On the other hand, a growth ETF is an investment vehicle that holds a basket of many different growth stocks. Like growth stocks, shares of growth ETFs trade on exchanges throughout the day and can be purchased at most brokerages. By purchasing a share of a growth ETF, investors receive proportional exposure to its underlying stocks.
What are the best growth ETFs to buy?
There are two versions of this iShares ETF: the iShares S&P 500 Growth ETF ( IVW, $93.31) and the iShares S&P 500 Value ETF ( IVE ). For the purpose of this list of the best growth ETFs to buy, we'll focus on IVW, which tracks the performance of the S&P 500 Growth Index, a collection of growth-oriented stocks in the S&P 500.
Are growth ETFs a good investment?
Growth ETFs can save you precious research time by bundling together many high-growth assets into one easy to buy ETF. Growth ETFs come with impressively high long term returns that make these an attractive set-it-and-forget-it option. It’s difficult to predict regime shifts between growth and value investment styles.
