VUG is a passively managed fund that invests in large-cap growth companies in the United States. VUG is a good pick for those looking for a diversified space exposure.
Is VUG superior to VTI?
The Vanguard Growth ETF (VUG) and the Vanguard Total Stock Market ETF (VUT) are compared and contrasted here (VTI). VUG was founded on January 26, 2004, and VTI was founded on May 31, 2001. The expense ratio of VUG is 0.04 percent, which is greater than the expense ratio of VTI, which is 0.03 percent.
Scroll down to get a visual comparison of performance, risk, drawdowns, and other factors to help you determine if VUG or VTI is a better fit for your portfolio.
QQQ or VUG: which is better?
QQQ and VUG Differences The main difference between QQQ and VUG is that VUG holds nearly three times as many stocks. In comparison to most other ETFs, QQQ contains about 100 equities, making it a smaller ETF. You can help diversify your portfolio and reduce risk by investing in an ETF with multiple holdings.
Is VUG a high-risk infection?
Before fees and expenses, VUG aims to equal the performance of the CRSP U.S. Large Cap Growth Index. The CRSP US Large Cap Growth Index tracks the performance of the CRSP US Large Cap Index’s growth companies.
So far this year, the ETF has gained about 26.32 percent, and over the last year, it has gained about 43.06 percent (as of 11/02/2021). It has moved between $225.55 and $314.30 over the last 52 weeks.
For the trailing three-year period, the ETF has a beta of 1.03 and a standard deviation of 24.61 percent, making it a medium-risk option in the space. It effectively diversifies company-specific risk with around 289 holdings.
The Invesco QQQ (QQQ) and the iShares Russell 1000 Growth ETF (IWF) both track the same index. Invesco QQQ has a market capitalization of $202.10 billion, whereas iShares Russell 1000 Growth ETF has a market capitalization of $77.40 billion. IWF costs 0.19 percent in fees, whereas QQQ charges 0.20 percent.
Because of their cheap cost, transparency, flexibility, and tax efficiency, passively managed ETFs are becoming increasingly popular among institutional and retail investors. They are good long-term investment vehicles.
What mutual fund is comparable to Vug?
What is a VUG clone? There are other funds that are nearly equivalent to VUG, Vanguard’s Growth ETF fund, in terms of daily movements and return profile. VIGIX (Vanguard Mutual Funds Growth Index Fund Institutional Shares) and VIGAX (Vanguard Mutual Funds Growth Index Fund Institutional Shares) are two Vanguard Mutual Funds Growth Index Fund Institutional Shares (Vanguard Mutual Funds Growth Index Fund Admiral Shares).
What exactly is the distinction between MGK and VUG?
Vanguard funds are noted for their low-cost exchange-traded funds (ETFs). MGK has a 0.07 percent expense ratio vs 0.04 percent for VUG. Each year, you will only pay $7 and $4 in management charges for every $10,000 you invest.
Dividend Yields are similar in both of these ETFs. The 0.57 percent yield of MGK is slightly lower than the 0.59 percent yield of VUG. These low yields are predicted since growth companies often keep a big amount of their revenues for company growth and expansion rather than paying out dividends to shareholders.
Another difference we notice is the AUM’s size. MGK has a lower AUM of $10 billion compared to VUG’s $145.7 billion. That’s a tenfold increase in size.
Is it preferable to purchase VOO or VTI?
- The two most popular U.S. stock market ETFs are VOO and VTI. Both are Vanguard products.
- As a result, VOO only contains large-cap stocks, whereas VTI includes both small- and mid-cap stocks.
- As a result, VTI has been slightly more volatile than VOO, which is to be expected.
- We would expect VTI to outperform VOO over the long term since it contains small- and mid-caps, which have historically outperformed large caps due to the Size factor premium.
- VTI has around 3,500 holdings, whilst VOO has about 500. VTI can be regarded more diversified.
What exactly is the distinction between VUG and VOOG?
Vanguard funds are noted for their low-cost exchange-traded funds (ETFs). With the VUG at 0.04 percent and the VOOG at 0.10 percent, it’s no wonder that both of these ETFs have among of the lowest expenses. This means that for every $10,000 you invest, your annual management costs are only $4 and $10, respectively.
VUG offers a 0.62 percent dividend yield, while VOOG has a 0.76 percent dividend yield. Because both of these ETFs are focused on growth companies, this is to be expected. Instead of paying dividends to shareholders, growth companies typically keep a considerable amount of their earnings for company growth and expansion.
VUG tracks the CRSP US Large Cap Growth Index, which has a median market cap of $235.8 billion, whereas VOOG monitors the S&P 500 Growth Index, which has a median market cap of $316.6 billion.
Is there a difference between VGT and QQQ?
The company that offers the exchange-traded fund is the main distinction between VGT and QQQ (ETF). Vanguard provides VGT, whilst Invesco provides QQQ. Another notable distinction is the amount of stocks in each index, with VGT having 357 different firms compared to 100 for QQQ.