"The exchange-traded fund industry is booming right now. Investors are flocking towards ETFs, and they've become one of the most important parts of individual portfolios. With over 4,000 U.S.-listed ETFs, it can become overwhelming to choose one. There's explosive growth in the market, and ETFs look like a promising investment. The first U.S.-listed ETF, the SPDR S&P 500 ETF (NYSEARCA:SPY ) , was launched in 1996 and continues to dominate the market. It kicked off the ETF era and has remained one of the biggest players."
"SPY has $708.62 billion in assets under management and invests in 500 stocks. Many investors swear by SPY and hold it for the long term. However, I believe the market is changing, and there are other alternatives worth considering. ETF issuers are catering to the Gen Z investors who are looking for yield-focused funds with low risk. I'd recommend investing in Invesco QQQ Trust , iShares Core S&P 500 ETF (NYSE:IVV), and International Dividend Appreciation ETF (NASDAQ: VIGI) instead of SPY. Here's why."
ETF adoption is surging, with over 4,000 U.S.-listed ETFs and SPDR S&P 500 ETF (SPY) pioneering the industry since 1996. SPY holds $708.62 billion and invests in 500 stocks, but investor preferences are shifting toward alternatives offering yield focus, lower risk, or sector exposure. Invesco QQQ Trust tracks the Nasdaq-100, holds 100 stocks, charges a 0.20% expense ratio, and posted a 10-year cumulative return of 486%, with heavy technology concentration and top holdings including Nvidia, Apple, Microsoft, Amazon, Alphabet, Tesla, and Meta. The ETF gained 22.35% in 2025 and trades near $624.
Read at 24/7 Wall St.
Unable to calculate read time
Collection
[
|
...
]