Should Vanguard Russell 2000 ETF (VTWO) Be on Your Investing Radar?
From Nasdaq: 2024-05-24 06:20:07
The Vanguard Russell 2000 ETF (VTWO) offers exposure to the Small Cap Blend segment of the US equity market. With assets over $9.18 billion, it is one of the larger ETFs in this category. The fund is passively managed, has an expense ratio of 0.10%, and a trailing dividend yield of 1.38%.
Small cap companies, with market capitalization below $2 billion, come with more risk and potential. Blend ETFs like VTWO hold a mix of growth and value stocks, making them a balanced choice for investors. The ETF has seen a 1.55% increase this year and a 16.19% rise in the last year.
VTWO has a sector allocation of about 17.40% to Industrials, with Financials and Information Technology as top holdings. The ETF seeks to track the performance of the Russell 2000 Index, with a beta of 1.15 and standard deviation of 22.65%. It has about 1970 holdings, providing diversification against company-specific risk.
Investors looking for exposure to Small Cap Blend can consider VTWO, which has a Zacks ETF Rank of 3 (Hold). Alternatives like the iShares Russell 2000 ETF and the iShares Core S&P Small-Cap ETF track similar indices. Passively managed ETFs like VTWO are gaining popularity due to their low cost and transparency, making them ideal for long-term investors.
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