

Inflation remains elevated, but easing AI-related price pressures could support growth ETFs. Explore five funds with lower P/E ratios and positive momentum.

The S&P 500 Growth index exclusively holds 151 of the best-performing growth stocks from the regular S&P 500. The Growth index has returned over 28% annually during the last three years, thanks to its high degree of exposure to AI stocks.

The Vanguard S&P 500 Growth ETF offers focused growth exposure but consistently underperforms the Invesco QQQ Trust, Series 1 ETF across all major timeframes. VOOG is highly concentrated, with nearly 60% in its top 10 holdings and a 14.8% weighting in Nvidia, increasing concentration risk. While VOOG outperforms the S&P 500 and has lower drawdowns than QQQ, its brief outperformance periods are tied to top holdings' exceptional years.

If you're interested in broad exposure to the Large Cap Growth segment of the US equity market, look no further than the Vanguard S&P 500 Growth Index Fund ETF Shares (VOOG), a passively managed exchange traded fund launched on September 9, 2010.

The S&P 500 Growth index exclusively holds 148 of the best-performing growth stocks from the regular S&P 500 index. The Growth index typically outperforms the S&P 500 over the long term due to its high exposure to the technology sector.


VOOG delivered substantially higher one- and five-year total returns than VONG. VONG offers a larger portfolio of 370 holdings compared to VOOG's 148 stocks.

NewEdge Advisors LLC raised its position in Vanguard S&P 500 Growth ETF (NYSEARCA:VOOG) by 509.4% during the second quarter, according to its most recent filing with the SEC. The firm owned 100,203 shares of the company's stock after purchasing an additional 83,761 shares during the period. NewEdge Advisors LLC's holdings in Vanguard