Looking for compelling index funds to invest in? Don’t have much money to do this? then consider Vanguard S&P 500 Growth Index Fund ETF (NYSE: VOOG).
Here’s why this exchange-traded fund (ETF) is so compelling and how it can grow your wealth over time, as well as the index fund itself.
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Most of us don’t have the time, interest, or skills to research the most promising stocks of all. But we still want to keep some potentially fast-growing investments in our portfolio.
Enter index funds. Index funds, whether in the form of mutual funds or ETFs, are funds that track a specific index. so a S&P 500 Index For example, an index fund buys 500 stocks in the index in roughly equal proportions. Therefore, it aims to provide approximately the same performance as the index, minus its fees. (The best index funds have ultra-low fees.)
With an index fund, you can invest in multiple companies at once and make profits just like them, with almost no work required. Awesome, right?
For decades, the S&P 500 has averaged annual gains of nearly 10%. If you want to try for bigger returns (but there’s no guarantee!), consider the Vanguard S&P 500 Growth Index Fund ETF. It has a low expense ratio (annual fee) of 0.07%, starts with 500 companies in the S&P 500, and invests only in the faster-growing portion of them.
It recently held shares in 140 different companies. Recently, 62% of its value was concentrated in just its top 10 holdings, compared with a whopping 14.5% of its assets. NVIDIA. Some will find this level of concentration worrisome, while others will be happy to own a large stake in Nvidia since its future is still quite promising.
Here’s how the fund performed. I’ve also included the returns of the regular S&P 500 ETF for comparison:
|
ETF |
5-Year Average Annual Return |
10-Year Average Annual Return |
15-Year Average Annual Return |
|---|---|---|---|
|
Vanguard S&P 500 ETF (NYSE: VOO) |
13.80% |
15.58% |
13.75% |
|
Vanguard S&P 500 Growth ETF (NYSE: VOOG) |
13.45% |
17.36% |
15.39% |
Data source: Morningstar.com, as of February 4, 2026.
Here are the ETF’s recent holdings:
