The S&P 500 index rose by 17% in 2025, while the S&P 500 Growth index surged by 21%. The Vanguard S&P 500 Growth ETF offers a straightforward way for investors to access this high-performing index, with expectations for continued success in 2026.
The S&P 500 Growth index consists of 216 top growth stocks from the S&P 500, excluding others that may underperform. This unique selection method contributed to the index’s impressive 21% return last year.
Technology and tech-related companies dominate the Vanguard S&P 500 Growth ETF, with higher weightings in sectors like information technology, communication services, and consumer discretionary.
Led by tech giants like Nvidia, Apple, and Microsoft, the information technology sector has delivered an outstanding 332% return over the past decade, significantly impacting overall market performance.
The Vanguard S&P 500 Growth ETF has outperformed the S&P 500 with a compound annual return of 16.7% since its inception in 2010, showcasing the potential for higher returns in a diversified portfolio.
Investing in high-growth sectors like technology through the Vanguard ETF, alongside other diversified holdings, could lead to substantial returns over time, as demonstrated by past performance.
The Motley Fool Stock Advisor team has identified 10 top stocks for investors to consider, with the Vanguard S&P 500 Growth ETF not making the list. Past recommendations have yielded significant returns, outperforming the market consistently.
Read more at Yahoo Finance: This Spectacular Vanguard ETF Will Beat the S&P 500 (Again) in 2026
