2 Vanguard ETFs To Load Up On in October
October doesn't have to be a scary month if you're properly positioned with exchange traded funds (ETFs).
VGT: A Non-Negotiable Part Of My Portfolio
Vanguard Information Technology Index Fund ETF is an essential, diversified tech holding, outperforming benchmarks and capturing sector evolution. VGT's market-cap weighting ensures top performers like NVDA drive returns, while its broad holdings offer exposure to emerging tech leaders. Compared to XLK and IYW, VGT balances risk and reward, making it my preferred vehicle for long-term technology sector exposure.
VGT Is Not A Victim Of Nvidia
VGT offers broad IT sector exposure, but is heavily weighted toward NVDA and top 10 holdings, reducing true diversification. NVDA's growth is in line with consensus, but buybacks and conservative guidance could lead to positive EPS surprises; focus should shift to the health of the software segment. Software companies within VGT show solid earnings and revenue growth, supporting ongoing AI-driven infrastructure investment and sector resilience.
Should You Invest in the Vanguard Information Technology ETF (VGT)?
Launched on January 26, 2004, the Vanguard Information Technology ETF (VGT) is a passively managed exchange traded fund designed to provide a broad exposure to the Technology - Broad segment of the equity market.
VGT: Can't Be Rattled, Surprising Value, Buy And Don't Look Back
I upgrade VGT to a long-term buy due to its strong fundamentals, robust earnings, and leadership in tech innovation. VGT offers broad, pure tech exposure with low expenses and diversification beyond the dominant NVDA, MSFT, and AAPL holdings. The top three holdings generate massive free cash flow and continue to drive sector growth, especially with AI and cloud tailwinds.
Is This Vanguard ETF's Rally Too Good to Last? Why This Tech Fund Could Crash
Key Points in This Article: Vanguard Information Technology ETF‘s (VGT) 22.6% annualized return over the past decade outpaces the S&P 500, but its 43% weighting in just three stocks heightens risk.
The S&P 500 Is Soaring: 3 No-Brainer Vanguard ETFs to Buy Right Now
When the market is on a tear, it's tempting to sit back and wait for a pullback. But smart investors know that the best strategy isn't timing the market -- it's time in the market.
VGT: The Nasdaq King That Could Deliver An Epic Rally
VGT is poised for a tech rally, with $90-110B in systematic flows likely and strong earnings growth from AI and cloud leaders. Favorable macro conditions—low volatility, resilient big tech earnings, and potential Fed rate cuts—create a 'perfect storm' for tech outperformance. VGT's large AUM, superior liquidity, and broad exposure make it the preferred vehicle for capitalizing on secular tech trends despite high valuations.
VGT: Passive Tech Needs A Better Screen
Vanguard Information Technology Index Fund ETF Shares offers a tech-focused ETF, but its methodology excludes key growth names like Amazon and Google, limiting its appeal for my ideal portfolio. The fund's concentration in top holdings and market-cap weighting increases risk and misses diversification benefits, making QQQ a better passive choice. VGT's historical outperformance is not consistent across decades, and its drawdown risk is higher after recent rallies, especially compared to QQQ.
Should You Invest in the Vanguard Information Technology ETF (VGT)?
The Vanguard Information Technology ETF (VGT) was launched on 01/26/2004, and is a passively managed exchange traded fund designed to offer broad exposure to the Technology - Broad segment of the equity market.
VGT Vs. QQQ: Which Is The Best Growth ETF?
VGT offers slightly lower fees and broader tech sector exposure, but is more top-heavy and excludes major tech names like Amazon, Google, and Meta. QQQ provides access to the full Magnificent 7, is less top-heavy, and includes non-tech growth leaders, but at a slightly higher expense ratio. VGT has outperformed QQQ over the past decade, but its long-term performance since inception has been below that of QQQ.
VGT: I Want More Diversification
VGT's extreme concentration in its top three holdings undermines the diversification benefit I expect from an ETF. Current tech sector valuations are historically high, leaving little room for further multiple expansion and skewing risk to the downside. Healthcare and other sectors offer more attractive entry points, with lower valuations and solid earnings growth potential.
