VONG vs. IWO: Large-Cap Stability or Small-Cap Growth Upside?
Explore how portfolio size, sector focus, and volatility set these growth ETFs apart for investors seeking different risk profiles and market exposures.
VONG vs. IWO: Large-Cap Stability or Small-Cap Growth Upside?
Overview
The Vanguard Russell 1000 Growth ETF (NASDAQ:VONG) offers lower costs and large-cap stability, while the iShares Russell 2000 Growth ETF (NYSEMKT:IWO) provides aggressive exposure to small-cap growth companies.
Both exchange-traded funds (ETFs) target growth stocks but operate at different ends of the market capitalization spectrum. The iShares ETF focuses on smaller firms that may offer higher return potential, whereas the Vanguard fund tracks established industry leaders. This comparison examines how their different market-cap focuses affect risk, expense structures, and long-term total returns for growth-oriented investors.
Details
Beta measures price volatility relative to the S&P 500; beta is calculated from five-year monthly returns. The 1-yr return represents total return over the trailing 12 months. Dividend yield is the trailing-12-month distribution yield.
Source
Originally published at www.fool.com.
