This Vanguard ETF Is Up 27% This Year: Is It Still a Buy for Long-Term Investors?
The Vanguard Information Technology Index Fund ETF should continue to outpace the S&P 500.
Overview
The Vanguard Information Technology Index Fund ETF (NYSEMKT: VGT) has crushed the S&P 500 this year, with a 27% return. Some investors think they missed out on the rally when a stock or ETF gains momentum, but that may not be the case for this tech ETF. A closer look at the fund's top holdings indicates that there is more to the strong year-to-date performance than investors may realize.
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The Vanguard Information Technology Index Fund ETF is filled with chipmakers. Nvidia (NASDAQ: NVDA) is the largest position, making up 17% of the fund's total assets. Broadcom (NASDAQ: AVGO), Micron (NASDAQ: MU), and Advanced Micro Devices (NASDAQ: AMD) hold the top four to six positions in the fund and account for a combined 11% of total assets.
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Source
Originally published at www.fool.com.