ETF Fundamental Report for MGK
- Vanguard Mega Cap 300 Growth ETF (MGK) Overview: MGK is a Large-Cap Quality ETF with the largest sector in its portfolio being Technology and the largest industry being Software & Programming.
- Exposure to Major Investing Factors: The report analyzes MGK's exposure to key investing factors such as value, quality, momentum, and low volatility, with scores ranging from 1 to 99.
- Additional Research Links Provided: The report includes links to top Technology ETFs, High Momentum ETFs, Top Low Volatility ETFs, and High Fundamental Momentum ETFs for further research.
- About Validea: Validea is an investment research service that follows strategies of investment legends like Warren Buffett and offers stock analysis and model portfolios based on successful investors.
- Disclaimer: The views expressed in the report are those of the author and may not necessarily represent the views of Nasdaq, Inc.
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Analyst Views on MGK
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VOOG vs. MGK: A Comparison of S&P 500 Growth and Major Tech Giants
Comparison of ETFs: The Vanguard Mega Cap Growth ETF (MGK) and the Vanguard S&P 500 Growth ETF (VOOG) both target U.S. large-cap growth stocks but differ in diversification, sector focus, and performance, with VOOG offering broader diversification and a slightly higher 1-year total return.
Expense Ratios and Returns: Both ETFs have a low expense ratio of 0.07%, but VOOG has a higher dividend yield, making it more appealing for income-focused investors, while MGK has shown stronger cumulative growth despite higher volatility.
Sector Exposure: MGK is more concentrated with 66 holdings and a heavier tilt towards technology (58%), while VOOG holds 217 stocks with a more balanced sector exposure, including significant allocations to technology, communication services, and consumer cyclical.
Investment Strategy: MGK focuses on mega-cap stocks, which can lead to greater volatility, while VOOG's broader approach may reduce risk but could also result in lower returns during tech rallies, making the choice between them dependent on individual investment goals.
Introducing the Impressive Vanguard ETF Allocating 59% of Its Portfolio to the "Magnificent Seven" Stocks
Overview of the Magnificent Seven: The "Magnificent Seven" refers to a group of seven leading technology companies, including Nvidia, Microsoft, and Apple, that have significantly outperformed the S&P 500, achieving a median return of 217% since the start of 2023.
Investment Opportunity: The Vanguard Mega Cap Growth ETF provides a way for investors to gain exposure to these high-performing stocks, with 59% of its portfolio value concentrated in the Magnificent Seven, while also offering some diversification through non-tech holdings.
Performance Metrics: The Vanguard Mega Cap Growth ETF has delivered a compound annual return of 14% since its inception in 2007, and 18.3% over the last decade, making it an attractive option for investors looking to capitalize on growth trends in technology.
Caution for Investors: Despite its strong performance, the ETF's concentration in a few stocks suggests that investors should not rely solely on it for diversification, and they may want to consider other investment options for a balanced portfolio.
The Vanguard S&P 500 ETF Provides Greater Diversification Compared to the Vanguard Mega Cap Growth ETF
Comparison of ETFs: The Vanguard S&P 500 ETF offers broader diversification, a higher dividend yield, and lower costs compared to the Vanguard Mega Cap Growth ETF, which is more concentrated in technology and has higher volatility.
Performance and Risk: While the Mega Cap Growth ETF has shown stronger recent growth and higher returns over the past five years, it comes with increased risk and a significant maximum drawdown compared to the S&P 500 ETF.
Sector Concentration: The Mega Cap Growth ETF allocates 69% of its assets to technology, making it more sensitive to fluctuations in that sector, whereas the S&P 500 ETF has a more balanced sector distribution with only 36% in technology.
Investment Considerations: Investors should weigh the trade-offs between potential higher returns and increased risk with the Mega Cap Growth ETF against the S&P 500 ETF's diversification and stability, especially considering their different inception dates and performance through market downturns.
VOO and MGK Provide Large-Cap Investment Opportunities with Different Risk Levels, Costs, and Diversification Strategies
Comparison of VOO and MGK: VOO offers a higher dividend yield and broader sector diversification compared to MGK, which focuses on large U.S. growth stocks and has outperformed VOO in terms of returns over the past year and five years but carries greater volatility.
Expense Ratios and Holdings: VOO has a lower expense ratio and manages significantly more assets, holding 504 stocks across various sectors, while MGK is more concentrated with only 66 holdings, primarily in technology.
Risk and Volatility: MGK's concentrated investment in tech stocks can lead to higher growth potential during tech rallies but also results in greater volatility and risk, whereas VOO's diversified approach may provide more stability.
Investment Goals: Investors seeking targeted exposure to mega-cap stocks may prefer MGK, while those looking for a more diversified investment strategy may find VOO's S&P 500 tracking more appealing.
Significant ETF Inflows: MGK, NFLX, COST, NOW
Stock Performance: MGK's share price is currently at $415.24, with a 52-week low of $262.655 and a high of $426.795, indicating a strong performance within its trading range.
Understanding ETFs: Exchange traded funds (ETFs) function like stocks, allowing investors to buy and sell "units" that can be created or destroyed based on demand, impacting the underlying assets.
Monitoring ETF Flows: Weekly analysis of shares outstanding helps identify ETFs with significant inflows or outflows, which can influence the buying or selling of their underlying holdings.
Disclaimer: The opinions expressed in the article are those of the author and do not necessarily represent the views of Nasdaq, Inc.
Discover the Sole Vanguard ETF That Transformed $10,000 into $82,000 Since 2015
Vanguard Information Technology ETF Performance: The Vanguard Information Technology ETF has been the best-performing ETF over the past decade, with a $10,000 investment growing to over $82,000, largely driven by its top three holdings: Nvidia, Apple, and Microsoft.
Impact of Dollar-Cost Averaging: While a lump-sum investment yielded significant returns, consistent dollar-cost averaging into the ETF would have resulted in even greater wealth accumulation, potentially reaching around $491,000 over the same period.
VOOG vs. MGK: A Comparison of S&P 500 Growth and Major Tech Giants
Comparison of ETFs: The Vanguard Mega Cap Growth ETF (MGK) and the Vanguard S&P 500 Growth ETF (VOOG) both target U.S. large-cap growth stocks but differ in diversification, sector focus, and performance, with VOOG offering broader diversification and a slightly higher 1-year total return.
Expense Ratios and Returns: Both ETFs have a low expense ratio of 0.07%, but VOOG has a higher dividend yield, making it more appealing for income-focused investors, while MGK has shown stronger cumulative growth despite higher volatility.
Sector Exposure: MGK is more concentrated with 66 holdings and a heavier tilt towards technology (58%), while VOOG holds 217 stocks with a more balanced sector exposure, including significant allocations to technology, communication services, and consumer cyclical.
Investment Strategy: MGK focuses on mega-cap stocks, which can lead to greater volatility, while VOOG's broader approach may reduce risk but could also result in lower returns during tech rallies, making the choice between them dependent on individual investment goals.
Introducing the Impressive Vanguard ETF Allocating 59% of Its Portfolio to the "Magnificent Seven" Stocks
Overview of the Magnificent Seven: The "Magnificent Seven" refers to a group of seven leading technology companies, including Nvidia, Microsoft, and Apple, that have significantly outperformed the S&P 500, achieving a median return of 217% since the start of 2023.
Investment Opportunity: The Vanguard Mega Cap Growth ETF provides a way for investors to gain exposure to these high-performing stocks, with 59% of its portfolio value concentrated in the Magnificent Seven, while also offering some diversification through non-tech holdings.
Performance Metrics: The Vanguard Mega Cap Growth ETF has delivered a compound annual return of 14% since its inception in 2007, and 18.3% over the last decade, making it an attractive option for investors looking to capitalize on growth trends in technology.
Caution for Investors: Despite its strong performance, the ETF's concentration in a few stocks suggests that investors should not rely solely on it for diversification, and they may want to consider other investment options for a balanced portfolio.
The Vanguard S&P 500 ETF Provides Greater Diversification Compared to the Vanguard Mega Cap Growth ETF
Comparison of ETFs: The Vanguard S&P 500 ETF offers broader diversification, a higher dividend yield, and lower costs compared to the Vanguard Mega Cap Growth ETF, which is more concentrated in technology and has higher volatility.
Performance and Risk: While the Mega Cap Growth ETF has shown stronger recent growth and higher returns over the past five years, it comes with increased risk and a significant maximum drawdown compared to the S&P 500 ETF.
Sector Concentration: The Mega Cap Growth ETF allocates 69% of its assets to technology, making it more sensitive to fluctuations in that sector, whereas the S&P 500 ETF has a more balanced sector distribution with only 36% in technology.
Investment Considerations: Investors should weigh the trade-offs between potential higher returns and increased risk with the Mega Cap Growth ETF against the S&P 500 ETF's diversification and stability, especially considering their different inception dates and performance through market downturns.
VOO and MGK Provide Large-Cap Investment Opportunities with Different Risk Levels, Costs, and Diversification Strategies
Comparison of VOO and MGK: VOO offers a higher dividend yield and broader sector diversification compared to MGK, which focuses on large U.S. growth stocks and has outperformed VOO in terms of returns over the past year and five years but carries greater volatility.
Expense Ratios and Holdings: VOO has a lower expense ratio and manages significantly more assets, holding 504 stocks across various sectors, while MGK is more concentrated with only 66 holdings, primarily in technology.
Risk and Volatility: MGK's concentrated investment in tech stocks can lead to higher growth potential during tech rallies but also results in greater volatility and risk, whereas VOO's diversified approach may provide more stability.
Investment Goals: Investors seeking targeted exposure to mega-cap stocks may prefer MGK, while those looking for a more diversified investment strategy may find VOO's S&P 500 tracking more appealing.
Significant ETF Inflows: MGK, NFLX, COST, NOW
Stock Performance: MGK's share price is currently at $415.24, with a 52-week low of $262.655 and a high of $426.795, indicating a strong performance within its trading range.
Understanding ETFs: Exchange traded funds (ETFs) function like stocks, allowing investors to buy and sell "units" that can be created or destroyed based on demand, impacting the underlying assets.
Monitoring ETF Flows: Weekly analysis of shares outstanding helps identify ETFs with significant inflows or outflows, which can influence the buying or selling of their underlying holdings.
Disclaimer: The opinions expressed in the article are those of the author and do not necessarily represent the views of Nasdaq, Inc.
Discover the Sole Vanguard ETF That Transformed $10,000 into $82,000 Since 2015
Vanguard Information Technology ETF Performance: The Vanguard Information Technology ETF has been the best-performing ETF over the past decade, with a $10,000 investment growing to over $82,000, largely driven by its top three holdings: Nvidia, Apple, and Microsoft.
Impact of Dollar-Cost Averaging: While a lump-sum investment yielded significant returns, consistent dollar-cost averaging into the ETF would have resulted in even greater wealth accumulation, potentially reaching around $491,000 over the same period.
