Who is the biggest ETF?
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.
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.
| Symbol | Name | AUM |
|---|---|---|
| SPY | SPDR S&P 500 ETF Trust | $501,812,000.00 |
| IVV | iShares Core S&P 500 ETF | $451,713,000.00 |
| VOO | Vanguard S&P 500 ETF | $421,671,000.00 |
| VTI | Vanguard Total Stock Market ETF | $379,114,000.00 |
| Symbol | Name | 5-Year Return |
|---|---|---|
| ITB | iShares U.S. Home Construction ETF | 26.46% |
| XLK | Technology Select Sector SPDR Fund | 25.52% |
| FTXL | First Trust Nasdaq Semiconductor ETF | 24.89% |
| XSD | SPDR S&P Semiconductor ETF | 24.83% |
| Symbol | Name | Avg Daily Share Volume (3mo) |
|---|---|---|
| SPTL | SPDR Portfolio Long Term Treasury ETF | 4,462,844 |
| VTEB | Vanguard Tax-Exempt Bond ETF | 4,335,777 |
| ICLN | iShares Global Clean Energy ETF | 4,256,853 |
| JPST | JPMorgan Ultra-Short Income ETF | 4,238,823 |
The reigning king
The SPDR S&P 500 ETF Trust (SPY) remains at the forefront of S&P 500 ETFs, boasting an impressive $478 billion in assets under management (AUM). Remarkably, this ETF celebrated its 31st anniversary on January 22, 2024, coinciding with the day the S&P 500 index reached its recent all-time high.
| ETF | Assets Under Management | Expense Ratio |
|---|---|---|
| Vanguard Information Technology ETF (VGT) | $71.7 billion | 0.1% |
| Invesco AI and Next Gen Software ETF (IGPT) | $254 million | 0.6% |
| MicroSectors FANG+ Index 3X Leveraged ETN (FNGU) | $3.3 billion | 0.95% |
| Vanguard U.S. Quality Factor ETF (VFQY) | $292 million | 0.13% |
Consider Both ETFs and Mutual Funds
Owning both types of funds may be a smart strategy as each can offer protection and opportunity. For example, if you own a passively managed ETF, also buying an actively managed mutual fund may offer you some upside potential beyond that of the index being tracked.
Market risk
The single biggest risk in ETFs is market risk. Like a mutual fund or a closed-end fund, ETFs are only an investment vehicle—a wrapper for their underlying investment. So if you buy an S&P 500 ETF and the S&P 500 goes down 50%, nothing about how cheap, tax efficient, or transparent an ETF is will help you.
- iShares (BlackRock): $2.59 trillion.
- Vanguard: $2.36 trillion.
- SPDR (State Street): $1.22 trillion.
- Invesco: $454.78 billion.
- Charles Schwab: $320.21 billion3.
What ETF holds the most stocks?
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.
- #1. iShares Broad USD Invm Grd Corp Bd ETF USIG.
- #2. SPDR® Portfolio Corporate Bond ETF SPBO.
- #3. iShares 5-10 Year invmt Grd Corp Bd ETF IGIB.
Experts agree that for most personal investors, a portfolio comprising 5 to 10 ETFs is perfect in terms of diversification.
ETFs offer advantages over stocks in two situations. First, when the return from stocks in the sector has a narrow dispersion around the mean, an ETF might be the best choice. Second, if you are unable to gain an advantage through knowledge of the company, an ETF is your best choice.
Record Liquidity
SPY is the world's most traded ETF2 — trading $33.5 billion a day, on average — giving investors the ability to tap unmatched liquidity.
State Street Global Advisors introduced the Standard & Poor's Depositary Receipt, better known by its arachnoid acronym, SPDR ("spider"), and traded under the symbol SPY, in 1993. It is the oldest ETF out there and remains one of the largest by any measure.
What are the risks of the SPY ETF? While SPY is a cost-effective and highly liquid investment option for investors, it's also subject to the same risks as any other investment in the stock market, including market volatility, and economic and geopolitical risks.
- Vanguard S&P 500 ETF (VOO)
- Schwab U.S. Small-Cap ETF (SCHA)
- Invesco QQQ Trust (QQQ)
- Vanguard High Dividend Yield Index ETF (VYM)
- Vanguard Total International Stock ETF (VXUS)
- Vanguard Total World Stock ETF (VT)
- iShares Core U.S. Aggregate Bond ETF (AGG)
| Ticker | Fund name | 5-year return |
|---|---|---|
| SMH | VanEck Semiconductor ETF | 33.79% |
| SOXX | iShares Semiconductor ETF | 30.26% |
| XLK | Technology Select Sector SPDR Fund | 25.12% |
| IYW | iShares U.S. Technology ETF | 24.37% |
VanEck Crypto & Blockchain Innovators UCITS ETF was the best-performing ETF in February 2024, while Sprott Uranium Miners UCITS ETF Accumulating was the worst. Exchange-traded funds, or ETFs, are instruments for investors to track popular indices or leverage experienced manager choices in an attempt to beat the market.
Are ETFs really worth it?
Why Invest in ETFs Rather Than Mutual Funds? ETFs can be less expensive to own than mutual funds. Plus, they trade continuously throughout exchange hours, and such flexibility may matter to certain investors. ETFs also can result in lower taxes from capital gains, since they're a passive security that tracks an index.
- Vanguard S&P 500 ETF (VOO). ...
- Invesco QQQ ETF (QQQ). ...
- SPDR Dow Jones Industrial Average ETF Trust (DIA). ...
- Vanguard Total Stock Market Index Admiral (VTSAX)
- Vanguard Total World Stock ETF (VT)
- Vanguard Total Bond Market ETF (BND)
- Vanguard Mid Cap Index Admiral (VIMAX)
A single ETF can contain dozens or hundreds of different stocks, or bonds or almost anything else considered an investable asset. Since ETFs are more diversified, they tend to have a lower risk level than stocks.
The majority of individual investors should, however, seek to hold 5 to 10 ETFs that are diverse in terms of asset classes, regions, and other factors. Investors can diversify their investment portfolio across several industries and asset classes while maintaining simplicity by buying 5 to 10 ETFs.
In other words, you could potentially be liable for more than you invested because you bought the position on leverage. But can a leveraged ETF go negative? No.
