Why Smart Investors Are Loading Up on This Top Vanguard ETF Right Now

"The Value ETF tracks the CRSP US Large Cap Value Index, focusing on large-capitalization value stocks. It holds positions in a diversified set of companies, with recent data indicating around 312 stocks in total. Rather than the large tech stocks found propping up the portfolios of other ETFs, such as the Vanguard S&P 500 ETF or the Vanguard Total Stock Market ETF, its largest positions emphasize traditional value sectors rather than high-growth momentum."

"The Magnificent 7 represents roughly 30% of the portfolio, meaning performance in both VOO and VTI remains heavily influenced by a small group of technology giants. In contrast, the top holdings of the Value ETF are diversified, and the full top 10 positions represent approximately 20.8% of the portfolio, so it is influenced by no one stock or group of stocks."

"Year-to-date, the Value ETF has returned approximately 7.7%, comparing favorably to the S&P ETF at 1.5% and the Total Stock Market ETF at 1.8%. The outperformance stems from market rotation."

Vanguard Value ETF tracks the CRSP US Large Cap Value Index with approximately 312 diversified holdings, emphasizing traditional value sectors over high-growth technology stocks. In contrast, the Vanguard S&P 500 ETF and Total Stock Market ETF maintain significant exposure to the Magnificent 7 technology giants, which represent roughly 30% of their portfolios. The Value ETF's top 10 positions comprise only 20.8% of the portfolio, reducing concentration risk. Year-to-date performance in 2026 demonstrates VTV's advantage, returning 7.7% compared to 1.5% for the S&P 500 ETF and 1.8% for the Total Stock Market ETF, driven by market rotation away from mega-cap technology stocks.

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