For tech-savvy investors, a new exchange-traded fund (ETF) offers a unique opportunity to own shares in four Magnificent Seven stocks simultaneously, bypassing the usual high costs associated with individual stock purchases.
The Vanguard Mega Cap Growth ETF focuses on big tech, with 61.4% of its 71-stock portfolio comprised of this sector. Notably, 45% of the fund’s assets are invested in Apple, Microsoft, Amazon, and Nvidia – companies at the forefront of the AI revolution. These giants have seen significant growth in 2024, with their combined market cap exceeding $16 trillion.
The ETF also includes shares in other prominent companies like Meta, Tesla, Eli Lilly, Visa, Costco, and McDonald’s, all of which hold a significant share of global recognition and demand for their products and services.
According to data from Ycharts, the Magnificent Seven stocks have driven 64.1% of the S&P 500’s market cap growth in 2024, with some companies experiencing a nearly 50% increase in value this year alone. As investors look to capitalize on continued growth in 2025 and beyond, the Vanguard Mega Cap Growth ETF provides an attractive option for those seeking exposure to these AI-powered giants.
Source: https://finance.yahoo.com/news/big-tech-youll-love-etf-180013495.html