮight large-cap growth ETFs have at least as much history as VONG. You might assume the difference is negligible, but it's turned into a 6.25% total return difference since October 2010. IWF has $62 billion in AUM compared to VONG's $11 billion, but its higher expense ratio impacts performance. VONG's expense ratio is 0.08%, lower than the 0.18% for the iShares Russell 1000 Growth ETF ( IWF ), which tracks the same Index. The Index reconstitutes annually and is designed as an unbiased barometer for the segment. ![]() ![]() ![]() VONG tracks the Russell 1000 Growth Index, selecting large-cap stocks with higher price-book ratios, higher two-year consensus estimated earnings growth, and higher five-year trailing historical sales per share growth. I'm cautiously optimistic about growth stocks, and this article aims to highlight why VONG should be on your shortlist if earnings momentum continues. VONG also has solid exposure to the growth factor, and its constituents are performing well this earnings season, indicating a potential turnaround in market sentiment. The Vanguard Russell 1000 Growth ETF ( NASDAQ: VONG ) has been a consistent performer in the large-cap growth category since its inception, delivering an impressive 465% total return through April 2023.
0 Comments
Leave a Reply. |