The Vanguard Growth ETF offers efficient access to the large-cap growth segment of the U.S. stock market. Its ER is 0.04% and the fund has nearly $300B in assets across all share classes. VUG is designed for investors with an above-average tolerance for risk and capital appreciation as their primary investment objectives. This article walks readers through its unique selection process. Like many peers, VUG is concentrated at the company and sector levels, with 57% in Technology. I provide a downloadable Excel Workbook that allows readers to compare 65 ETFs.
Designed to provide broad exposure to the Large Cap Growth segment of the US equity market, the Vanguard Growth ETF (VUG) is a passively managed exchange traded fund launched on 01/26/2004.
Tech, communication, and consumer cyclical sectors drive robust fundamentals for growth stocks, with financials, health care, and industrials adding further upside potential. Recent market selloff has made forward valuations attractive, presenting a compelling entry point for large cap growth ETFs like Vanguard Growth ETF (VUG). VUG stands out due to its strong tech exposure, high liquidity, low expense ratio, and diversified holdings, outperforming the S&P 500 over multiple timeframes.
![]() VUG 5 months ago Paid | Quarterly | $0.53 Per Share |
![]() VUG 8 months ago Paid | Quarterly | $0.45 Per Share |
![]() VUG 11 months ago Paid | Quarterly | $0.46 Per Share |
![]() VUG 21 Mar 2024 Paid | Quarterly | $0.47 Per Share |
![]() VUG 21 Dec 2023 Paid | Quarterly | $0.58 Per Share |
![]() VUG 5 months ago Paid | Quarterly | $0.53 Per Share |
![]() VUG 8 months ago Paid | Quarterly | $0.45 Per Share |
![]() VUG 11 months ago Paid | Quarterly | $0.46 Per Share |
![]() VUG 21 Mar 2024 Paid | Quarterly | $0.47 Per Share |
![]() VUG 21 Dec 2023 Paid | Quarterly | $0.58 Per Share |
XBER Exchange | US Country |
The fund described focuses primarily on investment strategies that aim at mirroring the performance of a carefully selected stock index, which is characterized by a broad diversification and a predominant composition of large U.S. companies displaying growth characteristics. The investment approach is centered around indexing, with the advisor committing to investing a significant portion, if not all, of the fund's assets into the constituents of the target index. This is done in a manner that each stock within the fund's portfolio is held in nearly the same proportion as its representation in the said index. Such a method attempts to ensure that the fund's performance closely aligns with that of the index it tracks.
The fund offers a singular, focused product characterized by an indexing investment strategy. Below are the details of this product:
This approach is defined by the fund's strategy to replicate the performance of a predetermined index. This index is specifically chosen for its broad diversification and inclusion of growth stocks from large U.S. companies. By investing all or significantly all of its assets in the stocks that constitute the index, and maintaining each stock in proportion to its weighting within the index, the fund seeks to achieve performance parallel to that of the index it tracks.