Parsing Size ' Style


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But growth factors don't tell the whole story.

The graph below shows four major U.S. large-cap growth ETFs over the past year:the SPDR S&P 500 Growth ETF (NYSEArca:SPYG), Vanguard Russell 1000 Growth ETF (NYSEArca:VONG), iShares Russell Top 200 Growth Index Fund (NYSEArca:IWY) and Vanguard Mega Cap 300 Growth ETF (NYSEArca:MGK).

Large-Cap Dispersion

This graph, unsurprisingly, looks a lot like the large-cap growth ETF above it. Here, IWL beats VONE by about 2.4 percentage points, with the other two ETFs in the middle.

Over the past years, large companies have outperformed small, which is captured by both the broad large-cap funds and the growth-focused ETFs that are based upon them.

Now, with all that said, there can be very significant differences between growth ETFs that are based upon the same parent index.

The graph below shows the performance of three growth ETFs that are all based on the S&P 500:the SPDR S&P 500 Growth ETF (NYSEArca:SPYG), Guggenheim S&P 500 Pure Growth ETF (NYSEArca:RPG) and the First Trust Large Cap Growth AlphaDex ETF (NYSEArca:FTC).

SP 500-Based Dispersion Don't forget to check's ETF Data section.

Copyright ® 2012 IndexUniverse LLC . All Rights Reserved.

The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.

This article appears in: Investing ETFs
Referenced Stocks: FTC , IWL , IWY , RPG , SPYG

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