3 Reasons Why Vanguard’s Worst-Performing ETF in 2025 May Be Worth Buying in June
From Nasdaq.: 2025-06-07 08:15:00
Investment management firm Vanguard Group has over 90 exchange-traded funds (ETFs), with the worst-performing in 2025 being the Vanguard Small-Cap 600 Value ETF (NYSEMKT: VIOV), down over 12% year to date. Despite this, there are reasons why this ETF may be worth buying now, including its unique approach to investing in new companies and its sector diversification compared to the S&P 500. Additionally, the ETF offers a dirt-cheap valuation and a good yield, making it an attractive option for value investors. However, the lack of leadership in the fund may be a downside for some investors.
Overall, the Vanguard Small-Cap 600 Value ETF could be a useful tool for investors looking to diversify their portfolio with exposure to small-cap value stocks in various sectors. However, it may not be the best choice for those looking to build a portfolio around specific companies they are confident in. Before investing in this ETF, investors should carefully consider their investment thesis and goals.
The Motley Fool Stock Advisor analyst team has identified the 10 best stocks to buy right now, and the Vanguard Small-Cap 600 Value ETF was not one of them. These stocks have the potential to produce significant returns in the coming years, as demonstrated by past recommendations like Netflix and Nvidia. For investors looking to maximize their returns, it may be worth exploring the top 10 stocks recommended by the Motley Fool Stock Advisor.
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