Should Vanguard Russell 2000 Growth ETF (VTWG) Be on Your Investing Radar?

From NASDAQ.: 2024-05-17 06:20:06

The Vanguard Russell 2000 Growth ETF (VTWG) offers exposure to the small cap growth segment of the US equity market. With over $937.29 million in assets, it is one of the average-sized ETFs in this category. The fund focuses on growth stocks, which come with higher valuations and risk, but also potential for higher returns. It has an expense ratio of 0.15% and a dividend yield of 0.72%.

In terms of sector exposure, the ETF has the heaviest allocation to Information Technology at about 24.50% of the portfolio, followed by Healthcare and Industrials. Top holdings include Super Micro Computer Inc (SMCI) and Microstrategy Inc (MSTR). VTWG tracks the performance of the Russell 2000 Growth Index and has gained about 5.42% year-to-date and 20.15% in the last year.

Investors looking for alternatives in the small cap growth space can consider the iShares Russell 2000 Growth ETF (IWO) and the Vanguard Small-Cap Growth ETF (VBK). These ETFs offer exposure to a similar index with varying expense ratios and asset sizes. VTWG is rated as a Zacks ETF Rank of 3 (Hold) and could be a suitable option for those seeking exposure to this market segment.

Read more at Nasdaq: Should Vanguard Russell 2000 Growth ETF (VTWG) Be on Your Investing Radar?