Small-cap value stocks are attractive due to unusual momentum, a favorable P/E ratio, and a conservative macroeconomic context. Vanguard Small-Cap Value ETF stands out with a low expense ratio (0.07%), strong momentum, and a competitive dividend yield (1.92%). The risk of a disruption caused by Trump, along with a return to market risk appetite, remains a positive factor for small caps but a negative one for the value.
The Vanguard Small-Cap Value ETF (VBR) was launched on 01/26/2004, and is a passively managed exchange traded fund designed to offer broad exposure to the Small Cap Value segment of the US equity market.
The stock market is sizzling hot right now. Many exchange-traded funds (ETFs) offered by Vanguard are performing exceptionally well.
You wouldn't try to pound a nail with a screwdriver. Likewise, you wouldn't attempt to use a hammer to screw one part to another.
Prediction: This Vanguard ETF Will Outperform the S&P 500 Over the Next 12 Months
The Vanguard Small-Cap Value ETF (VBR) was launched on 01/26/2004, and is a passively managed exchange traded fund designed to offer broad exposure to the Small Cap Value segment of the US equity market.
Strong macro tailwinds and value play make VBR (a small-cap ETF) an attractive investment in the current overvalued market. VBR's portfolio includes quality companies, evidenced by a strong dividend growth track record, indicating good financial conditions, positioned well for a potential rally. I recommend starting a VBR position to capitalize on the small-cap rotation, expecting strong performance during the early stages of the rally and solid performance in the longer run.
These two low-cost Vanguard growth ETFs could deliver spectacular returns for long-term investors.
Tomorrow could be a big day for stocks -- and especially small-cap stocks. Small-cap value stocks have historically outperformed other types of stocks.
The Vanguard Real Estate ETF owns 155 stocks, most of them real estate investment trusts. The Vanguard Small-Cap Value ETF owns 848 stocks with relatively small market caps and attractive valuations.
Launched on 01/26/2004, the Vanguard Small-Cap Value ETF (VBR) is a passively managed exchange traded fund designed to provide a broad exposure to the Small Cap Value segment of the US equity market.
VBR is a value small-cap ETF that was launched in 2004 and tracks the CRSP US Small Cap Value Index. CRSP's methodology is sophisticated, but the ETF's performance could be indicative of a flaw in the absence of a simpler traditional value bias factor. But most importantly, it has underperformed both the broad market and its vanilla and growth counterparts.