The iShares SP Mid-Cap 400 Value ETF (IJJ) and Vanguard Small-Cap Value ETF (VBR) differ in cost, size, and portfolio breadth. VBR boasts a lower expense ratio and more holdings, while IJJ focuses on mid-cap financials. Both funds show modest 1-year returns, but VBR has a slightly deeper 5-year drawdown.

VBR holds 840 small-cap value stocks with sector exposures in industrials, financial services, and consumer cyclicals. With $59.6 billion in assets, VBR offers broad diversification at a low cost. In contrast, IJJ concentrates on mid-cap value stocks in financial services, industrials, and consumer cyclicals, providing a more focused portfolio.

VBR charges a significantly lower 0.07% expense ratio compared to IJJ’s 0.18%. This cost difference, along with VBR’s broader small-cap exposure, may appeal to investors seeking maximum long-term growth potential. In contrast, IJJ offers mid-cap stability with a slightly higher cost, attracting those looking for value characteristics with potentially reduced volatility.

Read more at Yahoo Finance: Should Value Investors Choose Mid-Cap Stability or Small-Cap Growth Potential?