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The Vanguard Russell 3000 Index ETF is a low-cost, diversified investment option that tracks the performance of the Russell 3000 Index, which includes nearly all publicly traded US companies. This means you'll get exposure to a broad range of industries and sectors.
By investing in this ETF, you'll be gaining access to a portfolio of over 3,000 stocks, which can help spread risk and increase potential returns over the long-term. This is especially beneficial for individual investors who may not have the resources or expertise to create a diversified portfolio on their own.
The ETF's low expense ratio of 0.11% per year can help keep costs down, allowing you to keep more of your investment returns. This can add up over time, making it a more cost-effective option compared to actively managed funds.
Operating Fees
The operating fees for the Vanguard Russell 3000 Index ETF are very reasonable. They're 0.05% of the ETF's net assets.
This low fee is due in part to Vanguard's efficient business model, which keeps costs down for investors. The company is known for its low-cost index funds.
The expense ratio of 0.05% is significantly lower than many other index funds and ETFs on the market. In fact, it's one of the lowest expense ratios among all index funds and ETFs.
Investment Details
The Vanguard Russell 3000 Index ETF offers a unique investment opportunity that tracks the performance of the Russell 3000 Index.
The fund has an expense ratio of 0.05%, which is relatively low compared to other index funds.
This low expense ratio can help minimize costs and maximize returns for investors.
Investment Objective
The investment objective of this fund is to track the performance of the Russell 3000 Index, which represents approximately 98% of the U.S. equity market.
This means the fund aims to mirror the investment returns of the broad U.S. stock market, giving you exposure to the 3,000 largest companies in the United States.
The fund uses an indexing investment approach, which involves investing in the same stocks that make up the Russell 3000 Index, in the same proportions as their weighting in the index.
By doing so, the fund attempts to replicate the target index and provide you with a way to participate in the overall performance of the U.S. stock market.
The fund will hold each stock in approximately the same proportion as its weighting in the index, which helps to minimize the impact of individual stock performance on the overall portfolio.
The fund is designed to be non-diversified, meaning it may invest in a smaller number of stocks, but this is solely as a result of an index rebalance or market movement.
Dividend Yield Analysis
Dividend Yield Analysis is a crucial aspect of evaluating investment potential. The dividend yield of VTHR is 1.29%.
Understanding the range of dividend yields within a category is essential for making informed investment decisions. Category Low for dividend yield is 0.00%.
For context, Category High for dividend yield is 25.47%. This means that VTHR's dividend yield is significantly lower than the top of the range.
To put this into perspective, VTHR's dividend yield is ranked 45.87% within its category. This indicates that VTHR has a relatively high dividend yield compared to other investments in its category.
Here's a summary of the dividend yield analysis for VTHR:
Distributions
The Vanguard Russell 3000 Index ETF offers a range of distribution options for investors. One notable aspect is its dividend yield, which currently stands at 1.29%.
The ETF's dividend yield is significantly lower than the category high of 25.47%, but still ranks in the top 45.87% of its category.
In terms of distribution frequency, the Vanguard Russell 3000 Index ETF distributes dividends quarterly, providing regular income for investors.
Here are some key distribution metrics for the ETF:
- YTD Total Return: 4.3%
- 3 Yr Annualized Total Return: 11.9%
- 5 Yr Annualized Total Return: 13.7%
- Dividend Yield: 1.3%
The ETF's net income ratio is a relatively low 1.34%, indicating that a significant portion of its returns come from capital gains rather than dividend income.
Frequently Asked Questions
Does Vanguard have a Russell 3000 Index Fund?
Yes, Vanguard offers a Russell 3000 Index Fund, available as institutional shares and also as an ETF with a low starting price of $1. Learn more about this fund and its investment options.
Sources
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