ozgurdonmaz
One of the more successful ETFs in recent years has been Vanguard's Information Technology ETF (NYSEARCA:VGT). This fund holds shares of 312 companies in its portfolio, all related in some way to IT. This sector of the economy has
VGT: High Growth, High Concentration
Summary
- Vanguard's Information Technology ETF has had strong historical returns, with a 48.3% return over the past year and an average return of 20% annually over the past 10 years.
- VGT's holdings are top-heavy, with the top two companies, Microsoft and Apple, making up nearly 41% of the fund's investment.
- VGT has a low dividend yield of 0.6%, making it less attractive for investors seeking income.
Chris is a history instructor at a community college. He is building a dividend-paying stock portfolio that is hopefully low on the risk scale to build up income for his golden years.
Analyst’s Disclosure: I/we have a beneficial long position in the shares of VOO either through stock ownership, options, or other derivatives. I wrote this article myself, and it expresses my own opinions. I am not receiving compensation for it (other than from Seeking Alpha). I have no business relationship with any company whose stock is mentioned in this article.
I am not an investment professional. The preceding is intended for informational and educational purposes. Please make sure to perform due diligence before investing in equities, as losses up to all capital invested can occur.
Seeking Alpha's Disclosure: Past performance is no guarantee of future results. No recommendation or advice is being given as to whether any investment is suitable for a particular investor. Any views or opinions expressed above may not reflect those of Seeking Alpha as a whole. Seeking Alpha is not a licensed securities dealer, broker or US investment adviser or investment bank. Our analysts are third party authors that include both professional investors and individual investors who may not be licensed or certified by any institute or regulatory body.