Vanguard Small Cap Index ETF Investing Made Easy

Vanguard Small Cap Index ETF offers a diversified portfolio of small-cap stocks, with over 2,600 holdings.

This ETF tracks the CRSP US Small Cap Index, which covers about 1,500 of the smallest US companies.

Investing in a small-cap index ETF like Vanguard Small Cap Index ETF can be a low-cost way to gain exposure to the US small-cap market, with an expense ratio of 0.06%.

By investing in a small-cap index ETF, you can potentially benefit from the growth of small-cap companies, which have historically outperformed the overall market over the long-term.

The Vanguard Small-Cap Index Fund is a solid choice for investors looking to tap into the US small-cap market.

The fund's inception date was January 30, 2004, making it a relatively recent addition to the market.

It's managed by William Coleman, who brings his expertise to the table.

The fund has a large number of shares outstanding, with a total of 220,094,542 shares available.

Here are some key details about the fund:

The Vanguard Small Cap Index ETF has consistently delivered strong performance over the years. With an average annual return of 10.4% since its inception in 2004, it's clear that this ETF is a reliable choice for investors.

Its low expense ratio of 0.06% also contributes to its impressive performance, allowing more of your investment to grow over time.

Operating fees can eat into your returns, and it's essential to understand how they impact your investments.

The Vanguard Small-Cap ETF has a relatively low portfolio turnover rate of 12%, which means it holds its assets for a longer period, potentially reducing expenses.

This is in contrast to the average portfolio turnover of 54% for the Small Blend category, which can lead to higher expenses and lower after-tax returns.

The ETF's low turnover rate is a positive aspect, but it's essential to consider the overall performance of the fund.

In December 2024, the Vanguard Small-Cap ETF returned -7.3%, which earned it a grade of B in the Small Blend category.

Here's a comparison of the ETF's operating fees with its performance:

Note that the ETF's operating fees are not explicitly mentioned in the article, but we can infer that its low portfolio turnover rate may contribute to lower expenses.

The Return Ranking section of the performance report provides a clear picture of how different investment periods have fared. This is particularly useful for investors looking to gauge the consistency of their investments over time.

In 2024, the VB Return was 12.6%, which is a respectable gain. The Category Return Low and High for the same period were -45.8% and 22.7% respectively, highlighting the significant range of performance within the category.

Here's a breakdown of the Return Ranking for the past few years:

This table shows that 2023 was the strongest year for the VB Return, with a gain of 16.2%. In contrast, 2022 was the worst year, with a loss of 18.8%.

The first index fund, the Vanguard 500, was launched in 1976 with a price of $1.03 per share.

The fund's price has fluctuated over the years, with a high of $1.57 in 1987 and a low of $0.93 in 2002.

The Vanguard 500's average annual return from 1976 to 2020 was 10.3%, outpacing the S&P 500's average annual return of 9.8% during the same period.

The fund's price has increased significantly over time, with a total return of over 20,000% from its inception to 2020.

In contrast, the Schwab U.S. Broad Market ETF, launched in 2001, had a total return of over 15,000% from its inception to 2020.

Small-cap stocks have been beating expectations with 11% YTD returns, making them a strong contender in the market.

The Vanguard Small Cap ETF is a well-diversified fund that offers a broad index of low-market cap stocks, providing a low-cost and liquid way to invest in this space.

Small-cap stocks are still holding their own despite rising borrowing costs and a weak macroeconomic outlook.

Small-cap earnings growth has been negative for six consecutive quarters, but projections show a turnaround in the second half of 2024. This change in trend makes Vanguard Small-Cap Index Fund ETF Shares an attractive choice for investors.

The Vanguard Small-Cap Index Fund ETF Shares offers a solid long-term investment option, especially considering the expected earnings growth ahead. Peter Lynch, a well-known investor, is also bullish on small-cap stocks, suggesting they are undervalued compared to mega-cap tech stocks.

Investors who are hesitant to invest in tech stocks may find small-cap stocks to be a more appealing option, as Lynch believes they offer better value.

Dividend Yield Analysis is a crucial aspect of investment analysis. The dividend yield of a stock is the ratio of the annual dividend payment to the stock's current price.

VB's dividend yield is 1.47%, which is a relatively low percentage. This means that the stock is not currently providing a high return in the form of dividends.

To put this in perspective, the category low for dividend yield is 0.00%, while the category high is 42.47%. This indicates that VB's dividend yield is below average, but still within a reasonable range.

VB's dividend yield ranks 35.27% among its category, indicating that it is not the highest or lowest in its peer group.

One key metric in investment analysis is the net income ratio, which measures a company's profitability.

VB's net income ratio is 1.25%. This is a relatively strong ratio, indicating that VB is generating a decent amount of income from its operations.

In comparison, the category low is -2.40%, which is a significant decline in profitability. This suggests that some companies in the same category are struggling to make ends meet.

The category high is 2.49%, which is a respectable ratio, but not as strong as VB's. This shows that there are some companies in the category that are performing well, but not as well as VB.

VB's net income ratio ranks 4.51% among its peers. This means that VB is outperforming most of its competitors in terms of profitability.

Small-cap earnings growth has been negative for six consecutive quarters, but projections show a turnaround in the second half of 2024.

The Vanguard Small-Cap Index Fund ETF Shares offers a solid long-term investment option, according to recent analysis.

Peter Lynch, a renowned investor, is bullish on small-cap stocks and recommends them over mega-cap tech stocks.

Small-cap stocks have the potential for higher growth rates compared to larger-cap stocks, making them an attractive option for investors.

Recent projections show a significant increase in small-cap earnings growth in the second half of 2024, which could lead to increased investment opportunities.

The Vanguard Small-Cap Index Fund ETF Shares, or VB, is a solid choice for investors looking to capitalize on this trend.

The Vanguard Small-Cap Index ETF is a popular investment option, but how does it stack up against other funds in its category? Let's take a look at some key performance indicators.

In terms of one-year performance, the Vanguard Small-Cap Index ETF is not the only game in town. The Destinations Small-Mid Cap Equity Fund Class Z has a 1-year performance of 16.39%, while the Vanguard Small-Cap Index Fund Institutional Shares has a slight edge at 16.40%.

Here's a brief comparison of some funds in the same category:

Overall, the Vanguard Small-Cap Index ETF has some stiff competition in its category, but its performance is certainly competitive.

In the world of investments, comparing funds is crucial to making informed decisions. One year's performance is a key factor to consider.

The Destinations Small-Mid Cap Equity Fund Class Z boasts a 1-year performance of 16.39%. This is a significant return on investment.

The Vanguard Small-Cap Index Fund Institutional Shares is closely tied with Destinations, boasting a 1-year performance of 16.40%. This fund is a popular choice among investors.

North Square Advisory Research Small Cap Value Fund Class I takes the lead with a 1-year performance of 16.41%. This fund's focus on value investing has paid off for investors.

Here's a brief comparison of the top-performing funds in the small-cap equity category:

These funds have shown impressive growth over the past year, making them worth considering for investors looking for strong returns.

The Vanguard Small-Cap ETF (VB) invests in over 1500 stocks, covering a wide range of small-cap companies.

The Vanguard S&P Small-Cap 600 ETF (VIOO) has a much more limited focus, investing in only 600 stocks.

VB tracks the CRSP US Small Cap Index, which provides broad exposure to the small-cap market.

VIOO, on the other hand, tracks the S&P SmallCap 600 Index, which is a more concentrated index of the smallest-cap companies.

The Vanguard Small-Cap ETF has a portfolio of 1500 small-cap U.S. stocks. Its valuation is reasonable, but there is still high downside risk, especially in an economic recession.

The small-cap space has rallied spectacularly since the 2020 pandemic crash, and VB has a higher downside risk compared to other ETFs.

Downside risk remains a significant concern for investors in the small-cap space. The Vanguard Small-Cap ETF has a portfolio of 1500 small-cap U.S. stocks.

Despite its reasonable valuation, VB still has a higher downside risk compared to other investment options. This is especially true in the event of an economic recession.

The small-cap space has seen a spectacular rally since the 2020 pandemic crash, but this doesn't necessarily mean it's due for a correction. History has shown that small-cap stocks can be volatile and unpredictable.

Investors should be aware of the potential for significant losses in the small-cap space, especially if the economy takes a downturn.

I've had to change my mind on Vanguard's VB ETF due to its underperformance compared to the S&P 500 and Invesco Nasdaq-100 Trust.

The VB ETF's low expense ratio is a significant advantage, but it's not enough to outweigh its underperformance.

Small-cap earnings growth is expected to turn around in the second half of 2024, marking a positive change after six consecutive quarters of negative growth.

Peter Lynch, a well-known investor, has expressed his preference for small-cap stocks over mega-cap tech stocks, which he believes are overvalued.

The Vanguard Small-Cap Index Fund ETF Shares offers a solid long-term investment option, thanks to its focus on small-cap stocks.

Peter Lynch is bullish on the current state of the market, particularly in the small-cap segment, and recommends exploring investment opportunities in this area.

The Vanguard Small Cap Index ETF is a popular investment option for those looking to tap into the small-cap market. It's designed to track the CRSP US Small Cap Index.

Small-cap stocks have historically been less volatile than large-cap stocks, making them a potentially attractive option for investors looking to reduce risk. They're also often associated with higher growth potential.

The fund's expense ratio is 0.06%, which is relatively low compared to other index funds. This means investors can keep more of their returns.

Small-cap stocks are typically defined as companies with market capitalizations between $300 million and $2 billion. This can make them more susceptible to economic downturns.

An investment strategy for a Vanguard Small Cap Index ETF should focus on long-term growth.

This ETF tracks the CRSP US Small Cap Index, which includes about 2,100 US stocks with a market capitalization between $300 million and $10 billion.

The ETF has a low expense ratio of 0.06%, making it a cost-effective option for investors.

It's essential to have a diversified portfolio with a mix of low-cost index funds to minimize risk.

The Vanguard Small Cap Index ETF has a beta of 1.3, which is slightly higher than the S&P 500, indicating a slightly riskier investment.

The ETF has a dividend yield of 1.5%, providing a relatively stable source of income.

Investors should consider their risk tolerance and financial goals before investing in a Vanguard Small Cap Index ETF.

This ETF is suitable for investors who want to invest in small-cap stocks with a relatively low cost and a long-term focus.

Vanguard Small-Cap Index ETF is a passively managed investment option that tracks the performance of the CRSP US Small Cap Index. This index measures the investment return of small-capitalization stocks in the United States.

The Vanguard Small-Cap ETF was launched in 2004 by Vanguard, a well-established investment management company. The fund seeks to replicate the target index by investing in the stocks that make up the index, holding each stock in approximately the same proportion as its weighting in the index.

The fund invests in growth and value stocks of small-cap companies across various sectors, providing a diversified portfolio. The investment approach is designed to track the performance of the CRSP US Small Cap Index, aiming to deliver consistent results over time.

The Vanguard Small-Cap ETF is listed on the exchange as VB, and it's available for trading. The fund's performance is measured by its Net Asset Value (NAV) and is updated regularly.

Small-cap stocks are getting recognition for their potential in the dividend growth space.

Vanguard's Small-Cap Index Fund ETF, VB, is a notable option.

Small-cap stocks are not typically associated with dividends, but they can benefit from US economic growth.

I believe small-caps can benefit from continued US economic growth.

A stronger US currency and a favorable market environment can also contribute to small-cap success.

Vanguard's Small-Cap Index Fund ETF, VB, is a solid choice for investors.

The Vanguard small cap index ETF is a great option for investors looking for a strong and simple investment. The VB ETF features a broad index of low-market cap stocks.

This fund is incredibly liquid, making it easy to buy and sell shares. It's also a low-cost option, which means you get to keep more of your money.

With a low P/E ratio, this ETF suggests strong future returns.