The Russell 2000 index is a popular benchmark for small-cap stocks, offering comprehensive exposure to the small-cap universe for long-term growth potential. The Vanguard Russell 2000 ETF (VTWO) is a cost-effective way to target this index, with an expense ratio of 0.06% and a focus on holding every stock in the index. In the current market, the ETF’s inclusion of 2,000 stocks ranked by market cap provides exposure to a wide range of companies, both profitable and unprofitable. When compared to the S&P 600, the Vanguard Russell 2000 ETF offers a more inclusive approach to small-cap investing.
Before buying stock in the Vanguard Russell 2000 ETF, investors should consider the 10 best stocks identified by the Motley Fool Stock Advisor analyst team for potentially high returns. The ETF was not among the top picks, highlighting the importance of exploring different investment opportunities. Stock Advisor’s impressive average return of 904% outperforms the S&P 500 significantly, making it a valuable resource for individual investors seeking market-beating returns.
Read more at Nasdaq: Vanguard Russell 2000 ETF: A Smart Buy for Small-Cap Exposure
