Latest news with #VGT
Business Insider
05-07-2025
- Business
- Business Insider
Looking for Exposure to Microsoft Stock (MSFT)? Try These Two ETFs
Microsoft's (MSFT) growth prospects look robust, driven by its push into AI, cloud infrastructure, and enterprise software. Its AI-powered tools, such as Copilot, are now used by over 70% of Fortune 500 companies. Also, the tech giant is expanding its AI footprint globally, including a $400 million investment in Switzerland. Thus, investors looking for exposure to MSFT stock may consider investing in these two ETFs: Vanguard Information Technology ETF (VGT) and iShares Global Tech ETF (IXN). Don't Miss TipRanks' Half-Year Sale Take advantage of TipRanks Premium at 50% off! Unlock powerful investing tools, advanced data, and expert analyst insights to help you invest with confidence. Make smarter investment decisions with TipRanks' Smart Investor Picks, delivered to your inbox every week. Let's take a deeper look at these two ETFs. Vanguard Information Technology ETF The VGT ETF provides investors with exposure to technology stocks, including companies in software, semiconductors, internet, and other technology-related sectors. This ETF tracks the MSCI U.S. Investable Market Index/Information Technology 25/50 Index. MSFT stock constitutes 15.11% of the ETF's holdings. Apart from MSFT, some of the top stocks in the VGT ETF are Nvidia (NVDA), Apple (AAPL), and Broadcom (AVGO). Overall, the ETF has $94.11 billion in assets under management (AUM). Also, it has an expense ratio of 0.09%. The VGT ETF has returned 38.2% in the past three months. Turning to Wall Street, the ETF has a Moderate Buy consensus rating. Of the 321 stocks held, 254 have a Buy, 60 have a Hold, and seven have a Sell ratings. At $725.62, the average VGT ETF price target implies a 7.66% upside potential. iShares Global Tech ETF The IXN ETF is ideal for long-term growth investors seeking global tech exposure. The ETF aims to track the performance of the S&P Global 1200 Information Technology Index, which includes tech giants from the U.S., Europe, and Asia. Importantly, MSFT accounts for 17.75% of IXN's total holdings. Some of the top holdings in IXN ETF include NVDA, Oracle (ORCL), and Palantir (PLTR). Overall, the ETF has $296.33 million in AUM and an expense ratio of 0.68%. Over the past three months, the IXN ETF has generated a return of 37.7%. On TipRanks, IXN has a Moderate Buy consensus rating based on 88 Buys, 32 Holds, and one Sell assigned in the last three months. At $97.95, the average IXN ETF price target implies 4.95% upside potential. Concluding Thoughts ETFs provide indirect exposure to Microsoft, reducing risk compared to investing directly in the stock. Furthermore, ETFs are a liquid and transparent way to participate in the market. Investors seeking ETF recommendations might consider VGT and IXN, as these ETFs offer exposure to MSFT stock.
Yahoo
23-06-2025
- Business
- Yahoo
What Are the Best Vanguard ETFs to Buy Now to Retire a Millionaire?
The Vanguard S&P 500 ETF should be a core holding for most investors. The Vanguard Growth and Vanguard Information Technology ETFs are two great options that can help boost returns even more. The key to ETF investing and retiring a millionaire is consistently investing using dollar-cost averaging, which creates wealth over time. 10 stocks we like better than Vanguard S&P 500 ETF › The sooner you start investing, the easier it is to retire a millionaire. The Vanguard family of index exchange-traded funds (ETFs) offers some attractive, low-cost options to help you build a million-dollar portfolio. Here are three of my top choices to start buying right now: The Vanguard S&P 500 ETF (NYSEMKT: VOO), the Vanguard Growth ETF (NYSEMKT: VUG), and the Vanguard Information Technology ETF (NYSEMKT: VGT). All three ETFs have strong long-term track records. However, making an initial investment and sitting back isn't going to build you a million-dollar portfolio. Instead, the key is to consistently invest in these ETFs through what is known as a dollar-cost averaging strategy. With this strategy, you routinely invest a set amount into the ETF(s) of your choice, regardless of how the market is performing. Over time, this could help you retire a millionaire. Let's take a closer look at these three Vanguard ETFs and how they can help you retire a millionaire. The Vanguard S&P 500 ETF is the most popular ETF on the planet, and for good reason. It tracks the performance of the S&P 500, which consists of the 500 largest stocks in the U.S. and is widely considered the benchmark for the U.S. stock market. While other ETFs track the S&P 500's performance, the Vanguard S&P 500 ETF's scant expense ratio of just 0.03% is a big reason why it has grown to become the largest ETF in the world. The immediate diversification that the Vanguard S&P 500 ETF gives you between growth and value stocks, as well as across sectors, is a great reason why it works as a core holding for most investors. The ETF also has a strong performance track record, generating an average annual return of 12.8% over the past 10 years, as of the end of May. With that type of return, you could easily retire a millionaire over time. For example, if you start with a modest $1,000 investment and add $500 a month over the next 30 years, with an average annual return of 12.8%, you'd finish with around a $1.8 million investment. Time, though, is the key. If you only have 20 years to get to $1 million at that return, you'd need to start with $5,000 and make an additional $1,000 investment each month to end up with around $1 million. For investors looking for a bit more juice in their returns, the Vanguard Growth ETF is a great option. The index tracks the performance of the CRSP US Large Cap Growth Index, which is essentially the growth half of the S&P 500. Given the pace of innovation and technological advancements, growth stocks have been helping lead the market higher over the past few decades. This can be seen in the ETF's returns, which have an average annual return of 15.3% over the past decade, as of the end of May. While that may not sound like a big difference compared to the Vanguard S&P 500 ETF, on a cumulative basis, that's a 315.5% return versus 234.2% for the S&P 500 ETF. That adds up a lot over time. For example, at an average annual return of 15.3%, if you initially invest $1,000 and make $500 incremental investments each month, you'd have $3 million after 30 years. If you only have 20 years and want to get to $2 million, you'd need to start with $1,500 and invest an additional $1,500 each month to reach that goal. The Vanguard Information Technology ETF is a great option if you're looking to add more tech exposure. Given its lack of diversity, I'd view it more as a supplementary holding that can help boost returns. However, with the advent of artificial intelligence (AI), it can be a pretty good idea to invest in top tech companies. The Vanguard Information Technology ETF tracks the performance of the MSCI US Investable Market Information Technology 25/50 Index. However, with its top three holdings of Nvidia, Microsoft, and Apple making up about 45% of its portfolio, this is a highly concentrated fund. That said, it's also been the best-performing Vanguard ETF over the past decade, with a 19.8% average annual return as of the end of May. With those kinds of returns, a $500 starting investment plus $500 a month could grow into $1.2 million over 20 years. Of course, past performance isn't a guarantee, and with a concentrated portfolio like this, the risk is higher, too. However, if you're young and have time, this could be a nice addition to your portfolio that could help you retire a millionaire. Before you buy stock in Vanguard S&P 500 ETF, consider this: The Motley Fool Stock Advisor analyst team just identified what they believe are the for investors to buy now… and Vanguard S&P 500 ETF wasn't one of them. The 10 stocks that made the cut could produce monster returns in the coming years. Consider when Netflix made this list on December 17, 2004... if you invested $1,000 at the time of our recommendation, you'd have $664,089!* Or when Nvidia made this list on April 15, 2005... if you invested $1,000 at the time of our recommendation, you'd have $881,731!* Now, it's worth noting Stock Advisor's total average return is 994% — a market-crushing outperformance compared to 172% for the S&P 500. Don't miss out on the latest top 10 list, available when you join . See the 10 stocks » *Stock Advisor returns as of June 9, 2025 Geoffrey Seiler has positions in Vanguard S&P 500 ETF. The Motley Fool has positions in and recommends Apple, Microsoft, Nvidia, Vanguard Index Funds-Vanguard Growth ETF, and Vanguard S&P 500 ETF. The Motley Fool recommends the following options: long January 2026 $395 calls on Microsoft and short January 2026 $405 calls on Microsoft. The Motley Fool has a disclosure policy. What Are the Best Vanguard ETFs to Buy Now to Retire a Millionaire? was originally published by The Motley Fool
Yahoo
23-06-2025
- Business
- Yahoo
What Are the Best Vanguard ETFs to Buy Now to Retire a Millionaire?
Key Points The Vanguard S&P 500 ETF should be a core holding for most investors. The Vanguard Growth and Vanguard Information Technology ETFs are two great options that can help boost returns even more. The key to ETF investing and retiring a millionaire is consistently investing using dollar-cost averaging, which creates wealth over time. 10 stocks we like better than Vanguard S&P 500 ETF › The sooner you start investing, the easier it is to retire a millionaire. The Vanguard family of index exchange-traded funds (ETFs) offers some attractive, low-cost options to help you build a million-dollar portfolio. Here are three of my top choices to start buying right now: The Vanguard S&P 500 ETF (NYSEMKT: VOO), the Vanguard Growth ETF (NYSEMKT: VUG), and the Vanguard Information Technology ETF (NYSEMKT: VGT). All three ETFs have strong long-term track records. However, making an initial investment and sitting back isn't going to build you a million-dollar portfolio. Instead, the key is to consistently invest in these ETFs through what is known as a dollar-cost averaging strategy. With this strategy, you routinely invest a set amount into the ETF(s) of your choice, regardless of how the market is performing. Over time, this could help you retire a millionaire. Let's take a closer look at these three Vanguard ETFs and how they can help you retire a millionaire. The Vanguard S&P 500 ETF The Vanguard S&P 500 ETF is the most popular ETF on the planet, and for good reason. It tracks the performance of the S&P 500, which consists of the 500 largest stocks in the U.S. and is widely considered the benchmark for the U.S. stock market. While other ETFs track the S&P 500's performance, the Vanguard S&P 500 ETF's scant expense ratio of just 0.03% is a big reason why it has grown to become the largest ETF in the world. The immediate diversification that the Vanguard S&P 500 ETF gives you between growth and value stocks, as well as across sectors, is a great reason why it works as a core holding for most investors. The ETF also has a strong performance track record, generating an average annual return of 12.8% over the past 10 years, as of the end of May. With that type of return, you could easily retire a millionaire over time. For example, if you start with a modest $1,000 investment and add $500 a month over the next 30 years, with an average annual return of 12.8%, you'd finish with around a $1.8 million investment. Time, though, is the key. If you only have 20 years to get to $1 million at that return, you'd need to start with $5,000 and make an additional $1,000 investment each month to end up with around $1 million.
Globe and Mail
20-06-2025
- Business
- Globe and Mail
2 Vanguard ETFs That Can Turn $300 per Month Into Over $1 Million
Investing a regular amount of money into the stock market each month can be an excellent way to grow your savings and build up a portfolio that's eventually worth $1 million or more. But it can be challenging to do, especially since you have to ensure you can continue to afford making monthly investments, and then picking which investments to make with that money. Amid volatile economic conditions, that's no easy task. You can, however, simplify the process by going with some solid exchange-traded funds (ETFs) that can diversify your portfolio and set you up for some great growth opportunities in the future. A couple of low-cost Vanguard ETFs to consider for this purpose include the Vanguard Growth Index Fund (NYSEMKT: VUG) and the Vanguard Information Technology Index Fund (NYSEMKT: VGT). Where to invest $1,000 right now? Our analyst team just revealed what they believe are the 10 best stocks to buy right now. Continue » Here's why investing $300 per month into either one of these ETFs could put you on track to generating a $1 million portfolio in the future. Vanguard Growth Index Fund The Vanguard Growth Index Fund is a great, growth-focused ETF you can add to your portfolio. It charges an expense ratio of only 0.04%, which means you don't have to worry about high fees chipping away at your gains. What's attractive about this fund is that it focuses on large-cap growth stocks. These are the types of investments that can drive long-run returns for your portfolio and make the most of your money. Stocks such as Tesla, Amazon, and Nvidia are all among its top-10 holdings. These are leaders within their respective industries, and their businesses are synonymous with growth. With more than 160 stocks in total, this is a well-diversified ETF to simply buy and hold. It also yields around 0.5%. Over the past decade, the ETF has achieved total returns (which include dividend payments) of approximately 327%. That averages out to a compound annual growth rate (CAGR) of 15.6%. But for the sake of being conservative, let's assume that its returns will slow down given how hot the market has been in the past few years and how it's reaching record levels. If the ETF averages a return of about 10% for the very long haul (which is in line with the S&P 500 's long-term average), then a $300 per-month investment could grow to more than $1 million after a period of 34 years. This would require investing in the ETF every month during that time frame. But by doing so, you can put yourself on a path to producing some fantastic returns thanks to the effects of compounding. VUG Total Return Level data by YCharts. Vanguard Information Technology Index Fund As terrific of a growth investment as the Vanguard Growth Index Fund has been in recent years, it still falls well short of the gains the Vanguard Information Technology Index Fund has produced during that stretch. At 543%, its 10-year total returns average out to an annual gain of 20.5%. That's a mind-boggling return, and it highlights just how impressive the stocks within this ETF have been. There will be some overlap between this fund and the growth ETF, but the big difference is there is heavier exposure to big tech. Nvidia, Microsoft, and Apple account for a combined 45% of the Vanguard Information Technology ETF's total holdings, but they make up just around 32% of the growth ETF. That difference can be substantial over time, especially given how well a massive stock like Nvidia has performed. In 10 years, its returns have been truly exceptional, totaling 28,000%. Given Nvidia's size today as one of the most valuable companies in the world, odds are its returns will be far more modest over the next decade. While they may still be great, it's probably a good idea to factor in a healthy dose of conservatism with this ETF as well given how much of a boost Nvidia has given it in the past. Even though the ETF is focused on tech and growth, averaging 20% annual returns likely isn't going to be sustainable over the very long haul. The expectation of a 10% return may also be prudent with this ETF to ensure your expectations aren't set too high for future gains. As with the growth ETF, if you invest $300 per month into this fund, you can also be on the path to a $1 million portfolio. If this ETF continues to outperform the market, however, then it may take less than 34 years to get to $1 million. But by staying the course and investing regularly into this or the growth ETF, you can be in a good position for building up a solid portfolio over the long haul. The Vanguard Information Technology ETF charges an expense ratio of 0.09%, and while that's a bit higher than the growth ETF's fees, they aren't going to drastically alter your prospects for generating potentially life-changing returns from regularly investing in this fund. Should you invest $1,000 in Vanguard Index Funds - Vanguard Growth ETF right now? Before you buy stock in Vanguard Index Funds - Vanguard Growth ETF, consider this: The Motley Fool Stock Advisor analyst team just identified what they believe are the 10 best stocks for investors to buy now… and Vanguard Index Funds - Vanguard Growth ETF wasn't one of them. The 10 stocks that made the cut could produce monster returns in the coming years. Consider when Netflix made this list on December 17, 2004... if you invested $1,000 at the time of our recommendation, you'd have $659,171!* Or when Nvidia made this list on April 15, 2005... if you invested $1,000 at the time of our recommendation, you'd have $891,722!* Now, it's worth noting Stock Advisor 's total average return is995% — a market-crushing outperformance compared to172%for the S&P 500. Don't miss out on the latest top 10 list, available when you join Stock Advisor. See the 10 stocks » *Stock Advisor returns as of June 9, 2025 John Mackey, former CEO of Whole Foods Market, an Amazon subsidiary, is a member of The Motley Fool's board of directors. David Jagielski has no position in any of the stocks mentioned. The Motley Fool has positions in and recommends Amazon, Apple, Microsoft, Nvidia, Tesla, and Vanguard Index Funds-Vanguard Growth ETF. The Motley Fool recommends the following options: long January 2026 $395 calls on Microsoft and short January 2026 $405 calls on Microsoft. The Motley Fool has a disclosure policy.
Yahoo
12-06-2025
- Business
- Yahoo
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. While an excellent vehicle for long term investors, passively managed ETFs are a popular choice among institutional and retail investors due to their low costs, transparency, flexibility, and tax efficiency. Additionally, sector ETFs offer convenient ways to gain low risk and diversified exposure to a broad group of companies in particular sectors. Technology - Broad is one of the 16 broad Zacks sectors within the Zacks Industry classification. It is currently ranked 7, placing it in top 44%. The fund is sponsored by Vanguard. It has amassed assets over $88.65 billion, making it the largest ETF attempting to match the performance of the Technology - Broad segment of the equity market. VGT seeks to match the performance of the MSCI US Investable Market Information Technology 25/50 Index before fees and expenses. The MSCI US Investable Market Information Technology 25/50 Index is designed to transition in and out of securities affected by pending updates to the information technology sector. Cost is an important factor in selecting the right ETF, and cheaper funds can significantly outperform their more expensive counterparts if all other fundamentals are the same. Annual operating expenses for this ETF are 0.09%, making it one of the least expensive products in the space. It has a 12-month trailing dividend yield of 0.51%. Even though ETFs offer diversified exposure which minimizes single stock risk, it is still important to look into a fund's holdings before investing. Luckily, most ETFs are very transparent products that disclose their holdings on a daily basis. This ETF has heaviest allocation in the Information Technology sector--about 99.90% of the portfolio. Looking at individual holdings, Apple Inc (AAPL) accounts for about 17.15% of total assets, followed by Microsoft Corp (MSFT) and Nvidia Corp (NVDA). So far this year, VGT has gained about 1.32%, and it's up approximately 13.04% in the last one year (as of 06/12/2025). During this past 52-week period, the fund has traded between $470.37 and $647.97. The ETF has a beta of 1.24 and standard deviation of 25.61% for the trailing three-year period, making it a medium risk choice in the space. With about 309 holdings, it effectively diversifies company-specific risk. Vanguard Information Technology ETF holds a Zacks ETF Rank of 1 (Strong Buy), which is based on expected asset class return, expense ratio, and momentum, among other factors. Because of this, VGT is an outstanding option for investors seeking exposure to the Technology ETFs segment of the market. There are other additional ETFs in the space that investors could consider as well. IShares U.S. Technology ETF (IYW) tracks Dow Jones U.S. Technology Index and the Technology Select Sector SPDR ETF (XLK) tracks Technology Select Sector Index. IShares U.S. Technology ETF has $20.15 billion in assets, Technology Select Sector SPDR ETF has $75 billion. IYW has an expense ratio of 0.39% and XLK charges 0.08%. To learn more about this product and other ETFs, screen for products that match your investment objectives and read articles on latest developments in the ETF investing universe, please visit Zacks ETF Center. Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report Vanguard Information Technology ETF (VGT): ETF Research Reports Apple Inc. (AAPL) : Free Stock Analysis Report Microsoft Corporation (MSFT) : Free Stock Analysis Report NVIDIA Corporation (NVDA) : Free Stock Analysis Report Technology Select Sector SPDR ETF (XLK): ETF Research Reports iShares U.S. Technology ETF (IYW): ETF Research Reports This article originally published on Zacks Investment Research ( Zacks Investment Research Error in retrieving data Sign in to access your portfolio Error in retrieving data Error in retrieving data Error in retrieving data Error in retrieving data
