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Vanguard Growth ETF Touted as Low-Fee Path to Megacap Tech-Led Growth

New analysis highlights decade-long outperformance at a 0.04% fee, with tech concentration risk noted.

Overview

  • The fund passively tracks the CRSP US Large Cap Growth Index and holds roughly 160 U.S. growth stocks.
  • Top weights include Nvidia, Microsoft, Apple, Amazon, Meta Platforms, and Alphabet, tying results to AI leaders and increasing concentration risk.
  • Over the past decade it returned about 17% annualized compared with roughly 15% for the S&P 500, according to the report.
  • Its expense ratio is 0.04%, which equates to about $4 in annual fees for every $10,000 invested.
  • The piece urges a buy-and-hold approach with steady contributions and notes that any doubling in four to six years would depend on past-like performance, which is not guaranteed.