This Day On The Street
Continue to site
ADVERTISEMENT
This account is pending registration confirmation. Please click on the link within the confirmation email previously sent you to complete registration.
Need a new registration confirmation email? Click here

Vanguard Launches Bid to Lead Broad Market

Vanguard launched nine ETFs on Sept. 9 targeting the style-box matrix based on S&P indexes with growth, value and blend versions of the large-cap S&P 500, the S&P Mid-Cap 400 and the S&P Small-Cap 600. All will compete with existing SPDRs and iShares products based on the same indexes.

Some analysts may brush these off as "me too" products, but Vanguard knows how to play "me too" better than anyone. Most Vanguard products on the market fit this description, yet the company has quietly entrenched itself as the third-largest ETF provider, with more than $110 billion in assets.

Vanguard introduced its first two ETFs in 2001, then sat quietly until January 2004 when it introduced 14 more. Only a licensing disagreement kept the 2004 batch from tracking S&P indexes. So Vanguard brought them out based on MSCI indexes.

Now, 34 years after the introduction of the Vanguard 500 Index Fund (VFINX), the ETF version has arrived. According to a Vanguard article, the new Vanguard S&P 500 ETF (VOO) features an expense ratio of 0.06%, the lowest expense ratio in the industry for an ETF based on the S&P 500 Index or any other large-capitalization domestic benchmark. All nine of the new ETFs are eligible for commission-free trading by Vanguard brokerage clients. The new ETFs:

  • Vanguard S&P 500 ETF(VOO) has an expense ratio of 0.06% and will compete directly with SPDR S&P 500(SPY) and iShares S&P 500(IVV), which have a 0.09% expense ratio.
  • Vanguard S&P 500 Growth ETF(VOOG) has an expense ratio of 0.15% and will compete directly with iShares S&P 500 Growth(IVW), which has a 0.18% expense ratio.
  • Vanguard S&P 500 Value ETF(VOOV) has an expense ratio of 0.15% and will compete directly with iShares S&P 500 Value(IVE), which has a 0.18% expense ratio.
  • Vanguard S&P Mid-Cap 400 ETF(IVOO) has an expense ratio of 0.15% and will compete directly with SPDR S&P MidCap 400(MDY), which has a 0.25% expense ratio, and iShares S&P MidCap 400(IJH), which has a 0.20% expense ratio.
  • Vanguard S&P Mid-Cap 400 Growth ETF(IVOG) has an expense ratio of 0.20% and will compete directly with iShares S&P MidCap 400 Growth(IJK) which has a 0.25% expense ratio.
  • Vanguard S&P Mid-Cap 400 Value ETF(IVOG) has an expense ratio of 0.20% and will compete directly with iShares S&P MidCap 400 Value(IJJ), which has a 0.25% expense ratio.
  • 1 of 2

    Check Out Our Best Services for Investors

    Action Alerts PLUS

    Portfolio Manager Jim Cramer and Director of Research Jack Mohr reveal their investment tactics while giving advanced notice before every trade.

    Product Features:
    • $2.5+ million portfolio
    • Large-cap and dividend focus
    • Intraday trade alerts from Cramer
    Quant Ratings

    Access the tool that DOMINATES the Russell 2000 and the S&P 500.

    Product Features:
    • Buy, hold, or sell recommendations for over 4,300 stocks
    • Unlimited research reports on your favorite stocks
    • A custom stock screener
    Stocks Under $10

    David Peltier uncovers low dollar stocks with serious upside potential that are flying under Wall Street's radar.

    Product Features:
    • Model portfolio
    • Stocks trading below $10
    • Intraday trade alerts
    14-Days Free
    Only $9.95
    14-Days Free
    Dividend Stock Advisor

    David Peltier identifies the best of breed dividend stocks that will pay a reliable AND significant income stream.

    Product Features:
    • Diversified model portfolio of dividend stocks
    • Updates with exact steps to take - BUY, HOLD, SELL
    Trifecta Stocks

    Every recommendation goes through 3 layers of intense scrutiny—quantitative, fundamental and technical analysis—to maximize profit potential and minimize risk.

    Product Features:
    • Model Portfolio
    • Intra Day Trade alerts
    • Access to Quant Ratings
    Options Profits

    Our options trading pros provide over 100 monthly option trading ideas and strategies to help you become a well-seasoned trader.

    Product Features:
    • Actionable options commentary and news
    • Real-time trading community
    SYM TRADE IT LAST %CHG
    IVV $211.99 0.00%
    IVW $117.99 0.00%
    SPY $210.77 0.00%
    VOO $193.25 0.00%
    VOOG $105.74 0.00%

    Markets

    Chart of I:DJI
    DOW 17,751.39 +121.12 0.69%
    S&P 500 2,108.57 +15.32 0.73%
    NASDAQ 5,111.7330 +22.5270 0.44%

    Free Reports

    Top Rated Stocks Top Rated Funds Top Rated ETFs