Who is the king of ETFs?
The reigning king
Vanguard, BlackRock, and State Street dominate the ETF market with the most offerings. The five largest ETF issuers have more than $100 billion each in ETF assets under management. The SEC is concerned that these leaders may stifle competition and prevent new entrants in the market.
No. | Provider Name | Total Assets |
---|---|---|
1 | BlackRock | 2,732.49B |
2 | Vanguard | 2,530.68B |
3 | State Street | 1,291.53B |
4 | Invesco | 501.37B |
Symbol | Name | 5-Year Return |
---|---|---|
IYW | iShares U.S. Technology ETF | 23.99% |
SPXL | Direxion Daily S&P 500 Bull 3X Shares | 23.89% |
UPRO | ProShares UltraPro S&P500 | 23.55% |
FTXL | First Trust Nasdaq Semiconductor ETF | 23.34% |
Largest ETFs by market cap globally 2024
As of March 7, 2024, State Street's SPDR S&P 500 ETF Trust was the highest valued exchange-traded fund (ETF) globally, with a market capitalization of over 467 billion U.S. dollars.
- 9 Safest Index Funds and ETFs to buy in 2024. ...
- Vanguard S&P 500 ETF (VOO 0.33%) ...
- Vanguard High Dividend Yield ETF (VYM 0.83%) ...
- Vanguard Real Estate ETF (VNQ 0.72%) ...
- iShares Core S&P Total U.S. Stock Market ETF (ITOT 0.38%) ...
- Consumer Staples Select Sector SPDR Fund (XLP 0.05%) ...
- iShares 0-3 Month Treasury Bond ETF (SGOV 0.04%)
Symbol | Name | Avg Daily Share Volume (3mo) |
---|---|---|
LQD | iShares iBoxx $ Investment Grade Corporate Bond ETF | 30,085,430 |
SPXU | ProShares UltraPro Short S&P500 | 28,087,125 |
UVXY | ProShares Ultra VIX Short-Term Futures ETF | 27,160,930 |
SPXS | Direxion Daily S&P 500 Bear 3X Shares | 25,327,875 |
Buffett's favorite ETF
There are only two ETFs in Berkshire Hathaway's (NYSE: BRK. A) (NYSE: BRK.B) portfolio: the SPDR S&P 500 ETF Trust (NYSEMKT: SPY) and the Vanguard 500 Index Fund ETF (NYSEMKT: VOO). Both are index ETFs that track the S&P 500.
The SPDR S&P 500 ETF Trust (SPY) seeks to track the performance of the S&P 500 index, which is a cap-weighted basket of the largest publicly traded companies in the U.S. SPY is the oldest ETF listed on a U.S. exchange and is the largest ETF as measured by AUM.
A market maker, sometimes called a designated broker (DB), is a broker, dealer or investment firm that plays an essential role in how an ETF trades and ensures the continued and efficient exchange of securities between buyers and sellers.
What is the most aggressive ETF?
- Invesco Zacks Multi-Asset Income ETF.
- Multi-Asset Diversified Income ETF.
- GraniteShares HIPS US High Income ETF.
- WisdomTree U.S. Efficient Core Fund.
- Global X Alternative Income ETF.
You expose your portfolio to much higher risk with sector ETFs, so you should use them sparingly, but investing 5% to 10% of your total portfolio assets may be appropriate. If you want to be highly conservative, don't use these at all.
FUND(TICKER) | EXPENSE RATIO | 10-YEAR RETURN AS OF MARCH 1 |
---|---|---|
Vanguard Growth ETF (VUG) | 0.04% | 13.97% |
iShares Russell 1000 Growth ETF (IWF) | 0.19% | 14.66% |
iShares S&P 500 Growth ETF (IVW) | 0.18% | 13.16% |
Schwab U.S. Large-Cap Growth ETF (SCHG) | 0.04% | 14.88% |
iShares. iShares is the largest ETF brand in the United States, with more than 1,250 ETFs on the market and $2.5 trillion in assets under management, or AUM. The issuer behind this mega brand is BlackRock Inc.
JPMorgan Equity Premium Income ETF
The largest actively managed ETF in the market, with $33 billion in assets under management, the JPMorgan Equity Premium ETF (NYSEMKT: JEPI) is what is known as a "covered call ETF."
The Top40 is an equity Index of the 40 largest companies by market capitalisation, listed on the JSE. The fund is rebalanced quarterly and therefore has minimal trading costs. The fund may also hold a small portion in cash instruments and listed derivatives to effect efficient portfolio management.
For instance, some ETFs may come with fees, others might stray from the value of the underlying asset, ETFs are not always optimized for taxes, and of course — like any investment — ETFs also come with risk.
But if you're looking to beat the S&P 500 over the long haul, one ETF stands apart: Invesco QQQ Trust (QQQ). The Invesco QQQ ETF, usually just called QQQ, is a top performer this year.
Key Takeaways
ETFs are less risky than individual stocks because they are diversified funds. Their investors also benefit from very low fees. Still, there are unique risks to some ETFs, including a lack of diversification and tax exposure.
Vanguard S&P 500 ETF holds a Zacks ETF Rank of 2 (Buy), which is based on expected asset class return, expense ratio, and momentum, among other factors. Because of this, VOO is a great option for investors seeking exposure to the Style Box - Large Cap Blend segment of the market.
How many ETFs should I invest in?
Experts agree that for most personal investors, a portfolio comprising 5 to 10 ETFs is perfect in terms of diversification.
"Overall, Vanguard's ETFs are widely acknowledged as dependable choices for investors seeking cost-effective means to achieve diversified exposure," August says. A great example is VT, which provides investors with exposure to over 9,800 global equities, all for a 0.07% expense ratio.
Warren Buffett has long recommended the S&P 500 index fund and ETF, and through his holding company Berkshire Hathaway, he also owns two of these types of investments: the Vanguard S&P 500 ETF (NYSEMKT: VOO) and the SPDR S&P 500 ETF Trust (NYSEMKT: SPY).
If you really want to be like Buffett, you can scroll down on that page to get a full portrait of Berkshire's portfolio of public investments. The list is full of stocks, with the notable exception of two exchange-traded funds: SPDR S&P 500 ETF Trust (symbol: SPY) and Vanguard S&P 500 ETF (VOO).
In his letter written to Berkshire Hathaway shareholders last year, Buffett discussed two long-term holdings -- American Express (NYSE: AXP) and The Coca-Cola Company (NYSE: KO). He noted that Berkshire completed building big positions in both stocks in the mid-1990s after several years of buying.
References
- https://www.quora.com/Should-you-buy-multiple-ETFs-or-will-one-on-its-own-do-just-fine-If-you-had-to-pick-just-one-ETF-which-would-it-be
- https://corporate.vanguard.com/content/corporatesite/us/en/corp/who-we-are/sets-us-apart/index.html
- https://www.statista.com/statistics/1181252/largest-etfs-market-cap-global/
- https://www.statista.com/statistics/278249/global-number-of-etfs/
- https://www.justetf.com/en/how-to/nasdaq-100-etfs.html
- https://money.usnews.com/funds/etfs/rankings/europe-stock
- https://www.unbiased.com/discover/investing/vanguard-vs-blackrock
- https://www.investopedia.com/terms/e/etf-sponsor.asp
- https://www.dummies.com/article/business-careers-money/personal-finance/investing/investment-vehicles/funds/exchange-traded-funds-for-dummies-cheat-sheet-208448/
- https://www.investopedia.com/terms/i/issuer.asp
- https://www.techopedia.com/who-owns-the-most-blk-stock
- https://www.fidelity.com/learning-center/investment-products/etf/risks-with-etfs
- https://www.fool.com/investing/how-to-invest/etfs/
- https://www.investors.com/etfs-and-funds/etfs/sp500-cheap-etf-pays-off-more-than-everything-else-long-term/
- https://www.fool.com/investing/how-to-invest/index-funds/safest-index-funds/
- https://www.nerdwallet.com/article/investing/what-is-an-etf
- https://www.vanguard.ca/en/investor/learn/featured-group/basics/history-of-etfs
- https://www.trackinsight.com/en/education/how-many-etfs-should-you-own
- https://finance.yahoo.com/news/3-actively-managed-etfs-put-100300771.html
- https://finance.yahoo.com/news/warren-buffett-just-revealed-8-110700652.html
- https://www.blackrock.com/americas-offshore/en/education/etf/choosing-the-right-etf
- https://money.usnews.com/funds/etfs/rankings/aggressive-allocation
- https://curvo.eu/article/best-sp-500-etf-belgium
- https://money.usnews.com/investing/articles/best-etfs-to-buy
- https://www.investopedia.com/articles/investing/080415/5-biggest-etf-companies.asp
- https://www.ssga.com/us/en/intermediary/etfs
- https://brokerchooser.com/best-brokers/best-etf-brokers-in-europe
- https://www.rbcgam.com/documents/en/articles/what-is-the-role-of-the-market-maker-for-etfs.pdf
- https://etfdb.com/stock/AAPL/
- https://www.etf.com/stock/TSLA
- https://www.etf.com/sections/news/vanguard-eclipses-blackrock-equity-market-share
- https://1nvest.co.za/products/index-tracking-unit-trusts/1nvest-top-40-etf/
- https://etfarchitect.com/how-to-start-an-etf-resources-and-faq/
- https://www.titan.com/articles/etf-drawbacks
- https://www.quora.com/How-many-ETFs-are-too-many
- https://www.usatoday.com/money/blueprint/investing/best-growth-etfs/
- https://www.businesstoday.in/mutual-funds/exchange-traded-fund-etf
- https://www.bankrate.com/investing/best-etfs/
- https://www.bankrate.com/investing/best-index-funds/
- https://www.etf.com/etf-education-center/etf-basics/what-is-the-creationredemption-mechanism
- https://www.etf.com/etf-education-center/etf-basics/best-performing-etfs-last-10-years
- https://www.schwab.com/etfs/invest-in-etfs
- https://www.investopedia.com/articles/investing/040115/how-create-your-very-own-etf.asp
- https://www.statista.com/statistics/1199446/number-etfs-europe/
- https://www.investopedia.com/articles/stocks/09/buying-stock-or-etf.asp
- https://investor.vanguard.com/investment-products/mutual-funds/profile/veusx
- https://www.justetf.com/en/how-to/invest-in-europe.html
- https://stockanalysis.com/etf/provider/
- https://www.etf.com/topics/aggressive
- https://www.nasdaq.com/solutions/european-indexes
- https://www.ici.org/faqs/faq/etfs/faqs_etfs_market
- https://etfdb.com/compare/volume/
- https://finance.yahoo.com/news/1-warren-buffett-etf-could-100000820.html
- https://www.schwab.com/learn/story/generating-income-with-etfs-what-you-need-to-know
- https://curvo.eu/article/etf-risk
- https://www.fool.com/investing/how-to-invest/etfs/etfs-to-buy/
- https://www.investopedia.com/who-are-the-etf-giants-4691723
- https://fintel.io/so/us/spy/blackrock
- https://en.wikipedia.org/wiki/Exchange-traded_fund
- https://www.investopedia.com/articles/mutualfund/07/etf_downside.asp
- https://ycharts.com/indicators/us_number_of_etfs
- https://finance.yahoo.com/news/5-vanguard-etfs-could-millionaire-105100810.html
- https://www.investopedia.com/articles/mutualfund/05/062705.asp
- https://www.nl.vanguard/professional/investment-capabilities/product-types/etfs
- https://money.usnews.com/investing/articles/biggest-etf-brands-and-their-issuers
- https://www.investopedia.com/articles/investing/100815/3-biggest-mutual-fund-companies-us.asp
- https://www.expatfinance.us/general/us-etfs-in-europe
- https://www.datawallet.com/stocks/buy-nasdaq-europe
- https://www.etfstream.com/articles/a-history-of-etfs-in-europe
- https://international.schwab.com/investment-products/etf-trading
- https://etfdb.com/compare/market-cap/
- https://www.citigroup.com/rcs/citigpa/storage/public/icpublic/Citi-Securities-Services-European-ETF-Playbook.pdf
- https://www.investopedia.com/articles/etfs-mutual-funds/061416/biggest-etf-risks.asp
- https://www.usbank.com/financialiq/improve-your-operations/investments-and-controls/Understanding-the-role-of-authorized-participants-in-exchange-traded-funds.html
- https://www.schwab.com/learn/story/3-ways-to-build-all-etf-portfolio
- https://www.bankeronwheels.com/ucits-etfs-vs-us-funds-for-non-us-investors/
- https://www.cnbc.com/2024/03/08/warren-buffett-berkshire-hathaway-owns-2-etfs.html
- https://www.nerdwallet.com/article/investing/how-to-invest-in-etf-exchange-traded-fund
- https://www.themarkethustle.com/news/average-etf-return-how-much-will-you-make
- https://money.usnews.com/investing/articles/best-vanguard-etfs-to-buy
- https://www.investopedia.com/financial-edge/0113/7-easy-to-understand-etfs-to-replace-a-savings-account.aspx
- https://finance.yahoo.com/news/vanguard-p-500-etf-voo-112006029.html
- https://www.etfcentral.com/news/sp-500-hits-new-all-time-highs-3-sp-500-etfs-to-watch
- https://www.blackrock.com/sg/en/ishares/education/types-of-etfs
- https://www.etfcentral.com/etf-u/guides/how-many-etfs-should-i-own
- https://www.trackinsight.com/en/education/what-is-etf-issuer
- https://www.investopedia.com/the-future-of-etfs-4772514
- https://citywire.com/wealth-manager/news/how-banks-make-money-from-etfs/a561150
- https://finance.yahoo.com/news/warren-buffett-really-likes-1-110700418.html
- https://etfdb.com/compare/highest-5-year-returns/
- https://www.investopedia.com/articles/investing/121515/why-3x-etfs-are-riskier-you-think.asp
- https://www.ii.co.uk/analysis-commentary/fund-battle-vanguard-global-etf-versus-blackrock-global-etf-ii529490
- https://www.bankeronwheels.com/vanguard-funds-for-european-investors/
- https://www.etf.com/sections/blog/who-actually-owns-your-etf
- https://www.etf.com/etf-education-center/etf-basics/most-popular-etfs
- https://www.citigroup.com/global/insights/securities-services/navigating-the-european-etf-landscape
- https://money.usnews.com/funds/etfs/most-popular
- https://www.investopedia.com/vanguard-vs-fidelity-4587961
- https://www.fidelity.com/learning-center/investment-products/etf/what-are-etfs