Which Tech ETF Wins for Your Portfolio, Fidelity's FTEC or Vanguard's VGT?
Fidelity has a lower expense ratio but Vanguard sports massive scale.
Overview
The Fidelity MSCI Information Technology Index ETF (NYSEMKT:FTEC) and the Vanguard Information Technology ETF (NYSEMKT:VGT) are nearly identical in strategy, but VGT offers massive scale while FTEC provides a slightly lower expense ratio.
Both funds serve as primary vehicles for investors seeking deep exposure to the U.S. technology sector. While they track different underlying indices, the end results for portfolios are remarkably similar, capturing the largest software, hardware, and semiconductor companies driving modern digital infrastructure and artificial intelligence innovation. This comparison helps determine if the massive scale of the Vanguard fund or the slightly lower cost of the Fidelity fund provides a better fit for a diversified portfolio.
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.