Meet the Low-Cost Vanguard ETF With 26.2% Invested in Nvidia and Alphabet, While VOO Has Just 13.4%.
The Vanguard Russell 1000 Growth ETF has structural advantages that prioritize today's leading growth stocks.
Overview
Nvidia (NASDAQ: NVDA), Apple (NASDAQ: AAPL), and Alphabet (NASDAQ: GOOGL) (NASDAQ: GOOG) are the three most valuable companies in the world and dominate the S&P 500 with a combined 20.4% weighting. So buying the Vanguard S&P 500 ETF (NYSEMKT: VOO), which tracks the index, is a straightforward, low-cost way to invest in such mega-cap tech stocks -- especially considering the ETF has a 0.03% expense ratio, or just three cents for every $100 invested.
However, investors looking for outsize exposure to Nvidia and Alphabet may want to consider the Vanguard Russell 1000 Growth ETF (NASDAQ: VONG) instead of the Vanguard S&P 500 ETF. The growth ETF is based on the Russell 1000 index -- which includes the 1,000 largest U.S companies by market capitalization.
Details
Here's why Nvidia and Alphabet are great buys now, and why the Russell 1000 Growth ETF is so heavily invested in them.
Source
Originally published at www.fool.com.