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Motley Fool Urges December Caution on Vanguard Tech ETF as Top Holdings Loom Large

A near‑21% year‑to‑date gain through November rests on outsized stakes in Nvidia, Apple and Microsoft.

Overview

  • A Motley Fool piece syndicated by Yahoo Finance advises avoiding the Vanguard Information Technology ETF (VGT) in December despite its strong 2025 run.
  • VGT tracks the U.S. information technology sector and holds 314 companies across areas such as semiconductors, software and hardware.
  • The fund is market‑cap weighted, with Nvidia at 18.18%, Apple at 14.29% and Microsoft at 12.93%, totaling more than 45% of the portfolio as of Dec. 1.
  • The article notes VGT is up nearly 21% year to date through November, outpacing the S&P 500 and the Nasdaq Composite, with AI gains cited as a major driver.
  • As a comparison, the piece points to Invesco QQQ, which holds the same mega‑caps at lower combined weight and has delivered similar performance this year.